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The Ministry of Human Resources and Emiratisation (MoHRE) has announced that, in implementing the UAE Cabinet resolution, the scope of private sector establishments targeted for Emiratis will be expanded to include companies and individuals with 20 to 49 employees engaged in specific economic activities.
The decision aims to increase the number of Emiratis employed by targeted institutions in 14 key economic sectors, requiring them to employ at least one UAE citizen in 2024 and 2025.
Businesses that do not comply with the decision in 2024 will be fined AED 96,000 per annum in January 2025, while non-compliance in 2025 will face a fine of AED 108,000 in January 2026. Businesses will be allowed to pay their contributions in installments.
The decision requires businesses to hire a UAE national as a replacement for a period not exceeding two months, or to pay the financial costs for the target year if the number of UAE national employees is reduced after the target year.
Dr Abdulrahman Al Awar, Minister of Human Resources and Emiratization, said: “The expansion of the scope of businesses for the Emiratization goal is based on the business sector with 20 to 20 companies in the UAE. A study of activity and nature of work. 49 employees, which shows that businesses in this sector are growing rapidly and have the capacity to provide additional employment opportunities and a suitable working environment.”
He added: “These conditions will attract Emirati citizens to work in these institutions, giving a strong boost to the Emiratisation effort and strengthening the private sector’s contribution to this national initiative, which has been achieved with the support and guidance of our wise leadership and government. Significant results have been achieved under the close supervision of His Highness Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, Minister of the Presidential Court and Chairman of the Board of Directors of the UAE Talent Competitiveness Council.
“We believe that the expansion of institutions with the goals of Emiratis will have a positive impact and benefit our citizens and institutions themselves, who will be able to benefit from the support of the Nafis programme.”
The economic activities of the institutions targeted by the decision include specific sectors: information and communications, financial and insurance activities, real estate, professional and technical activities, administrative and support services, arts and entertainment, mining and quarrying, transformative industries, education, Healthcare social work, construction, wholesale and retail, transportation and warehousing, hospitality and residential services.
Target institutions will be notified through the ministry’s digital channels as they will be selected based on criteria such as job type, work environment, geographic location, nature of growth in these economic sectors, and Emiratisation priorities.
If a business is proven to have circumvented or applied false Emiratization or provided false information, other fines imposed by UAE Cabinet Resolution No. 95 of 2022, its amendments or legislation will apply.
The decision will go hand in hand with a policy to achieve the Emiratisization target for businesses employing 50 or more employees, requiring them to increase the number of Emiratis employed in tech jobs by 1% every six months.
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