Emiratisation means employment of UAE citizens and it is one of the highest priorities of the government. The Emirati Human Resources Competitiveness Council, ‘Nafis’, implements national initiatives aimed at increasing Emiratisation in the private sector.
Nafis
The Emirati Human Resources Competitiveness Council, ‘Nafis’ implements national initiatives aimed at increasing Emiratisation in the private sector. The council supports citizens in the private sector by increasing their competitiveness and providing this sector with Emirati skills.
The council aims to get 75,000 citizens into the private sector over the next five years. It also offers many initiatives to empower Emirati cadres and motivate private companies to attract Emirati talent.
Rate of Emiratisation - (Companies with 50 or more workers)
The Cabinet approved a decision to raise Emiratisation rates to 2 per cent annually for skilled jobs in private sector establishments with 50 or more employees and to achieve an overall rate of increase by 10 per cent by 2026. This is accompanied by granting incentives to institutions that perform qualitatively in the training and employment of citizens.
To support the commitment to achieve the above employment targets for nationals, non-compliant companies will have to pay an amount of AED 6,000 monthly, starting from January 2023, for every citizen who has not been employed. The amount will be paid through the digital systems of Ministry of Human Resources and Emiratisation (MoHRE), provided that the value of the monthly contributions increases by AED 1,000 annually until 2026. To monitor the implementation of these decisions in the labour market, MoHRE is working with the Cabinet Secretariat to measure the indicator of Emiratisation in the private sector.
Expansion of the Emiratisation targets - (Companies with 20 to 49 workers)
Starting in 2024, private sector companies with a workforce of 20 to 49 workers will be required to hire at least one UAE citizen and from 2025, they would be required to hire at least two Emirati citizens. Previously, this mandate applied only to companies with 50 or more employees.
This requirement is applicable to companies operating in the following 14 sectors:
Companies with 20 to 49 workers that fail to employ at least one Emirati in 2024 will have to pay a financial contribution of AED 96,000 to the government. This contribution will increase to AED 108,000 for companies that have not employed two Emiratis by 2025.
Find more details of the expansion of Emiratisation targets in the Ministerial Resolution No. 455 of 2023 Concerning the Process for Implementing the Emiratisation Targets for Private Sector Establishments That Employ Between 20 and 49 Employees in Selected Economic Activities. (PDF, 169 KB).
Find out ministerial resolutions related to Emiratisation in the private sector:
The Nafis award
The Nafis award is given to private sector establishments that excel in hiring UAE nationals. It also honours talented Emiratis in the private sector, who prove to be an effective force in various economic sectors. Read more about the Nafis award and the steps to apply.
The ‘Industrialists Program’
Read about the ‘Industrialists Program’ and its objective to build local capacities and accelerate Emiratisation in the industrial sector.
Teaching Specialists’ Programme
The ‘Teaching Specialists’ Programme’ seeks to provide specialised training and bridging programmes for Emirati jobseekers to meet the demands of the job market. It offers professional accreditation opportunities to qualify UAE nationals to work in the private education sector. Under the programme, 1,000 Emiratis will be hired annually in the education sector from 2024 onwards, to reach 4,000 Emiratis over four years.
Following are some of the obligations set by Ministry of Human Resources and Emiratisation (MoHRE) to ensure compliance with the Emiratisation system and to avoid fraudulent Emiratisation practices.
Rules for advertising for Emiratisation jobs
When advertising for Emiratisation jobs, firms must not:
Obligations of the employers when hiring Emiratis
When hiring Emiratis, employers must provide them with appropriate workplace and tools, and minimum on-the-job training to enable them to perform their duties. Additionally, they must:
Upon termination of the employment contract, the employer must cancel the work permit of the national immediately.
Employers must not:
Source: Ministerial Resolution No. 663 of 2022 Regarding Compliance with Emiratisation Regulations in the Private Sector (PDF, 634 KB) for more information.
pay lower salaries to the Emirati in comparison to his/her counterparts in the same position.
Obligations of the Emiratis employed in the private sector
When joining the private sector, Emiratis are required to comply with:
Emiratis are required to inform MoHRE about practices that violate the provisions of Emiratisation resolutions.
Source: Ministerial Resolution No. 663 of 2022 Regarding Compliance with Emiratisation Regulations in the Private Sector (PDF, 634 KB) for more information.
Cabinet Resolution No. 95 of 2022 Regarding Penalties and Violations Relating To the Emirati Cadres Competitiveness Council Initiatives and Programs (PDF, 491 KB) lists administrative penalties and fines against firms who violate Emiratisation and Nafis targets. The penalties and fines vary according to the nature of the violation committed by the firm.
Violations include:
Read full list of violations, penalties and fines incurred in the above Cabinet Resolution No. 95 of 2022.
Read news coverage on MoHRE and WAM.
Additionally, Cabinet Resolution No. 44 of 2023 Regarding Cabinet Resolution No. 95 of 2022 on Penalties and Violations Relating to the Emirati Cadres Competitiveness Council Initiatives and Programs (PDF, 82 KB) added more administrative penalties and fines against firms that violate Emiratisation targets.
Read also the provisions of the Ministerial Resolution No. 296 of 2023 Establishing Criteria for Imposing Administrative Fines in Accordance with Cabinet Resolution No. 95 of 2022 on Violations and Administrative Penalties Related to the Initiatives and Programs of UAE Cadres' Competitiveness Council (PDF, 184 KB).
According to Federal Law No. 7 of 1999 for Pensions and Social Security and its amendments, a contribution equal to 20 per cent of the employee’s salary must be made to GPSSA on a monthly basis. While the employee must contribute 5 per cent of his/her salary, the employer must contribute 12.5 per cent of the employee’s salary, and the government must contribute 2.5 per cent.
*Text provided by MoHRE
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