By The Ministry of Human Resources and Emiratisation (MoHRE) has heralded a transformative update for businesses in the UAE, signaling a shift towards diversity and inclusivity. In a significant move on July 11, 2023, the MoHRE broadened the Emiratisation targets, extending the requirement to small and medium-sized enterprises (SMEs) with a workforce of 20 to 49 employees. This development, set to impact 14 crucial sectors in the UAE, presents both challenges and opportunities for SMEs.
Understanding the Emiratisation Expansion
Traditionally, Emiratisation goals were tailored for larger enterprises, but this policy shift extends its reach to SMEs within the specified sectors. Effective 2024, SMEs in the identified sectors are mandated to employ at least one UAE citizen, escalating to every other UAE citizen by 2025. The affected sectors include:
Administrative and support services.
Education.
Construction.
Arts and entertainment.
Financial and insurance activities.
Health care and social work.
Hospitality and residency services.
Information and communications.
Mining and quarrying.
Professional and technical activities.
Real estate.
Transformative industries.
Transportation and warehousing.
Wholesale and retail.
What Can Companies in the UAE Do Now?
This expansion of Emiratisation goals provides a unique opportunity for SMEs to contribute to the economic and social progress of the UAE. Here are insights to navigate this change effectively:
Embrace Diversity:
Consider this as a significant move towards diversifying your workforce, tapping into unique perspectives and stories of UAE nationals.
Early Planning:
Initiate planning now to meet the 2024 and 2025 targets. Identify roles suitable for Emirati personnel and devise strategies for their seamless integration.
Engage Local Expertise:
Seek advice from professionals well-versed in Emiratisation and UAE labor market regulations to ensure compliance.
Think Long-Term:
Embrace the opportunity of hiring Emirati graduates, offering not only employment but also opportunities for professional growth and development.
Stay Informed:
Keep abreast of government projects and incentives that support your Emiratisation efforts. The commitment to a diverse and skilled workforce may come with various guides to aid your journey.
Collaborate:
Consider forming partnerships or participating in programs connecting SMEs with potential Emirati candidates, often facilitated by the government and local agencies.
Leverage Technology:
Embrace information technology for skills acquisition and management. Utilize online job portals and virtual conversations to streamline the hiring process.
The Path Forward: Seizing the Emiratisation Opportunity
David Mackenzie, Managing Director at recruitment firm Mackenzie Jones, aptly notes, “Essentially, each agency in the UAE will hire an Emirati at some point in the future.” This sentiment resonates deeply as the UAE embarks on a new phase of its Emiratisation journey.
Fostering Economic and Social Progress
Aligned with the ‘We the UAE 2031’ strategy, the Emiratisation campaign becomes a symbol of the government’s unwavering commitment to enhancing the nation’s economic strength and social fabric. The UAE envisions a future where Emiratis play a pivotal role in the nation’s growth across various sectors.
Unlocking Potential
Embracing the expansion of Emiratisation goals is not just a matter of compliance; it’s an opportunity to tap into the potential of the UAE’s local talent pool. Young Emirati graduates bring fresh perspectives, cultural expertise, and a deep commitment to their country’s development. SMEs have the chance to offer opportunities and contribute to the growth of these graduates.
A Win-Win Proposition
While SMEs may face challenges, the expansion offers a win-win proposition. Although SMEs may not compete with larger companies in terms of salaries, they have the flexibility to foster creativity and innovation. Emirati graduates can find a range of opportunities at SMEs, making a significant impact and contributing to the company’s growth.
Early Action and Strategic Planning
Thriving in this new Emiratisation landscape requires early planning. Identify roles suitable for Emirati employees, strategize their integration, and collaborate with educational institutions and government programs to identify and nurture local talent. Think long-term and recognize the role SMEs play in shaping the professional paths of young Emiratis.
Government Support and Incentives
Stay informed about government initiatives and incentives that support your Emiratisation efforts. The UAE government’s commitment to a diverse and skilled workforce may come with support programs that aid your journey.
In conclusion, as SMEs align with the new Emiratisation objectives, they actively shape a more inclusive future for themselves and the UAE. By fostering diversity and providing opportunities for local graduates, SMEs contribute significantly to the UAE’s journey towards a prosperous and diverse future. Connect with Start Any Business to embrace the Emiratisation opportunity and contribute to the nation’s growth and success.
