UAE

UAE Private Firms Warned of Dh96,000 Fine for Failing to Meet Emiratisation Targets

Authorities in the UAE have issued a reminder to private sector companies that they must meet their Emiratisation targets by the end of December 2024, or face substantial fines starting January 1, 2025. Under current Emiratisation policies, private firms with 50 or more employees are required to increase the number of Emirati workers in skilled positions by 2% by year-end. Firms that fail to comply will be fined Dh96,000 for each Emirati position not filled.

The Emiratisation mandate also applies to smaller companies with 20 to 49 employees in 14 specified sectors. These companies are obligated to employ at least one Emirati and retain any Emirati staff hired before January 1, 2024. Similar to larger firms, they will incur a Dh96,000 fine for each unfilled Emirati position.

The reminder comes as part of the UAE’s ongoing efforts to enhance the participation of its citizens in the private sector. The penalties are designed to encourage businesses to align with the country’s vision of increasing the number of Emiratis in the workforce and reducing reliance on foreign labor.

Hamna Farrukh

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Hamna Farrukh

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