UAE’s MoHRE fines companies failing to achieve Emiratisation targets for 2022

The Ministry of Human Resources and Emiratisation (MoHRE) has announced that it has “applied financial contributions to private sector companies for failing to achieve the Emiratisation targets stipulated for the year 2022”.

The value of the financial contributions imposed on establishments amounted to Dhs2,000 for each Emirati not appointed during 2022. This was calculated at the rate of Dhs6,000 per month for every UAE national.

This is in line with the implementation of the UAE Cabinet’s resolution to raise the Emiratisation levels of skilled jobs by 2 per cent annually in private sector establishments that have 50 employees effective 2022.

The resolution aims to increase the Emiratisation rate to 10 per cent by the end of 2026. The value of the monthly financial contributions imposed on private sector entities will increase progressively at a rate of Dhs1,000 annually until the year 2026.

Saif Al Suwaidi, Undersecretary for Emiratisation Affairs at MoHRE, has called on the private sector establishments to abide by the cabinet’s resolution and contribute effectively to raising Emiratisation rates in the private sector, which will enable Emiratis to participate in this important sector.

He reiterated that the establishments targetted by the Emiratisation resolution must work to raise their Emiratisation rate by 4 per cent by the end of 2023, to avoid the imposition of financial contributions by the beginning of 2024.

The ministry provides a package of incentives for distinguished establishments that make qualitative achievements in training and employing Emiratis in line with the objectives of the ‘Nafis’ programme.

Read: Emiratisation deadline: Non-compliant private companies to incur fines starting Jan 1