Abu Dhabi: Some 3,500 Emiratis were offered jobs in the private sector last year as 88 per cent of the companies achieved the emiratisation target, a minister said yesterday.

"[A total of] 923 companies of the 1,054 firms in the commercial sector have achieved the two per cent emiratisation target set by the Cabinet," said Dr Ali Bin Abdullah Al Ka'abi, Minister of Labour.

The commercial sector has positively followed the mandatory annual emiratisation quota.

As a result, 1,400 per cent increase in the number of private companies meeting the two per cent emiratisation quota was achieved at the end of last year, according to a report from the National Human Resources Development and Employment Authority (Tanmia).

Out of a total of 1,054 firms in the commercial sector required to implement the two per cent emiratisation quota, a total of 923 companies have fulfilled the required percentage and recruited 3,695 Emiratis last year, compared to 259 Emiratis in 2005, Dr Al Ka'abi said.

Achievements

Dr Al Ka'abi added that the number of firms that achieved or exceeded the emiratisation target was 365 or 40 per cent of the companies, which complied with the quota, compared to only one per cent the previous year.

Tanmia's analysis of the companies that achieved the target showed that 58 per cent of these companies were in Dubai, 25 per cent in Abu Dhabi and 13 per cent in Sharjah. The remaining emirates had four per cent of the successful companies.

At the same time the number of firms which employed Emiratis but failed to achieve the emiratisation quota, had also increased to 75 from 26 at the end of the previous year.

The number of companies that did not cooperate with the ministry in its emiratisation drive had decreased from 613 in 2005 to 293 last year.

Boost

Dr Al Ka'abi has been stressing on hiring of Emiratis at companies. In an attempt to boost the emiratisation drive in the trade sector, the Cabinet issued a decree in 2004, making it mandatory for companies in this sector with over 50 employees, to ensure a two per cent yearly increase in the number of Emiratis.

The Labour Ministry has implemented a carrot and stick policy to address the emiratisation issue in trading companies.

Under the policy, companies where nationals comprised two per cent of its workforce, have been placed in Category A, had their bank guarantee waived and the transaction fees reduced.

Companies that fail to apply the emiratisation quotas have been downgraded to Category B or C, and face a huge increase in fees for labour transactions and an increase in fines.

Those that failed to comply with the emiratisation quota, also had their transactions suspended.

Companies that attempted to meet the quota but failed for reasons beyond their control were offered assistance to meet the target.

Source: GULF NEWS