Dh100,000 fine: 113 private companies in UAE penalised for violating Emiratisation rules

The Ministry of Human Resources and Emiratisation said in a statement issued today that it will not be lenient in dealing with violators

The Ministry of Human Resources and Emiratisation has referred 113 private companies to the Public Prosecution for violating Emiratisation regulations in the UAE.

This includes 98 private companies that appointed citizens in fake Emiratisation posts, and 15 other companies proven to be involved in circumventing Emiratisation targets.

The Ministry also took legal and administrative measures against companies proven to have evaded Emiratisation targets. These measures included imposing an administrative fine of Dh100,000 on each company for not achieving the annual growth rate of Emiratisation targets aside from referring them to the Public Prosecution.

The Ministry said in a statement issued today that it will not be lenient in dealing with violators, explaining that “these numbers come as a result of our continuous follow-up through the Ministry’s digital and field supervisory system, which aims to verify the extent of private sector companies’ compliance with Emiratisation decisions.”

It added: “The violating companies have been referred to the Public Prosecution, and legal and administrative actions have been taken against them; these measures include imposing fines of Dh20,000 for each fake Emiratisation case, and reducing the companies’ classification to the lowest category within Mohre’s system for classifying private sector companies. The Ministry imposes a higher service fee to companies in the lowest category (third category) compared to the fees paid by companies listed in the first and second categories.

“The violating companies will also be required to achieve the actual Emiratisation target and ensure paying financial contributions related to Emiratisation.”

Emiratisation is considered fake when a UAE national works in a nominal job without real tasks to meet the company’s required Emiratisation targets, and/or when an Emirati is rehired in the same company with the aim of circumventing Emiratisation targets and benefiting from the relevant benefits of Emiratisation.

In its statement, the Ministry praised the commitment of more than 95 per cent of companies to Emiratisation decisions and policies, “which confirms the private sector’s keenness to fulfil what is required of it and carry out its responsibilities within the strategic partnership between the government and private sectors in the Emiratisation file, which is and supported by the leadership, and is considered a top priority.”