How to Calculate Emiratisation Pay in the UAE: A Simple Guide

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Overview

Emiratisation is a strategic initiative by the UAE government to increase the presence of UAE nationals in the workforce, especially in the private sector. With mandatory quotas for hiring Emiratis, understanding how to calculate Emiratisation pay has become essential for both employers and job seekers. In this guide, we break down the calculation process, legal requirements, and key considerations to ensure you’re compliant and well-informed.

Whether you’re a UAE national exploring your salary expectations or an HR manager responsible for payroll, this blog will provide a simple yet accurate approach to Emiratisation pay calculation in the UAE.

What is Emiratisation Pay?

Emiratisation pay refers to the salary and benefits package provided to UAE nationals employed under the Emiratisation policy. It includes the basic salary, allowances, and government-supported incentives given to companies for hiring Emiratis.

The UAE Ministry of Human Resources and Emiratisation (MoHRE) has set specific guidelines to support the fair employment of UAE nationals. The salary depends on factors like education level, experience, job title, and industry standards.

Why It’s Important to Calculate Emiratisation Pay Correctly

✅ To comply with UAE labour laws
✅ To qualify for government incentives (NAFIS program)
✅ To ensure fair treatment of Emirati employees
✅ To avoid penalties for non-compliance

Companies that fail to meet the Emiratisation quotas face monthly fines of AED 6,000 per unfulfilled position, which increases over time (MoHRE, 2023).

How to Calculate Emiratisation Pay (Step-by-Step)

To calculate Emiratisation pay, you must consider these components:

Basic Salary
Allowances (Housing, Transportation, etc.)
Government Contribution or Subsidy (NAFIS Program)
Social Security for Emiratis (Employer and Employee Contributions)

Emiratisation Pay Breakdown Example

Component	Monthly Amount (AED)
Basic Salary	8,000
Housing Allowance	2,000
Transport Allowance	1,000
Government Support (NAFIS)*	5,000 – 7,000 (varies by education)
Total Emiratisation Pay	16,000 – 18,000

Note: The NAFIS support is provided for Emiratis working in the private sector, for up to 5 years, depending on the job and qualifications.

Government Support Based on Education Level

The NAFIS salary support program provides the following monthly salary supplements for UAE nationals:

Education Level	Salary Support (AED)
High School or Less	4,000
Diploma	5,000
Bachelor’s Degree or Higher	7,000

This support is paid directly to the Emirati employee in addition to their company salary.

Key Considerations for Employers

Ensure job titles align with approved NAFIS categories
Register Emirati employees with pension and social security schemes
Keep employment contracts transparent and compliant with MoHRE guidelines
Calculate Emiratisation pay based on both company policy and government incentives

Tips to Ensure Compliance

✔️ Keep up with MoHRE updates and quotas
✔️ Offer market-competitive packages to attract Emirati talent
✔️ Use official salary guides or job boards to benchmark industry standards
✔️ Consult HR professionals to avoid miscalculation

Conclusion

Understanding how to calculate Emiratisation pay is no longer optional—it’s a crucial part of workforce planning and legal compliance in the UAE. With the government actively promoting the inclusion of Emirati talent and offering generous subsidies, calculating the correct pay package benefits both the employer and the employee.

Whether you’re a private sector company aiming to meet Emiratisation quotas or a UAE national applying for roles, use this guide to ensure fair, transparent, and strategic salary calculations.

FAQs

1. What is the minimum salary for Emiratis under Emiratisation?
There is no official “minimum salary,” but NAFIS provides up to AED 7,000 in monthly support, depending on education level. Companies are expected to offer competitive pay.

2. How long is the NAFIS salary support provided?
Up to 5 years, as long as the employee stays in the private sector and remains compliant.

3. Do Emiratis contribute to social security?
Yes. Emirati employees contribute 5% of their salary, while employers contribute around 12.5%–15% depending on the emirate.

4. Is Emiratisation pay different for men and women?
No. The salary is based on qualifications, not gender. Both men and women are eligible for the same support.

5. Can I use an online tool to calculate Emiratisation pay?
Yes, some HRMS platforms offer automated Emiratisation pay calculators. You can also refer to MoHRE or NAFIS websites for up-to-date support information.