New Minimum Wage Takes Effect
The United Arab Emirates has officially implemented a binding minimum wage of AED 6,000 per month for its Emirati citizens employed in the private sector. This significant policy change, announced by the Ministry of Human Resources and Emiratisation (MoHRE), became effective on January 1, 2026. The new regulation applies to all new, renewed, and amended work permits for Emirati nationals in the private sector.
Phased Approach to Emiratisation
This latest adjustment is part of a broader, phased strategy by the MoHRE to bolster the presence and attractiveness of Emiratis in the private workforce. Previously, the minimum salary for Emiratis in this sector was set at AED 5,000, following an initial threshold of AED 4,000. The gradual increase is designed to align with prevailing market wages and provide businesses with adequate time to adapt to the new standards.
Compliance and Penalties
Private sector companies are mandated to adjust the salaries of their existing Emirati employees to meet the AED 6,000 minimum by June 30, 2026. Failure to comply with the new wage floor will result in penalties starting from July 1, 2026. These measures include the removal of non-compliant firms from Emiratisation quotas and the suspension of new work permits until salaries are brought into line with the new regulations.
Supporting National Talent
The introduction of this minimum wage is a key component of the UAE's overarching Emiratisation strategy, which aims to strengthen labor standards and accelerate the integration of Emirati citizens into the private sector. The policy seeks to make private-sector careers more appealing to nationals by ensuring competitive and fair compensation. The initiative is further supported by programs such as Nafis, which provides incentives and connects employers with qualified Emirati talent. While this measure specifically targets Emirati employees, there is currently no formal minimum wage stipulated for expatriate workers in the UAE.
5 Comments
Michelangelo
The goal of strengthening Emiratisation is commendable, and AED 6,000 is a decent wage for nationals. However, the lack of a similar minimum for expatriate workers raises questions about equity and potential market distortions within the workforce.
BuggaBoom
What about expat workers? This is completely unfair and discriminatory!
Noir Black
Excellent step towards stronger Emiratisation! This is what we need.
Bella Ciao
Great move for Emirati citizens! This will truly help our nationals thrive.
Comandante
Another burden on the private sector. This will stifle growth and innovation.