Crackdown on Fraudulent Emiratisation: UAE Firms Caught Faking National Employment

The Ministry of Human Resources and Emiratisation (MoHRE) revealed that since mid-2022, 1,818 private companies in the UAE have been caught faking Emiratisation efforts, engaging in practices designed to circumvent the country’s mandatory Emiratisation targets. These violations involve the fraudulent employment of 2,784 UAE nationals in an attempt to artificially meet the government’s quota system.

The Ministry's announcement, made on Wednesday through its social media channels, underscored the UAE government’s strict stance on enforcing Emiratisation policies. The post stated: “Our inspection system has detected 1,818 private establishments that hired 2,784 UAE nationals in violation of Emiratisation policies. These companies attempted to evade Emiratisation obligations through fraudulent practices from mid-2022 until September 17, 2024.”

Emiratisation – A National Priority

Emiratisation is a key pillar of the UAE’s strategy to integrate more UAE nationals into the private sector workforce. It is aimed at reducing the country’s reliance on expatriates by ensuring UAE citizens have meaningful employment opportunities, especially in the private sector. In recent years, the UAE has ramped up its efforts by setting mandatory targets for companies to employ a specific percentage of Emirati workers, depending on the size and nature of the business.

However, many private companies have resorted to deceptive tactics, such as hiring UAE nationals on paper without providing them actual employment roles, in a bid to falsely comply with these regulations.

Strict Legal Action Against Violators

The MoHRE has made it clear that companies found to be violating Emiratisation policies will face stringent legal consequences. “Attempts to evade Emiratisation obligations will be dealt with firmly and in accordance with the law,” the Ministry stated. The government has emphasized that these fraudulent practices will not be tolerated, and violators will be subject to fines, penalties, and legal action.

Earlier this year, several private firms were fined heavily for similar violations. In one notable case, an Abu Dhabi-based company was fined Dh10 million for faking Emiratisation efforts. The company had falsely claimed it employed a significant number of UAE nationals but was found guilty of fraudulent practices during an inspection by the MoHRE.

Public Reporting and Awareness

To strengthen its enforcement efforts, the Ministry has called upon the public to play a role in reporting any violations. The public can report suspicious activities or practices that conflict with Emiratisation regulations through the Ministry’s call centre at 600590000 or via its smart app and website.

The MoHRE’s proactive inspection and monitoring system have been instrumental in uncovering the widespread fraud, ensuring that companies genuinely contribute to the Emiratisation drive rather than exploiting loopholes.

Commitment to Genuine Emiratisation

The UAE government remains committed to enhancing the participation of its nationals in the private sector and reducing unemployment among Emiratis. Various programs, such as the NAFIS initiative, have been launched to support Emiratis in acquiring the skills necessary for private-sector jobs and to ensure their long-term career growth.

While the violations reported represent a significant challenge, the MoHRE’s firm stance indicates that the UAE is determined to maintain the integrity of its Emiratisation goals. Companies are being urged to comply fully with the policies, and failure to do so will result in severe penalties and public scrutiny.

The Ministry continues to work closely with private-sector businesses, offering guidance and resources to help them meet their Emiratisation targets legitimately while fostering a more inclusive and diverse workforce in the UAE.

Looking Ahead

As the Emiratisation initiative progresses, businesses in the UAE are encouraged to engage more transparently and ethically with government policies. The recent revelations serve as a stark reminder that fraudulent practices will not go unnoticed, and the UAE government remains steadfast in ensuring that Emiratis are meaningfully integrated into the private-sector workforce.

For any enquiries or information, contact ask@tlr.ae or call us on +971 52 644 3004. Follow The Law Reporters on WhatsApp Channels.