Emiratisation applies to mainland private-sector establishments. Those with 50 or more employees carry a percentage target on skilled roles in any sector. Those with 20 to 49 employees carry a fixed hiring requirement, but only in 14 designated sectors. Below 20 employees there is currently no headcount requirement.
Source: MOHRE; Ministerial Resolution No. 455 of 2023 · Checked August 2026
Part of the full Emiratisation compliance guide.
How many employees before Emiratisation applies?
| Employees | Requirement |
|---|---|
| Under 20 | None currently |
| 20–49, in a designated sector | A fixed number of Emirati hires, then retention |
| 20–49, outside those sectors | None currently |
| 50 or more | Percentage target on skilled roles, any sector |
All of this applies to mainland establishments. Free zone entities are outside MOHRE’s framework, with one important exception covered in Emiratisation and free zones.
The count is total headcount, not skilled roles
The threshold that brings you into scope uses total registered headcount. The target, once you are in scope, is calculated against your skilled roles. See what counts as a skilled role.
A company with 400 employees of whom 60 are skilled is in scope because of the 400 and calculates on the 60.
Companies with 20 to 49 employees
Ministerial Resolution No. 455 of 2023 set a fixed hiring requirement: one Emirati by the end of 2024 and a second by the end of 2025.
The obligation then changes shape. The resolution sets hiring obligations through 2025, followed by a retention rule. An Emirati who leaves must be replaced within two months, or the relevant contribution applies.
So for smaller establishments, 2026 is about holding what you have rather than adding more.
Non-compliance is assessed annually and payable in January of the following year. AED 96,000 applied to the 2024 target and AED 108,000 to the 2025 target. No figure has been published for a 2026 assessment (unconfirmed at the time of writing).
You may see the 20–49 rule attributed to “Cabinet Resolution No. 44 of 2024”. That appears to be a misattribution, Cabinet Resolution No. 44 of 2023 is a separate instrument concerning penalties for circumventing targets. See our fact check.
What sectors are targeted by Emiratisation?
For establishments with 50 or more employees, all sectors are covered. Sector only matters at 20 to 49 employees.
The 14 designated sectors:
- Information and Communications
- Financial and Insurance Activities
- Real Estate Activities
- Professional, Scientific and Technical Activities
- Administrative and Support Services
- Education
- Healthcare and Social Work Activities
- Arts and Entertainment
- Mining and Quarrying
- Manufacturing
- Construction
- Wholesale and Retail Trade
- Transportation and Storage
- Accommodation and Food Services
Classification follows your trade licence, not how you describe the business. A company that thinks of itself as a technology business may be licensed under professional services. Between 20 and 49 employees, that classification is the single fact that decides whether you have an obligation.
Crossing a threshold
The obligation arrives with the headcount, not at a convenient budget cycle.
Crossing 20 in a designated sector brings the fixed-hire requirement.
Crossing 50 moves you onto a percentage target that rises two points a year. This is the bigger change, and a company comfortable with “two Emiratis” can find itself short immediately.
Model it before the hire that takes you over the line.
Group companies
Each MOHRE-registered establishment is assessed on its own. Group headcount is not aggregated, and one entity exceeding its target does not offset another falling short.
What is genuinely out of scope
Few things are true exemptions. Most establishments outside the framework are outside it because of scope, jurisdiction, size or sector, rather than because they have been exempted. Scope boundaries can move; exemptions generally do not.
Not exemptions, despite being treated as such:
- Difficulty recruiting. The contribution applies to the unfilled position, not the effort made.
- Being newly established. The obligation attaches to the establishment as it stands.
- Employing Emiratis below AED 6,000. From 1 July 2026 they are excluded from the calculation, so this reduces your count rather than satisfying it.
There is no general application route for exemption. The framework operates on scope, not case-by-case relief.
Read next: Emiratisation and free zones, including the dual-licence case that catches groups out.
Last checked August 2026 · Sources: official platforms
