As part of the ongoing reforms in the labour market, the Labour Ministry has introduced a new classification system for companies to ensure the compliance of the private sector with national regulations.
One of the major changes in the rules is that the Emiratisation rate should be not less than 15 per cent of the total number of staff in large companies. The change obviously aims at encouraging the private sector to hire UAE employees as a response to the growing unease over the country's demographic composition.
The issue enjoys the attention of the highest authority in the country and a special Cabinet committee has been set up to address it.
Another change in the rule stiffens the punishment for violating the wage commitment of companies. Firms will have to pay higher fines and risk being blacklisted if they fail to respect the financial rights of their employees.
The labour market reforms, as stated by President His Highness Shaikh Khalifa Bin Zayed Al Nahyan in his National Day speech, are a challenge the UAE is addressing as part of its human development process.
This process, and the progress achieved in the past few years in the labour sector, have won the praise of international organisations.
