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New Emiratization rules in UAE
The United Arab Emirates (“UAE”) Ministry of Human Resources and Emiratization has announced new Emiratization rules.
The new rules aim to increase the number of Emiratis employed in targeted establishments across 14 key economic sectors including real estate, education, construction and health care.
All small and medium private companies registered in the Free Zone and Mainland are now required to recruit at least one UAE citizen in 2024 and another one in 2025. Targeted establishments will receive notifications via the Ministry’s digital channels.
The risk of non-compliance
Companies that fail to abide by these new Emiratization rules will be subject to annual financial penalties:
- An amount of Dh 96,000 (USD 26,000) will be imposed on those who do not hire an Emirati citizen as stipulated for the year 2024;
- The fine increases to Dh 108,000 (USD 30,000) for the next year, 2025.