Thu. Jun 8th, 2023

New legislations cover employment, businesses and civil matters
Dubai: Some big legislative changes will take effect this year, aimed at benefitting UAE residents in their professional lives, as well as in their personal matters. Here are five laws that come into force in 2023, and why they matter. 
Mandatory scheme, where employees will be able to get 60 per cent of their basic salary with a premium of Dh60 (Dh5 per month) or Dh120 (Dh10 per month), depending on the category they fall under.
January 1, 2023, but as per the details announced, you must complete a minimum of 12 consecutive months in your previous job, calculated from the day you subscribed to the insurance scheme, to be eligible to receive compensation under the insurance scheme.
There are two categories under the insurance scheme, the first one for employees who are earning a basic salary of Dh16,000 or less and the second category is for employees earning a basic salary of over Dh16,000. By enrolling in the insurance scheme, you will receive 60 per cent of your basic salary for up to three months after you lose your job.
To find out more about the situations when you may not be eligible to receive the unemployment insurance compensation and the guidelines you have to follow to enroll in the insurance scheme, read our detailed guide here.
February 1, 2023
The new personal status law for non-Muslims covers various aspects of civil life, including marriage, divorce, estate, will and custody of children. The provisions of the law apply to non-Muslim residents in the UAE and regulate the marriage conditions and the procedures of contracting and documenting the marriage before the competent courts, specify the procedures of divorce that can be initiated jointly or unilaterally and organise the procedures for settling the financial claims after divorce, and the arrangement of joint custody for children. Additionally, the law also organises the procedures for inheritance and testaments (wills) and proofs of paternity.
January 1, 2023
Private companies in the UAE with at least 50 employees will be required to meet a two per cent Emiratisation target before January 2023. The UAE Cabinet had approved the decision in May this year, with the aim to create more than 12,000 job opportunities annually for UAE citizens in all economic sectors.
Non-compliant companies will have to pay an amount of Dh6,000 monthly, starting from January 2023, for every citizen who has not been employed.
If you are not sure about the recruitment targets that are applicable to your company, you can reach out to the Nafis customer service centre on 800 NAFIS or 800 62347.
Businesses will become subject to UAE Corporate Tax from the beginning of their first financial year that starts on or after June 1, 2023.
In January 2022, the UAE’s Ministry of Finance announced that it will introduce federal Corporate tax on the net profits of businesses, and will be applied across all Emirates. Under the new tax regime, corporations and other businesses with taxable profits exceeding Dh375,000 will be mandated to pay a standard rate of 9 per cent. For a detailed guide on the corporate tax, its scope of application and exemptions, read our explainer here.
January 2023
The law is part of the UAE’s comprehensive Thabat programme that aims to turn 200 family-owned businesses into major companies by 2030, with a market value of over Dh150 billion and annual revenues exceeding Dh18 billion.
According to the UAE government’s official website – – the law will provide the legal framework required to ensure the growth and diversification of family businesses’ operations. Besides, it will facilitate their transition among generations, ensuring the continuity of these businesses beyond the third and fourth generations through studied mechanisms and procedures. This will enable them to expand and grow in a sustainable way, enhance their competitiveness and business growth inside and outside the country’s markets, in line with the objectives and projects of the 50 and the determinants of the UAE Centennial 2071.

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