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The UAE government has announced major changes to the country’s Emiratization process. According to the Ministry of Human Resources and Emiratization (MoHRE), private companies with 20 to 49 employees are now included in the government’s Emiratization programme.
MoHRE announced this on Tuesday.
The cabinet resolution will apply to private companies operating in 14 economic sectors including real estate, education, construction and healthcare. They will be required to hire at least one UAE citizen in 2024 and another in 2025.
In implementing the UAE Cabinet resolution, the ministry announced the expansion of the pool of private sector enterprises in line with Emiratization objectives to include companies and individual enterprises with a number of employees ranging from 20 to 49 people in specific fields… pic.twitter.com/xDZfILPd7M
— Ministry of Human Resources and Emiratization (@MOHRE_UAE) July 11, 2023
Previously, only companies with 50 or more employees were required to meet the target of hiring UAE nationals. Earlier this year, the government said companies must increase their share of Emirati employees by 1% every six months.
Emiratization movement bears fruit
MoHRE reports that as many as 79,000 Emiratis are working in the private sector after the end of the half-year deadline for companies with 50 or more employees to achieve Emiratization of 1% of technology jobs.
Failure to adhere to Emiratization targets will result in penalties
Starting from January 2025, businesses that do not comply with the decision in 2024 will be subject to an annual financial allocation of AED 96,000, while those that do not comply with the decision in 2025 will face a fine of AED 108,000 in January 2026.
Dr. Abdulrahman Al Awar, Minister of Human Resources and Emiratization, said: “Expanding the corporate scope of Emiratization targets is based on the focus on the UAE economic sectors and the business activities of companies with 20 to 20 and a study of the nature of work. With 49 employees, this shows that businesses in this sector are growing rapidly and have the ability to provide additional employment opportunities and a suitable working environment.”
He added: “These conditions will attract Emirati citizens to work in these institutions, giving a strong boost to Emiratization efforts and strengthening the private sector’s contribution to this national initiative, which has been achieved with the support and guidance of our wise leadership and government Remarkable results have been achieved. Under the close supervision of Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, Minister of the Presidential Court and Chairman of the Board of Directors of the UAE Talent Competitiveness Council.
“We believe that expanding institutions with Emiratization objectives will have a positive impact and bring benefits to our citizens and the institutions themselves, who will be able to benefit from the support of the Nafis programme.”
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