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IMPACT – MEDIUM
The Ministry of Human Resources and Emiratisation recently announced that it has issued 141,500 fines to 52,765 private businesses for immigration-related infractions. The ministry urged those who have accumulated fines to pay them as soon as possible, noting that authorities have capped fines at 2,000 dirham (about US$545) per worker.
Saif Al-Suwaidi, the ministry’s undersecretary of human resources, said that 15 percent of private companies in the ministry’s database had been hit with fines. The fines were mostly for incomplete work-permit registration or late work-permit renewal. Al-Suwaidi said the fact that only 15 percent of companies were fined “confirms the majority’s abidance to set laws and regulations.”
Authorities urged companies that have received fines to pay them as soon as possible, noting that those with outstanding fines will not be able to obtain additional work permits.
The ministry recently lowered fines for a number of violations. The new fines are as follows:
BAL Analysis: While the ministry did not specify the period of time over which the fines were issued, they show how serious UAE authorities are about enforcing work-permit rules. Anyone with questions on remaining in compliance should contact BAL.
This alert has been provided by the BAL Global Practice group. For additional information, please contact your BAL attorney.
Copyright © 2017 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
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