As part of the Nafis programme, private sector businesses in the UAE have until the end of this year to hire enough people who are Emiratis.
The UAE’s Ministry of Human Resources and Emiratisation (MOHRE) is launching an awareness campaign ahead of the year’s end to inform firm owners about the programme and deter them from exaggerating their Emiratisation figures.
Here is everything you need to know if you are a business owner in the UAE and are unsure of the Emiratisation targets your company needs to meet or the advantages of joining the Nafis programme.
What is the Nafis programme?
A federal programme called “Nafis,” which in Arabic means “to compete,” aims to make Emirati human resources more competitive and give them the ability to work in the private sector. The programme, which was started as one of the “Projects of the 50,” aims to advance economic growth and development in the UAE.
What is the Emiratisation target for companies?
Before January 2023, private companies with at least 50 workers must reach their 2% Emiratization goal in order to avoid paying monthly payments for the number of Emiratis they have failed to hire.
How do companies benefit from it?
Companies that sign up with Nafis gain several advantages:
– Offering pension rebates to ease the financial burden of hiring Emiratis.
– Increasing the appeal of the private sector to Emirati nationals through apprentice programmes, salary support programmes, and child allowance schemes.
– Upskilling Emirati nationals with degrees to fulfil the skill requirements of the private sector.
– Making it possible to find local talent on one centralised platform, Nafis.gov.ae.
– Promoting the in-country value (ICV) index of the business.
What are the fines to keep in mind?
On November 15, it was revealed that MOHRE and the Emirati Competitiveness Council, who oversee the Nafis programme, had begun carrying out Cabinet Resolution No. 95 of 2022 addressing violations and administrative fines linked to Nafis initiatives and programmes.
These are a few of the penalties that businesses and employees can receive for breaking the law or failing to comply.
- As of January 1, 2023, those who do not meet the Emiratisation targets for their business will be required to pay Dh6,000 per month for each unemployed Emirati.
- For fraud Emiratization or submitting false information to acquire Nafis benefits in order to evade Emiratisation, the company will be fined a minimum of Dh20,000 and a maximum of Dh100,000.
The financial support for Emirati employees will end, and they will be required to return any benefits they have received.
[Note: Because the Nafis programme includes providing Emirati workers with help and providing employers with numerous advantages, any infringement will result in appropriate action being taken against both beneficiaries.]
- If the candidate receiving Nafis benefits is not hired, the company will be subject to a Dh20,000 punishment for each Emirati employee, benefits will be suspended, and the money paid to the company will be refunded.
- The employee receiving Nafis benefits exhibits a lack of devotion to the job, resulting in a Dh20,000 fine against the business for each Emirati employee, a suspension of benefits, and a return of the money paid out to the business.
- If a Nafis-eligible employee misses work and the employer fails to notify Nafis, the company will be fined Dh20,000 for each Emirati employee, benefits will be suspended, and the money paid to the company will be refunded.
- A fine of Dh20,000 will be imposed in each instance, the employee’s financial support will be frozen, and any extended support will be returned if the employer fails to notify Nafis of any change in the employee’s benefits without an acceptable cause.
- The company must return the money it received as support for the training time if it fails to appoint the candidate after the training term is over, and the failure to do so must not be justified in a way that Nafis will accept.
What is my company’s recruitment target?
Contact the Nafis customer service department at 800 NAFIS or 800 62347 if you are unsure of the recruitment goals that apply to your business.