UAE Skills Classification System
The Ministry of Human Resources and Emiratisation (MOHRE) recently published a new legislation to encourage cultural diversity and recruitment of more skilled workers within the private sector and is incentivising companies with reduced administrative fees.
New categories for classification have been introduced that will directly impact whether a bank guarantee is payable by the company as well as the amount of fees applicable for every day MOHRE services, such as issuing and renewing work permits.
The new legislation covers:
– expanding the list of exemptions to payments of bank guarantees (new categories and classification)
– distinction between workers as ‘skilled’ and those with ‘limited skill’
– reduced fees to MOHRE services involving ‘skilled’ workers.
The level of skills are defined as follows:
– skilled’ workers: employees who perform a role which requires the worker to hold, as a minimum, a legalised education certificate higher than the general secondary education certificate with the implication being that such workers must hold a diploma or a degree certificate (or such equivalent).
– ‘Limited skilled’ workers are those not meeting the minimum requirements under the definition of ‘skilled’ workers.
Further clarity is required however should more information be requested on the different categories and how this applies to your industry and business, please do not hesitate to reach out to the BOTH Compliance team.
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