NEW MOHRE EMIRATISATION RULES FOR 2023

Emiratisation is a UAE government initiative that aims to increase the number of Emiratis employed in the private sector.

The Ministry of Human Resources and Emiratisation (MOHRE) has given private sector companies in the UAE a deadline to achieve their Emiratisation targets by end of December 2022, before fines are imposed on non-compliant companies.

By the end of December 2022, companies that employ 50+ employees will need to register through the UAE government NAFIS portal and ensure that Emirati employee quotas are reached before the start of the new year.

Fines for failure to achieve the Emiratisation target will come into force on January 1, 2023. A sum of 72,000 AED will be paid annually for every UAE national not appointed. (6,000 AED a Month)

Private sector companies must fulfil their Emiratisation targets according to the following criteria:

• 2% for commercial entities (where the entity has more than 50 employees)
• 4% for banks
• 5% for insurance companies (where the entity has more than 50 employees)

Additionally, MOHRE has established a three-tier system which classifies companies according to their contribution to the Emiratisation program, and the classification level will impact overall costs and government fees for Visa processing.

MOHRE’s Announcement on November 11th can be found on this link: https://www.mohre.gov.ae/en/media-centre/news/11/11/2022/50_days_to_go_for_the_deadline_to_achieve_emiratisation_target_ministry_tells_companies.aspx

Terracotta Outsourcing as a PRO service provider can help your company process and reach its Emiratisation target in full compliance with the new rules and regulations, we will act as a liaison between your organization and MOHRE to make sure your organization avoids any fines or penalties that might be appointed if the procedures are not done correctly within the designated deadline.