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Over 12,000 Private Companies Urged to Meet Emiratisation Targets by MoHRE

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Pavitra Shetty

Published on December 1, 2023, 08:27:01

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Emiratisation, MoHRE

The Ministry of Human Resources and Emiratisation (MoHRE) has informed over 12,000 private enterprises employing 20–49 people regarding the extension of Cabinet Resolution No. (33/5W) of 2023. This resolution, which aims to increase the emiratisation targets, will take effect in January 2024.

According to this resolution companies with 20–49 employees will be required to hire one UAE national minimum in 2024 and another in 2025.

The purpose of this calculated action is to create 12,000 jobs per year for UAE citizens in key economic areas by 2024 and 2025. It highlights the dedication of the UAE Government to supporting the Emiratisation effort, which is a top priority on the country's agenda.

By requiring a 2% increase in emiratisation in skilled positions, this resolution complements the emiratisation targets established for businesses with 50 or more employees. The newly impacted businesses, which are involved in 14 distinct economic sectors, were selected through the application of rigorous standards and data evaluation. The aforementioned criteria comprise job quality, congruence with Emiratisation goals, geographic reach, expansion patterns, and elements that draw UAE citizens to these industries, guaranteeing long-term work prospects.

Companies who do not comply with the Emiratisation standards by the end of 2024 will be subject to an annual penalty of AED 96,000 for each UAE national that is hired, as of January 2025. Similarly, failure to meet the hiring targets for 2025 will result in a penalty of AED 108,000 in January 2026. According to MoHRE, companies may choose to make these contributions in instalments.

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