Over 52,000 UAE private sector companies fined for work permit violations

The UAE’s ministry of Human Resources and Emiratisation has issued fines against 52,765 private sector companies in the country for violations related to work permits.

A total of 141,500 fines have been issued for incomplete work permit registration or late renewals, the ministry announced on Saturday.

Saif Al-Suwaidi, under-secretary of Human Resources at the ministry, said: “The number of fines cumulates to 15 per cent of the total sum of companies recorded within the ministry’s database, which confirms the majority’s abidance to set laws and regulations.

“Nonetheless, those who failed to adhere are advised to approach the ministry and pay the reduced sums following the cabinet’s recent decree to cut all fines to Dhs2,000 per worker.”

Under the new regulations, firms with incomplete work permit registration or late renewals will now face a maximum fine of Dhs2,000 per worker.

Any company that fails to provide the ministry with a worker’s contract of employment within a period of 60 days from the date of entry or the residence status modification date will be fined Dhs100 for each month’s delay, with the maximum reaching Dhs2,000.

Previously, the fine was fixed at Dhs500 for each month of delay without any maximum limit.

Meanwhile if an employer fails to provide the ministry with a work permit labour contract within 30 days from the worker’s date of entry, a fine of Dhs100 will be charged for each day, again reaching up to a maximum of Dhs2,000.

Earlier, while fines were imposed at the same amount of Dhs100 per day, no maximum limit was set.

The ministry also clarified that failure to renew the work permit labour contract within seven days from the expiry date will draw a fine of Dhs100 per day, reaching up to a maximum of Dhs2,000. Again, in the past there was no maximum limit.

The ministry said that companies cannot receive any additional work permits if they fail to settle their dues.