By Huda Ata
Copyright gulfnews
Dubai: Dubai Courts has declared that “sham employment” — the practice of hiring Emiratis on paper only to meet quotas — is among the most serious violations linked to the Nafis programme, classifying it not as a mere administrative infraction but as a crime against public funds.The judiciary stressed that such cases are treated as fraud or embezzlement and subject to criminal prosecution, with penalties aimed at safeguarding the integrity of the labour market.The warning comes as the UAE intensifies efforts to promote its national Emiratisation agenda, which seeks to expand the participation of Emiratis in the private sector..MoHRE detects 405 cases of fake Emiratisation in first half of 2025.Nafis, the flagship federal programme launched in 2021, offers financial incentives and benefits to companies that employ Emiratis.The tougher stance is codified in Federal Decree-Law No. 9 of 2024 on labour relations and Cabinet Resolution No. 43 of 2025, which outline a series of violations and sanctions tied to Nafis.Article Two of the Cabinet Resolution specifically identifies sham employment, failure to comply with Emiratisation quotas, falsification of documents, and withholding wages or benefits from Emiratis as “grave breaches.”Penalties for violators include suspension of government support, repayment of improperly obtained funds, fines, and, in repeat cases, suspension or cancellation of business licences. Where fraud or forgery is proven, companies can be referred to the Public Prosecution, exposing owners and managers to criminal liability that may include imprisonment..Over 152,000 Emiratis now employed in UAE private sector: MoHRE.Judge Hamda Ahli of Dubai Courts’ labour division stressed that fake employment is a misuse of government resources and a betrayal of public trust. Legal consequences may include heavy fines, imprisonment, or both, in addition to administrative sanctions such as loss of government benefits or licence suspension.Ahli added that the UAE judiciary acts with “firmness and transparency,” expediting such cases to protect both economic integrity and social trust.
