Emiratization Not Applicable to Free Zones . 

1. 1. An important clarification about the Emiratization initiative for the private sector in the U.A.E. At present, the Emiratization requirement applies to the mainland companies only.
   2. This means that free zone companies are excluded.
   3. This is because, the Emiratization initiative is being mandated by and is subject to the U.A.E. Ministry of Human Resources and Emiratization which is otherwise referred to as MOHRE.
   4. MOHRE, on the other hand, is the governing authority for the mainland companies.
   5. Free zone companies – are subject to their own free zone authorities, which serve an equivalent function to that of MOHRE.
   6. Currently, the legislative authority, which establishes the requirement of Emiratization is Ministerial Resolution No. 279 of 2022.
   7. It is this Resolution, which sets out the Emiratization quota, timeline for its implementation and corresponding penalties.
   8. This Resolution 279, applies, expressly, to establishments or companies, which are registered with MOHRE. This includes only mainland companies, and not free zones.
   9. Should free zone companies wish to adopt similar Emiratization initiative, they can do so by introducing similar regulations, as those mandated by MOHRE.
   10. Until such time, the current Emiratization requirements applies only to the mainland companies.