Companies to be Fined AED 42,000 for not Meeting Emiratization Targets

  • Publish date: Tuesday، 23 May 2023
Companies to be Fined AED 42,000 for not Meeting Emiratization Targets

The Ministry of Human Resources and Emiratisation (MoHRE) shared that companies that do not comply with the Emiratization targets by June 30th, will have to pay AED 42,000 for each Emirati not employed. 

The fine for not employing each Emirati is AED 42,000, which is the total from adding AED 7,000 for each month of 2023 until June 30th.

The fine per month has increased from AED 6,000 in 2022 to AED 7,000, which will continue to increase by AED 1,000 until 2026.

If a company has 50 employees or more, they have to achieve a 1% Emiratization of skilled jobs before June 30th, 2023, the ministry announced on Monday, May 22nd.

Companies with 50 employees or more were required to have 2% Emiratis in skilled roles by the end of 2022. By June 30th, 2023, these companies have to increase the number of Emirati employees in their companies by 1%, therefore the company has to have 3% Emiratis in skilled jobs. 

The law aims to increase the number of Emiratis in the private sector by 2% annually to reach 10% by 2026. 

The ministry issued fines amounting to AED 400 million for private companies that did not meet the Emiratization targets of 2022. 

As of May 17th, 2023, approximately 68,000 Emiratis have secured jobs in the private sector.  

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