UAE Imposes Fines for Hiring Foreign Workers Without Permits

The UAE government has implemented stringent penalties for companies that hire foreign nationals without valid work permits, referencing Federal Decree Law No. 2 of 2007 as the legal basis for enforcement. Companies found employing expatriates lacking official work permits will incur a fine of AED 50,000 (approximately N18,011,980).

Furthermore, repeat offenders will face additional sanctions beyond the initial fine. The UAE's directive specifically targets foreign workers who possess legitimate work permits tied to one employer but are found working for another company.

In such cases, the company benefiting from the unauthorized labor will bear the financial and legal consequences of the fine. This enforcement is part of the UAE's existing framework to regulate its substantial expatriate workforce, which constitutes a significant portion of the national labor market.

Companies are mandated to ensure that every worker on their payroll has documentation that authorizes employment specifically with their organization.