UAE to suspend business centres for up to two years over labour law violations

Dubai: The Ministry of Human Resources and Emiratisation (MoHRE) has clarified that penalties for violating business centre regulations will include suspending their operating privileges for periods ranging from three months to two years, under a new ministerial decision aimed at strengthening oversight and compliance in the private sector, Al Bayan newspaper reported. 

The measure is outlined in Ministerial Resolution No. (702) of 2025, which defines the responsibilities and obligations of business centers that assist companies and individuals in accessing ministry services. 

The regulation specifies administrative and legal sanctions applicable to centers and their employees when violations are detected.

Under the decision, users’ access privileges to ministry systems will be immediately suspended upon confirmation of a violation, and reactivation will only occur after all corrective procedures are completed. 

The suspension period will last two years for severe offenses, such as involvement in human trafficking or employing foreign workers without valid work permits.

Lighter penalties include three-month suspensions for submitting false data, documents, or engaging in fake Emiratisation practices, and six-month suspensions for misuse or unauthorised sharing of electronic access privileges.

The ministry also reserves the right to refer violators to judicial authorities when deemed necessary, in addition to the administrative sanctions outlined in the decision. 

In exceptional cases, the Undersecretary for Labor Market and Emiratisation Affairs may authorise reinstatement of access before the suspension period ends.

Affected business centres are entitled to appeal the decision within 15 days of the suspension notice. The ministry’s ruling on the appeal will be final.

MoHRE said the resolution reflects its broader efforts to enhance regulation and transparency across business centers, which play a vital role in supporting the labor market and national Emiratisation initiatives. 

The ministry emphasised that the framework seeks to curb malpractice, ensure compliance with labor laws, and uphold the integrity of services provided to both companies and individuals across the UAE.