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UAE Emiratisation Requirements for Private Companies

Which private firms must hire Emiratis? Companies with 50+ staff add 2% a year; 20 to 49 staff in listed sectors owe up to AED 108,000. See the rules.

Key takeaways

  • Private companies registered with MOHRE that employ 50 or more people must grow the number of Emiratis in skilled positions by 2% every year, according to the Ministry of Human Resources and Emiratisation (MOHRE).
  • Companies with 20 to 49 employees in 14 listed economic activities must employ at least one Emirati, and a second one from 2025, under Resolution No. 455 of 2023.
  • A 20 to 49 employee company that misses the hiring requirement pays AED 96,000 a year for the first missing hire and AED 108,000 a year for the second, as of the Dubai government's guidance last modified 3 February 2026.
  • Companies with 50 or more employees that miss their target pay a monthly financial contribution for each unfilled Emirati position; Dubai's government site gives a starting figure of AED 6,000 per position per month, rising by AED 1,000 a year until 2026.
  • Unpaid contributions can lead to restrictions on new work permits and a downgrade in MOHRE's establishment rating, so a missed target can also stop a company hiring its foreign staff.
  • Emirati targets are checked once a year, so the safe approach is to hire early and keep payroll records that show each Emirati in a skilled role.

Who has to meet Emiratisation targets in the UAE?

Emiratisation applies to private-sector companies that employ 50 or more people, and to a defined set of smaller companies with 20 to 49 employees. MOHRE checks private-sector compliance every year.

The employee count, not revenue, decides which group your company falls into. Companies with fewer than 20 employees have no Emiratisation target under the MOHRE rules reviewed for this guide.

Company sizeWho is coveredRequirementSource
50 or more employeesAll private-sector companies under MOHRE2% annual growth in Emiratis in skilled positionsMOHRE
20 to 49 employeesOnly listed economic activitiesAt least one Emirati, then a second, and keep existing EmiratisDubai government, Gulf News
Fewer than 20 employeesNot coveredNo targetMOHRE guidance reviewed

Accurate as of 22 October 2026.

What are the Emiratisation targets for companies with 50 or more employees?

A company with 50 or more employees must increase the number of Emiratis in its skilled positions by 2% each year. Under Resolution No. 279 of 2022, the Dubai government describes this as a cumulative 10% rise by 2026.

The target applies to skilled roles, not to every job in the company. How MOHRE classifies a particular role as skilled is set by the ministry, so confirm the classification of your own roles with MOHRE or on the Nafis platform before you assume a hire counts.

MOHRE reminded companies in November 2025 to meet that year's targets before 31 December 2025, with financial contributions applying from 1 January 2026, as reported by Gulf News. Treat 31 December as the working deadline each year, and check MOHRE for the exact 2026 cut-off.

What do companies with 20 to 49 employees have to do?

A company with 20 to 49 employees must hire one Emirati if it operates in one of the listed activities, and a second one if the rules call for it, then keep them. Resolution No. 455 of 2023 set the first deadline at 31 December 2024 and the second at 31 December 2025.

Gulf News listed the 14 covered activities when the rule was announced in July 2023:

  • Information and communication
  • Financial and insurance activities
  • Real estate activities
  • Professional, scientific and technical activities
  • Administrative and support services
  • Education
  • Human health and social work
  • Arts and entertainment
  • Mining and quarrying
  • Manufacturing
  • Construction
  • Wholesale and retail trade
  • Accommodation and hospitality
  • Transportation and storage

If an Emirati employee leaves, the company has two months to recruit a replacement or it is treated as non-compliant, according to the Dubai government.

What are the penalties for missing Emiratisation targets?

Missing the target means a financial contribution, a lower establishment rating and possible limits on work permits. The amounts differ by company size.

Company sizeContributionSource
50 or more employeesAED 6,000 per unfilled Emirati position per month, rising by AED 1,000 a year until 2026Dubai government (Resolution 279 of 2022)
20 to 49 employees, first hire missedAED 96,000 per year from January 2025Dubai government (Resolution 455 of 2023)
20 to 49 employees, second hire missedAED 108,000 per year from January 2026Dubai government (Resolution 455 of 2023)

Accurate as of 22 October 2026. The 2026 monthly figure for companies with 50 or more employees is not stated on the pages reviewed; confirm it with MOHRE before budgeting.

AED 108,000: annual contribution for a 20 to 49 employee company in a listed activity that misses its second Emirati hire, applying from January 2026. Source: Resolution No. 455 of 2023, as published by the Dubai government (page last modified 3 February 2026), checked 22 October 2026.

How do you comply with Emiratisation in practice?

You comply by hiring Emiratis into real skilled roles and keeping them on payroll, then checking your position with MOHRE before the year-end deadline. The steps below are the sequence most employers follow.

  1. Count your total employees on your MOHRE establishment record to confirm whether you sit in the 50 or more group, the 20 to 49 group or below both.
  2. If you have 20 to 49 employees, check whether your licensed activity is among the 14 listed.
  3. Identify which of your roles MOHRE counts as skilled.
  4. Recruit Emirati candidates, using the Nafis platform and your own channels.
  5. Make sure each Emirati hire is registered with MOHRE so it appears on your establishment record.
  6. Review the position well before 31 December and pay any contribution that falls due to avoid permit restrictions.

If you'd rather not track these dates by hand, the free UAE compliance calendar lists them for your company: a free calendar of your company's UAE tax and compliance deadlines, personalised from a few questions, as a PDF and calendar file.

Do free zone companies have to meet the same Emiratisation targets?

The MOHRE targets apply to private-sector companies registered with the ministry, and the official pages reviewed for this guide do not mention free zones, so whether a free zone licence is covered could not be confirmed from an official source.

Ask your free zone authority in writing whether any Emirati hiring requirement applies to your licence, and ask again if you open a mainland branch, because a branch registered with MOHRE sits under the ministry's rules. The Emiratisation rules for the specific free zone you are in may differ.

What most guides don't tell you

  • The 50th employee changes your obligations. A company at 49 employees in a non-listed activity has no target, while a company at 50 does. Plan hiring around that line and plan the first Emirati hire before you cross it.
  • A resignation can create a penalty. For 20 to 49 employee companies, the two-month replacement window means an Emirati leaving mid-year can turn a compliant company into a non-compliant one within a quarter.
  • The penalty is not just money. Continued non-payment can restrict work permits, which affects every foreign hire you plan, and Gulf News reports a downgrade in MOHRE's establishment rating for violating companies.
  • Year-end is the working deadline. MOHRE asked companies to meet their 2025 targets before 31 December, so recruiting in the final weeks leaves no room for a candidate who declines or a visa that stalls; start earlier.

Which deadlines apply to your company?

Emiratisation sits alongside licence renewals, visa renewals and tax filings, and missing one is easy when the dates are scattered. The free UAE compliance calendar shows the deadlines that apply to your company from a few questions.

Frequently asked questions

Do free zone companies have Emiratisation targets?

The official MOHRE and Dubai government pages reviewed do not mention free zones, so Qawi could not confirm this from an official source. Ask your free zone authority in writing, and note that a branch registered with MOHRE is under the ministry's rules.

What are the fines for not meeting Emiratisation quotas?

Companies with 20 to 49 employees in listed activities pay AED 96,000 a year for a missed first hire and AED 108,000 a year for a missed second hire. Companies with 50 or more employees pay a monthly contribution per unfilled Emirati position, which started at AED 6,000 and rises by AED 1,000 a year until 2026.

What is MOHRE and when does my company need to register with it?

MOHRE is the Ministry of Human Resources and Emiratisation, which regulates private-sector employment and checks Emiratisation compliance each year. A company that employs staff under a mainland licence deals with MOHRE for work permits and Emirati hiring.

About Qawi · Qawi is a corporate services firm licensed in the Sharjah Media City (SHAMS) free zone, handling company formation, visas and PRO, bookkeeping, VAT and corporate tax for UAE businesses. Guides are researched from FTA, Ministry of Finance and free zone sources. Qawi on LinkedIn

Sources

Last checked: 22 October 2026

This is general information, not tax or legal advice for your specific situation.

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