TaxSavvyAE

Emirati employee resigns

Our Emirati employee resigned. Will we be penalised?

The situation

Guides report that contributions resume if the position is not refilled within a grace period after resignation, around two months.

The law

  • MOHRE Emiratisation rules: Replacement period after a national leaves

What it means for you

Start recruiting immediately. Example: resignation on 1 November means aiming to replace by early January to avoid contributions for the gap. Keep the resignation documents.

What to do

  1. Record the resignation date.
  2. Post the vacancy on Nafis.
  3. Hire within the grace period.
  4. Register the new contract.

Confirm the current grace period with MOHRE.

We can do this for youEmiratisation compliance: targets for companies with 50 or more staff, 20 to 49 staff rules, Nafis and contributions: AED 2,500

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