The United Arab Emirates Ministry of Human Resources and Emiratisation (MoHRE) has held a meeting with private sector employers in which it has stressed the targets for Emiratisation by the end of 2022, and warned that companies failing to comply will be facing fines starting from 1 January 2023.
The meeting with representatives of 232 private sector companies was designed to "listen to their challenges and suggestions and explore avenues to expedite achieving Emiratisation target in the private sector", according to tweets posted by the ministry.
According to the tweets: "We will spare no effort in supporting the private sector companies as we consider them as a cornerstone of the UAE's development journey."
And: "MoHRE encourages the companies to benefit from the incentives offered by Nafis to reach the target of 2% Emiratisation of skilled jobs at companies with at least 50 employees before the end of 2022."
The targets as currently envisaged stem from the coming into force of new UAE Federal Labour Law on 2 February 2022, as the UAE seeks to create 75,000 new jobs in the private sector by 2025, according to global law firm Clyde & Co.
"The new Emiratisation requirements apply to all employers who fall under the jurisdiction of the Ministry of Human Resources and Emiratisation (i.e. outside of the free zones)," the law firm stated in a brief dated September 2022.
"Private sector companies with 50 or more employees are required to increase their Emirati workforce in excess of their current quota through a 2% year on year increase until they reach 10% in 2026. The actual number of Emiratis required will be calculated according to the overall number of skilled workers in the company."
"The new Emiratisation requirements stipulate fines for non-compliance with the quotas. Each employer who does not comply with the relevant Emiratisation rate will be fined AED 6,000 per month per Emirati employee falling short of the quota. This fine will be increased by AED 1,000 per month per year."
| Skilled workers at the establishment having 50 workers or more | Minimum target for recruitment of national employees |
| From 0 to 50 skilled workers | One national |
| From 51 to 100 skilled workers | Two national |
| From 101 to 150 skilled workers | Three national |
| 151 workers or above | One national for every 50 workers or less than 50 |
| Source: Clyde & Co |
