Strategic Overview
Emiratisation — the policy of increasing the participation of UAE nationals in the workforce, particularly in the private sector — has been a strategic priority for the federation for over two decades. The Nafis programme, launched in 2021, represents the most comprehensive and assertive iteration of this policy. Nafis consolidates and expands previous Emiratisation initiatives under a unified platform, combining salary subsidies, training programmes, job matching services, and regulatory mandates designed to make private sector employment attractive and accessible for Emirati citizens.
The structural context is critical. UAE nationals constitute approximately 10 percent of the total population, and the private sector workforce is overwhelmingly composed of expatriate workers. Historically, Emiratis have concentrated in the public sector, drawn by higher salaries, shorter working hours, better benefits, and cultural familiarity. This has created a dual labour market where the public sector absorbs national talent while the private sector relies almost entirely on imported labour. Nafis aims to correct this imbalance by making the private sector a viable and desirable career path for Emiratis.
Quota System and Enforcement
The regulatory backbone of Nafis is a mandatory Emiratisation quota for private sector companies. Companies with 50 or more employees are required to increase their Emirati workforce by a defined percentage annually. Non-compliant companies face financial penalties — a contribution to the Nafis fund calculated per unfilled position per month. This penalty mechanism creates direct financial incentive for companies to meet their targets and has been progressively tightened since the programme’s launch.
The quota system is sector-agnostic, applying across industries from banking and insurance to retail and technology. Implementation has required significant engagement with the private sector, as many companies initially lacked the recruitment infrastructure, training capacity, or role designs needed to absorb Emirati employees effectively. The Ministry of Human Resources and Emiratisation provides technical support, job fairs, and digital platforms to facilitate matching between Emirati jobseekers and private sector vacancies.
Financial Incentives and Support
Nafis offers several financial incentives to both Emirati employees and employers. Salary top-ups subsidise the gap between private sector compensation and the higher public sector pay scales that Emiratis have traditionally expected. Childcare allowances, pension contributions, and training stipends further reduce the financial barriers to private sector employment. For employers, wage subsidies and reduced fee structures provide partial offset to the higher cost of hiring nationals relative to expatriate workers at equivalent skill levels.
The programme also includes an entrepreneurship track, providing financial support, mentorship, and business incubation for Emiratis who choose to start their own companies rather than seek employment. This track recognises that workforce participation is not limited to salaried employment and that a growing Emirati entrepreneurial class contributes to both economic diversification and national workforce targets.
Training and Skills Development
Effective Emiratisation requires not only hiring mandates but genuine skills development. Nafis integrates training programmes that prepare Emiratis for private sector roles, including technical skills, soft skills, and sector-specific knowledge. Partnerships with private sector companies and training providers deliver on-the-job development and apprenticeship-style programmes. The Emirati Talent Competitiveness Council, part of the Nafis governance structure, oversees curriculum alignment between education institutions and private sector skill requirements.
A persistent challenge is matching Emirati career expectations with available private sector roles. Many entry-level positions in the private sector offer compensation, prestige, and working conditions that compare unfavourably with public sector alternatives. Nafis addresses this partially through salary subsidies, but long-term success depends on creating genuine career progression pathways within private sector organisations that make employment attractive beyond the initial subsidy period.
Policy Significance
Emiratisation is one of the UAE’s most politically significant domestic programmes. It touches on national identity, social contract expectations, economic efficiency, and the sustainability of the public sector employment model. The success of Nafis will be measured not only by placement numbers but by retention rates, career progression, and the extent to which private sector employment becomes normalised as a career choice for Emirati families. The programme operates at the intersection of economic policy and social engineering, making it one of the most complex and consequential initiatives within the We the UAE 2031 framework.