UAE expands Emiratisation target for private firms

Private companies in certain sectors, with a workforce of between 20-49, are now included in the UAE's Emiratisation drive.

According to an announcement from the Ministry of Human Resources and Emiratisation, establishments are required to hire at least one Emirati in 2024 and another in 2025.

A fine of AED 96,000 will be imposed in January 2025 on companies that do not comply, and a fine of AED 108,000 will be imposed in January 2026. Non-compliant establishments will be allowed to pay the contributions in installments.

Included companies must also ensure that if a UAE national leaves, a replacement Emirati must be hired not more than two months afterwards, if numbers have dropped below the required employment level, or pay the stated fine for that year.

The decision targets economic activities in 14 sectors.

These include:

• Information and communications
• Financial and insurance activities
• Real Estate
• Professional and techincal activities
• Administrative and support services
• Arts and Entertainment
• Mining and quarrying
• Transformative industries
• Education
• Healthcare and social work
• Construction
• Wholesale and retail
• Transportation and warehousing
• Hospitality and residency services

The ministry added that the "targeted establishments will be chosen based on criteria such as type of jobs, work environment, geographical location, nature of growth" as well as "Emiratisation priorities".

In implementation of a UAE Cabinet Resolution, the Ministry announces the expansion of the private sector establishments’ pool, subject to Emiratisation targets, to include companies and individual establishments with a workforce ranging from 20 to 49 employees in specific… pic.twitter.com/xDZfILPd7M

— وزارة الموارد البشرية والتوطين (@MOHRE_UAE) July 11, 2023