Emiratisation in UAE: Why hiring nationals is beneficial for private firms economically

Emiratisation in UAE: Why hiring nationals is beneficial for private firms economically

The Ministry of Human Resources and Emiratisation has expanded the Emiratisation target to include companies with 20 to 49 employees to hire at least one Emirati in 2024. Previously, only private sector companies with 50 employees or more needed to meet the said targets.

A senior industry executive has said that UAE nationals understand the culture and sensitivities and can help identify the right opportunities for private sector entities to tap into opportunities in the public sector and family-owned businesses.

“It is important to take the Emiratisation initiative seriously, not only because of the penalties for non-compliance but due to the positive impact it would have on companies that wish to engage with government entities or want to work with family businesses," Khalid Farooq, partner and advisor of BDO UAE, one of the world’s largest auditing and accounting firms, told Khaleej Times in an interview.

"Nationals know how to approach companies and entities and the sensitivities around certain matters. They can advise accordingly and play a vital role in identifying opportunities,” he added.

Farooq's statement comes as the Ministry of Human Resources and Emiratisation (MoHRE) earlier this month announced that around 79,000 UAE nationals were working in the private sector.

He advised private sector companies