United Arab Emirates | Emiratization requirement compliance reminder

The Ministry of Human Resources and Emiratization provided a reminder to employers of 50 or more workers to meet their Emiratization targets for the first half of 2024, as compliance monitoring began as of July 1.

Key Points:

• Noncompliant employers will face a 42,000 AED (about US$11,400) fine for each Emirati not appointed according to the semiannual Emiratization targets.
• Further violations will result in the government reducing the number of employees or modifying their classification.
• Officials provided further information on the Nafis platform, which lists qualified Emirati nationals seeking employment across various specializations who possess the required skills. Companies falling short of their Emiratization targets may benefit from using this platform.

Additional Information: The current target is a 1% increase in the number of Emiratis in skilled jobs at companies with 50 or more employees for the first half of 2024. Emiratization targets require these employers to increase the number of Emirati employees in skilled positions by 1% every six months, ultimately achieving a 2% Emiratization by the end of each year. Employers are expected to achieve a 10% Emiratization rate by the end of 2026.

This alert has been provided by the BAL Global Practice Group.

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