The best way to enforce Emiratisation in the private sector

Some are calling for penalties against companies who fail to employ enough UAE nationals and others are opting for incentives and awards.

Visitors to this year’s Tawdheef job exhibition for UAE nationals at Adnec make their way around the stalls. A bigger Emirati presence in the private sector is a Government goal. Mona Al-Marzooqi / The NationalShow less

ABU DHABI // Officials are conflicted over the best way to enforce Emiratisation in the private sector, with some calling for penalties against companies that fail to employ enough Emiratis and others seeking measures such as incentives and awards.

Federal National Council member Hamad Al Rahoomi, who said that the country had so far been unsuccessful at Emiratisation, believed a single federal legislative authority should be established immediately.

“Emiratisation is one of the most important issues that affects every individual,” he said. “It has to be continuously addressed because every year there are about 15,000 new graduates and this number is increasing.”

He blamed a lack of federal supervision for the failure to establish Emiratis across the workforce. If companies failed to adhere to targets, then punitive measures must be enforced, he said.

“Our efforts are broken up and spread out over five to six entities, such as Tawteen and the Ministry of Labour.

“The Ministry of Labour does not grant visas to expatriate workers if a qualified UAE national is available. Who has ensured that this is implemented? How can the Ministry of Labour continue to issue work visas to expatriates when there are UAE nationals available?”

Mr Al Rahoomi said that pleas to the private sector for the past 40 years had proven unsuccessful.

“They continue to insist to hire people from the same nation [as themselves] and will often pay extra to ensure that the Ministry of Labour allows them to recruit from their same nationality,” he said. “Why has no one questioned why Emiratis continue to resign from the private sector?”

The FNC member said the high turnover of Emiratis in the private sector was often a result of expatriates creating a hostile environment.

“The private sector continues to only think of their personal interests,” he said. “They are exempted from taxes and enjoy all the benefits of the UAE and yet refuse to take on any responsibilities towards the country.”

The interests of the UAE, he said, must supersede all others.

But Ahmed Al Dhaheri, director general of Zayed bin Sultan Al Nahyan Charitable and Humanitarian Foundation, disagreed.

“An employer always looks out for their personal interests and a person who adds value to the company,” he said. “We can challenge them and prove that we are added value to them. The cost of a national employee is less than an expatriate in the long term.”

Mr Al Dhaheri also said that “punishment is not a solution” to getting companies to comply.

“Emiratisation is a natural process. Emiratis have the right to love, learn and work. Society is ready for them to come aboard,” he said. “We should not force the private sector to Emiratise, but guide them. We don’t want to jeopardise the private sector or make them feel uncomfortable.”

This guidance, he said, should be done by awards, incentives or competitions.

“We can give rewards or benefits for the sector or companies who have the highest number of Emiratis,” Mr Al Dhaheri said. “We have previously been successful with this in the banking sector.”

Incentives, however, should be introduced by the Government, he said.

Both officials agreed that Emiratis were a greater asset to the nation than expatriates.

“Expatriates transfer most of their income to their home countries, so where is the benefit for the UAE in this? Emirati employees are of a different element,” Mr Al Rahoomi said.

Mr Al Dhaheri said Emiratis were “loyal, they understand the corporation and the business”, but he also said he believed that Emiratisation should remain “open” for now.

“If [private-sector companies] fail then the market will punish them. You don’t punish people. We have to stop pointing fingers and being judgemental on everything,” he said. “Expect the private sector to be wise and that they will do the best for nationals, but we have to encourage them.”