New classification system for private sector entities in UAE

The UAE Ministry of Human Resources and Emiratisation has categorized private sector entities into three categories.

The new companies are classified based on their wage protection system, cultural diversity, and commitment to decisions that govern the labor market.

The Minister of Human Resources and Emiratization, Dr. Abdul Rahman Al Awar, said that work on the project would begin in early June.

He explained that this category includes companies that do not meet the standards of cultural diversity or the wage protection system or are proven to have committed violations.

The fee for obtaining a work permit will be 250 dirhams for two years in the first category, 1,200 dirhams for classified companies in the second category, and 3,450 dirhams for the third category.

The ministry will issue a working map for companies and establishments that want to upgrade their classification.

The classification of facilities would be updated directly on the website. Companies must adhere to certain standards to raise or lower the classification of facilities, including the percentages of Emiratisations, training citizens, and supporting their projects.