Dubai Courts classifies fake Emiratisation as fraud; To be treated as a criminal offence against public funds

The Court stressed that such practices undermine the integrity of the labour market and the Nafis programme, which incentivizes companies to genuinely employ Emiratis. Prosecutions will now be pursued to safeguard Emiratisation efforts and national employment goals. 

This strict stance is codified in Federal Decree-Law No. 9 of 2024 on labour relations and Cabinet Resolution No. 43 of 2025, which classify grave breaches such as sham hiring, falsifying documents, non-compliance with quotas, and withholding wages or benefits from Emiratis. 

Article Two of the Cabinet Resolution explicitly lists these violations as “grave breaches.” And penalties for these violations are severe, with companies facing suspension of government support, repayment of improperly obtained funds, heavy fines, and, in repeat cases, suspension or cancellation of business licences. 

Judge Hamda Ahli of Dubai Courts’ labour division highlighted that “fake employment is a misuse of government resources and a betrayal of public trust.” Adding that the UAE judiciary acts with “firmness and transparency,” expediting such cases to protect both economic integrity and social trust. 

This ruling sends a strong message to companies in the UAE that Emiratisation must be real and meaningful, anything else is now a criminal matter with serious legal and financial consequences.