UAE Companies Fined Over AED 400 Million for Failing to Achieve 2022 Targets

UAE’s Ministry of Human Resources and Emiratization (MoHRE) has fined several companies up to AED 400 million since they failed to accomplish the Emiratization targets of 2022.

Under Emiratization, companies with over 50 skilled workers were required to have at least 2 percent Emirati employees by the end of 2022. However, they failed to achieve this target, leading to a penalty of AED 72,000 for each Emirati they didn’t recruit.

UAE aims at accomplishing a 10% skilled Emirati workforce target by 2026 at a rate of 2% every year, remarkably, about 9,293 companies succeeded in meeting the 2% target in 2022.

According to MoHRE, 227 attempts to fake the Emiratization targets occurred last year and around 109 companies were penalized and downgraded to Category 3 (companies violating the UAE labor laws and regulations).

After the Emiratization, UAE’s private sector experienced a 70% increase in the Emirati workforce, with over 50,000 Emiratis recruited, while more will be hired this year, increasing the number of Emiratis in skilled roles to 4%.

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