What is Emiratisation

All You Need To Know About What is Emiratisation in UAE

Emiratisation is the policy initiative in the United Arab Emirates (UAE) with the goal of increasing the participation of Emirati citizens in the workforce, both private and public. To reach this goal, the UAE has started various programs to encourage companies to hire more Emirati nationals.

In this article, we will dwell into the final goal of this initiative, the consequences those policies have brought, the impact that has caused in the country, socially, economically and culturally and what the Emiratisation means for expatriate workers.

Why Emiratisation Is Important in the UAE?

What is Emiratisation

Emiratisation is a concerted effort to reduce unemployment among Emiratis and build a sustainable, diverse and growing economy in the UAE.

The initiative seeks to provide job opportunities, improve living standards, and promote knowledge transfer among Emiratis, creating a participative environment.

Beyond economic considerations, Emiratisation also aims to reinforce Emirati identity, instilling a sense of pride and active participation in the nation’s development.

It also proposes to break down the gender barriers and provide to their citizens a social stability that allows the cultural growth of the nation.

So, under this light we can affirm that the Emiratisation’s importance lies on its base of helping their locals to grow in every area of their lives in order to make the UAE grow.

Economics Impacts Of The Emiratisation

The Emiratisation policy has had a significant impact on the UAE’s economy, fostering diversification, skill development, and corporate responsibility.

  • Economy Diversification: Emiratisation has encouraged companies to invest in sectors like tourism, technology, and healthcare, diversifying the economic base.
  • Skill Development and Innovation: Emiratisation has resulted in a workforce that is not only competitive but also innovative on a global scale.
  • Knowledge Transfer: The employment of Emiratis has facilitated the exchange of skills and expertise across various sectors.
  • Reduced Reliance on Foreign Labor: Emiratisation aims to balance the job market, reducing competition for certain roles.
  • Corporate Social Responsibility: Companies are mandated to increase their Emiratisation rates annually.

The UAE’s implementation of these economic changes positions it as a leading innovator in comparison with other countries.

Social and Cultural Significance

Emiratisation extends beyond economics, influencing the social and cultural fabric of the UAE in nuanced ways.

  • Preservation of National Identity: This policy aims to preserve the UAE identity.
  • Cultural Integration: The policy encourages cultural integration to create a unified national identity.
  • Youth Empowerment: Emiratisation empowers the youth by providing job opportunities.
  • Social Stability: By reducing unemployment, Emiratisation contributes to social stability.
  • Family Values: Emiratisation aligns with family values supporting their families and communities.
  • Gender Inclusivity: The policy actively promotes gender inclusivity, creating an environment where talent is recognized irrespective of gender.
  • Skills Development: Emphasizes skills development, ensuring that locals contribute meaningfully to the workforce and the nation’s progress.
  • Sense of Community Pride: The policy instills a sense of community pride, as Emiratis actively engage in the workforce.
  • Government-Community Partnership: Emiratisation represents a partnership between the government and the community.

In summary, we can say that Emiratisation is a policy that, beyond the economic strategy, it is also based on the well-being of the citizens and the idea of upgrading their lifestyle.

Impact of the Emiratisation In UAE Business

Although some may overlook Emiratisation as entirely positive, the business that operated in the country may face some challenges.

  • Meeting Emiratisation Quotas: Achieving Emiratisation quotas can be challenging, especially for businesses with historically low Emirati participation.
  • Adjusting Hiring Processes: Companies must adapt their hiring processes to meet Emiratisation goals, ensuring a more diverse workforce.
  • Providing Specialized Training: Businesses must invest in specialized training for Emirati employees, requiring additional resources and time.
  • Social Responsibility: Providing specialized training is seen as a social responsibility that businesses must undertake.
  • Balancing Job Market: Achieving a balance between local and international staff requires a strategic approach to navigate differences in work styles and labor expectations.

While it can be perceived as challenging, the business that can align with the law gains a positive image compared to others.

Being seen as diverse, including and supporting the Emirati community gives power to private and public organizations around the world.

Impact on Expatriate Workforce

Emiratisation introduces a significant shift in the job dynamic of the UAE, influencing expatriate employment.

  • Increased Competition for Roles: Expatriates face heightened competition for roles, especially where there is a push to hire Emiratis.
  • Changes in Hiring Processes: Companies may adapt their hiring processes in favor of Emiratis, potentially impacting employment opportunities for expatriates.
  • Knowledge Transfer: Expatriates need to focus on knowledge transfer and contributing to the Emiratisation initiative to remain relevant in the changing job landscape.
  • Adaptation and Career Planning: Expatriates must adapt to the changing dynamic and strategically plan their career paths for continued success.

Rather than seeing this as an obstacle, the expatriates can approach this new job dynamic as an opportunity to rebrand themselves and grow into a specific labor path.

Their success will depend on how well they can navigate through the  new ways and how much they support the Emiratisation.

Inclusion and Diversity

What is Emiratisation

Emiratisation brings unprecedented diversity to UAE businesses, resulting in numerous positive changes.

  • Talent Attraction: Emiratisation enhances talent attraction and retention, creating a diverse and innovative talent pool.
  • Enhanced Customer Understanding: The mix of expatriates and locals improves the response to a varied customer base, elevating customer satisfaction.
  • Global Competitiveness: Embracing Emiratisation enhances global competitiveness for private companies, creating a balanced workforce.
  • Regulatory Compliance and Reputation: Companies that embrace Emiratisation not only comply with regulations but also cultivate a positive image, contributing to a stellar reputation.

Embracing this new diversity can be difficult at first for both employees and employers, but it is also a chance to create a competitive and collaborative environment.

Conclusion

The impact of Emiratisation on the UAE is profound, reshaping the job dynamic and necessitating adaptability from businesses and employees.

While challenges exist, embracing Emiratisation is crucial for creating a more diverse, innovative, and participating work environment.

For further insights on Emiratisation and related topics, explore our insights section!

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Kate is the Global Strategy Director at Connect Group. She is specialized in company formation, international business expansion and employee relocation. She studied in Southampton (United Kingdom) and moved to the UAE in 2014.

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