Emiratisation targets in the private sector
The Emirati Human Resources Competitiveness Council, ‘Nafis’ implements national initiatives aimed at increasing Emiratisation in the private sector. The council supports citizens in the private sector by increasing their competitiveness and providing this sector with Emirati skills.
The council aims to get 75,000 citizens into the private sector over the next five years. It also offers many initiatives to empower Emirati cadres and motivate private companies to attract Emirati talent.
Rate of Emiratisation
The Cabinet approved a decision to raise Emiratisation rates to 2 per cent annually for skilled jobs in private sector establishments with 50 or more employees and to achieve an overall rate of increase by 10 per cent by 2026. This is accompanied by granting incentives to institutions that perform qualitatively in the training and employment of citizens.
To support the commitment to achieve the above employment targets for nationals, non-compliant companies will have to pay an amount of AED 6,000 monthly, starting from January 2023, for every citizen who has not been employed. The amount will be paid through the digital systems of Ministry of Human Resources and Emiratisation (MoHRE), provided that the value of the monthly contributions increases by AED 1,000 annually until 2026.
To monitor the implementation of these decisions in the labour market, MoHRE is working with the Cabinet Secretariat to measure the indicator of Emiratisation in the private sector.
Find out ministerial resolutions related to Emiratisation in the private sector:
According to Federal Law No. 7 of 1999 for Pensions and Social Security and its amendments, a contribution equal to 20 per cent of the employee’s salary must be made to GPSSA on a monthly basis. While the employee must contribute 5 per cent of his/her salary, the employer must contribute 12.5 per cent of the employee’s salary, and the government must contribute 2.5 per cent.
*Text provided by MoHRE