Effective from January 2023, companies will need to meet their Emiratisation quotas. Emiratisation is a UAE government initiative mandating the employment of Emiratis in both the private and public business sectors, to increase their contribution to the national economy. The UAE's goal is to have 10% Emirati private sector employment by 2026, raising Emiratisation for skilled private sector jobs annually by 2%.
In order to reach the desired rate of 10%, a quota system will be imposed on private sector employers, requiring them to recruit and retain a certain number of Emirati nationals as a percentage of their overall staff. These thresholds are as follows:
Companies who fail to meet their quota will be subject to a AED6,000 monthly fine for each Emirati not employed.
Under Abu Dhabi Pension Fund Law No (2) of 2000, The Abu Dhabi Pension Fund (ADPF) is a government entity used to manage contributions, pensions and end-of-service benefits for UAE nationals working in or retired from the government and private sector in the Emirate of Abu Dhabi.
Employers who have any Emirati employees will be required to register the company and its UAE Nationals with the ADPF system. In line with the Emiratisation quota criteria, if your business has 50 or more staff, you will be required to hire Emirati employees and therefore will also need to register your UAE National employees in the system.
The fund requires the employer to register and contribute on behalf of the employee within 30 days of the employee receiving their Labour Card. Pension contributions are made monthly and equate to 20% of the employees total salary. The employer is required to contribute 15% of the employee's salary and the employee must contribute 5% of his/her salary into the fund. The full 20% is debited from the company bank account and then it must be agreed between employer and employee on how the employee returns their 5% contribution to the employer.
Once the documents have been received, we will proceed to create a username for the company so we can proceed with the next step of the entity registration and then we can obtain the Direct Debit Form.
Also, the details (Mobile Number, EID, email address) for the personnel of the company: General Manager, HR Manager, Finance Manager
PRO Partner Group have close ties with key Abu Dhabi government departments and therefore can make the ADPF process more seamless for our clients.
Registering your company and employees with ADPF can be a complicated, time-consuming process with a lot of administration and document requirements. PRO Partner Group can assist with all steps in the registration of company and employees on the ADPF portal and continued portal maintenance assistance.