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UAE companies to be fined up to Dh120,000 for violating emirate rules

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On Tuesday, the ministry said the Cabinet resolution provides a comprehensive legal framework that will limit negative practices in achieving the goals and objectives of the Emiratisation initiative and policy.

The resolution aims to strengthen the UAE’s human development system, foster productive and effective national human capital to support the country’s economy, create partnerships between the public and private sectors, and make the private sector the main driver of the UAE’s development journey .

The resolution highlights the advancement of the Emiratis roadmap through two tracks: the first track is to support and empower Emirati human resources, enhance their competitiveness to join private sector jobs and help The department achieves its goals through incentives, through administrative penalties and fines, resolutely investigates and punishes violations, and restricts bad behavior.

The resolution provides for a series of administrative penalties and fines, which vary according to the nature of the business’s violations against Nafis. This includes circumventing the need to gain these benefits or circumventing the goals of Emiratisation through false Emirates.

According to the resolution, an administrative fine of not less than AED 20,000 and not more than AED 100,000 will be imposed on each Emirati employee if the agency conducts false emiratization in connection with Nafis’ initiatives and plans. On the other hand, the beneficiary will suspend support and get back the amount paid.

In addition, if a business submits incorrect documents or data to obtain Nafis benefits, in addition to suspending support and recovering the amount paid, each UAE employee will be imposed an administrative penalty of not less than Dh20,000 and not exceeding Dh100,000 To evade or circumvent the purpose of the Emiratisation system.

An administrative fine of AED 20,000 per UAE employee, suspension of support and recovery of the amount paid to the agency if the facility fails to take necessary measures in accordance with the Federal Decree Labor Relations Regulation No. 33 of 2021 and its Amendments, implementing rules and implementing resolutions. This also applies in cases where the beneficiary does not come to work after the work permit has been issued and the institution is supported by Nafis, or the beneficiary shows no commitment to work or stops working without the institution notifying Nafis.

If a business fails to report any changes in benefit terms without a reason acceptable to Nafis, an administrative penalty of Dh20,000 per case will be imposed and support will be suspended and the amount paid will be refunded after the change in benefit terms.

If Nafis breaches its obligations as a designated beneficiary after the training period supported by Nafis and there is no excuse accepted by Nafis, Nafis is entitled to recover the amount of support paid to the institution during the period of support.

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