The new system for categorizing businesses will divide them into three groups based on the diversity of their workforce’s cultures and skill levels.
According to the scheme, new work permit payments will be assessed based on the worker’s skill level, whether they are employed domestically or abroad, and the type of business. The cost of a work permit is waived for businesses that hire Emiratis or residents of Gulf nations, as well as for fishing boat facilities.
- Classification System: The first category of the new system includes fishing boats owned by individuals and businesses, members of the Emiratisation Partners Club, small and medium-sized businesses that are members of the youth project support institutions that meet the standards, as well as the new service centers ‘Tadbeer’.
- Multicultural diversity: A corporation is graded in this category as “Category 2” and given an A, B, C, or D grade depending on the percentage of skilled people it employs and the depth of its commitment to ethnic diversity.
- 2A: If a company has at least 50% of its workforce that is multi-cultural and at least 40% of that workforce is competent, that company will be categorized as (Category 2A).
- 2B: A business will be categorized as (2B) if it employs between 10% and less than 40% skilled workers and at least 50% multiracial employees.
- 2C: The organization will be placed in category 2C if the proportion of skilled workers is between 5% and less than 10% of the entire workforce and there are at least 50% of diverse employees.
- 2D: If the business does not have at least 50% of multicultural employees or if the proportion of skilled workers is less than 5% of the entire workforce, the organization is categorized as category 2D.
- A maximum of three employees: Companies with a workforce of no more than three employees fall under category 2B, which also includes businesses with four to 10 employees if the multicultural ratio is met to a 50% degree.
- Third Category: A corporation will be categorized as category 2D if the multicultural ratio is not satisfied.If a corporation has engaged in one or more of the 10 infractions listed in the Labour Law, it will fall under the third category of the system.When a company satisfies the categorization requirements and requirements of the category or level to which they are being transferred, they are moved from one category or level to another or from one level up or down.
The cost of work permits for foreign workers
Exempt businesses from paying the permission cost for hiring GCC or Emirati workers, as well as the fishing boat facilities.
AED300 is required for the issuance of a two-year work permit for those sponsored by their families for all types of establishments, regardless of whether the worker is skilled or unskilled. The fee for a work permit for those sponsored by their families has been reduced from AED200 to AED100 for all types of establishments, down by 50%.
For Category 1 businesses, the former charge for giving two-year work licenses to family-sponsored employees, whether they were skilled or not, was AED300. The fees for Level A for Category 2 establishments were AED 500 for skilled workers and AED 1,000 for unskilled workers, Level B for skilled workers and AED 1,500 for unskilled workers, Level C for skilled workers and AED 1,500 for unskilled workers, and Level D for skilled workers and AED 2,000 for unskilled workers. The rates for Category 3 establishments were AED 5,000 for both skilled and unskilled labor. This indicates a 94% reduction in the costs for this category.
The cost of granting a work permit was decreased from AED200 to AED100, a 50% decrease, and the cost of granting or renewing a two-year work permit for skilled workers was decreased by 5% for all establishment types. For Category 1 enterprises, the current charge for issuing or renewing licences is AED150. Currently, Level A costs AED250, Level B costs AED500, Level C costs AED750, and Level D costs AED1,000 for Category 2. Currently, Category 3 establishments must pay a fee of AED2,500.
For all types of establishments, the fee for issuing a permit to transfer a skilled worker from one to another that is owned or partnered by the same employer, as well as the fee for transferring a skilled worker from one to another, has been reduced by 50% to AED50. Additionally, the cost of issuing the aforementioned two-year permit has been reduced by 50%; it now costs AED75 for Category 1 establishments. Currently, Level A costs AED125, Level B costs AED250, Level C costs AED375, and Level D costs AED500 for Category 2. Currently, Category 3 establishments must pay a fee of AED1,250.
The decision decreased the costs by 50% to AED50 now for all types of establishments for the issuance of work permits for minors, temporary work permits, part-time job permits, training permits, probationary work permits, and assignment permits. For all types of companies, the current amendment cost for employment contracts is AED100, a 50% decrease.
Worker visa costs for those who are domestic employees
For companies mentioned in the various categories, the work permit fee is standardized at Dh200 for those who are sponsored by their parents.
Regardless of the worker’s skill level, the first category requires a fee for a work permit of Dh300, while the second category A requires a fee of Dh500 for skilled workers and Dh1000 for semi-skilled workers, and the third category IIB requires a fee of Dh1000 for skilled workers and Dh2,000 for semi-skilled workers.
enterprises in category IID will pay Dh2,000 and Dh3,000 for skilled and semi-skilled workers, respectively, while enterprises in category IIC will pay Dh1,500 for a work permit for a skilled worker and Dh2,500 for a semi-skilled worker.
Regardless of the workers’ skill level, work permit fees for businesses included in the third category will be Dh5,000. For different types of businesses, a price of Dh100 has been set for the application for a work permit, and a fee of Dh500 has been set for the issuance of a work permit for one year for part-time occupations for teens.
Employment transfer fees from one company to another
For each service requesting a transfer permit and the use of a worker from one company to another, as well as requesting permission to transfer and employ a worker from one company to another owned by the same owner or partner, a fee of Dh100 was established for companies listed in the three categories.
Regardless of the worker’s skill level, a transfer permit and the use of a worker from one firm to another for a period of two years will cost Dh150 for the companies listed in the first category.
The cost for second-class companies at Level A is Dh250 for skilled workers and Dh500 for workers with limited skills, Dh500 for skilled workers and Dh1,000 for workers with limited skills at Level C, Dh750 for skilled workers and Dh1,250 for workers with limited skills at Level D, and Dh1,000 for skilled workers and Dh1,500 for workers with limited skills at Level E. The cost for companies in Category III is Dh2,500 regardless of the worker’s skill level.
Renewal and amendment of work permits
The cost to renew a work permit for two years is Dh300 for the first category, regardless of the worker’s skill level, Dh500 for level B companies, Dh1,200 for level B semi-skilled workers, Dh1,200 for level C skilled workers, Dh1,500 for level C skilled workers, Dh2,700 for level D semi-skilled workers, and Dh2,000 for level D skilled workers.
The companies named in the three categories were given a budget of Dh200 for each service, including changing the work permit or the employment contract. The cost to renew a work permit has been set at Dh100 per month for the businesses falling under the three categories.
A single price of Dh2,000 for opening a company register, Dh250 for an electronic signature card, and Dh200 for a public relations officer (PRO) card valid for two years for foreigners was established for the three classification system categories. It costs Dh100 to issue an electronic work permit for domestic employees that is valid for two years for nationals and one year for foreigners. Dh100 is also required to renew the permission.
The cost to issue a domestic worker work contract for two years for nationals and one year for expats is Dh50, while the cost to renew the contract is Dh50.