Can you settle a Dh100K fine for a ghost employee in UAE?

Question: I am the owner of a company. I want to know how I can settle with the Ministry if I receive a fine of Dh100,000 for appointing an employee who is not actually working.

Answer: According to Article 60/2 of the Federal Decree-Law No. (33) of 2021 concerning the regulation of labour relations and its amendments:

Employers who violate laws, regulations, or decisions governing the labour market by appointing an employee or employees in fictitious circumstances will be fined not less than Dh100,000 and not more than Dh1 million. If such actions result in the employee obtaining any benefit or advantage from any ministry, council, fund, authority, or other government entity authorised by law or by decisions of the Council of Ministers to regulate the labour market, increase competitiveness, or assist in evading statutory obligations:

The employer may not recover the value of the financial incentives paid to any of these entities from the employee.

The penalty stipulated in this clause is multiplied by the number of fictitious employees appointed.

Criminal proceedings may only be initiated at the request of the Minister or his authorised representative.

If the employer requests a settlement, the Ministry may grant it prior to a judgment being rendered. Under such a settlement, the employer is required to pay at least 50 per cent of the minimum fine specified for this offense. Additionally, the employer must refund all financial incentives received by employees appointed fictitiously. The criminal case will be terminated upon payment of the settlement amount.