How the Nafis Program UAE Reduces Hiring Costs

The Nafis program UAE is now central to every company’s Emiratisation plan, yet most HR teams still feel stretched. This article breaks down subsidies, targets, penalties, real cost savings, and how ArnifiHR helps companies stay compliant without adding internal workload.

1. Introduction

The Nafis program UAE has shifted from being a government initiative to becoming a strategic priority for companies that want to stay compliant and avoid penalties. Many businesses genuinely want to hire Emiratis, but the reality hits fast rising quotas, strict timelines, and limited internal bandwidth. Add the secondary subsidy layers, and suddenly HR teams feel like they’re running two systems at once.

Here’s the simple command hidden in plain sight: make Nafis work for you, not against you. The Nafis program UAE can reduce real hiring costs, but only if companies understand how to use it correctly and structure their staffing choices with intention.

This is where ArnifiHR steps in. Once a company selects or hires an Emirati employee we handle everything that usually overwhelms HR teams, onboarding, payroll, entity limitations, pension filings, compliance reviews, renewals, and day-to-day operational tasks. 

2. Roles & Responsibilities of Nafis

The Nafis program UAE sits under Projects of the 50, the national plan aimed at building long-term Emirati workforce participation. Emiratisation sets the targets; Nafis provides the financial support that makes those targets achievable.

Think of it this way:
• Emiratisation tells companies who they need to hire.
• Nafis tells companies how much support they get for doing it.

Employers can hire Emiratis even without a UAE entity, additional visa quota, or an expanded internal HR team. ArnifiHR becomes the legal employer where required, manages compliance end-to-end, and keeps everything audit-ready while the company focuses on the actual work.

It’s a simple equation:
Nafis reduces the cost
Our service reduces the workload
Together, they make Emirati hiring realistic for companies of all sizes

3. Employers’ Benefits From Nafis

Salary Support Scheme

The Nafis program UAE offers salary top-ups based on education level. These are not small amounts; they directly cut employers’ compensation costs and make hiring Emirati talent financially practical.

ArnifiHR handles the modelling of total compensation, manages compliant WPS payroll, and ensures subsidies flow correctly without triggering compliance issues.

Pension Contribution Relief

Eligible salaries receive a 2.5 per cent contribution relief. It sounds simple, but it requires precise filings with GPSSA or ADRPBF.

We take care of:
• Pension registration
• Monthly contributions
• Ongoing filings
• Any government follow-ups

This prevents errors that often lead to costly delays.

Child Allowance Support

Nafis provides AED 800 per child, up to AED 3,200. Many companies don’t integrate this correctly, which creates compliance gaps.

Our experts structure these allowances easily into payroll, ensuring alignment with WPS requirements and MoHRE standards.

Apprenticeships and Training Trackers

This helps companies hire early-career Emiratis without heavy cost commitments. Contracts, onboarding, WPS processing, and compliance.

Every benefit of the Nafis program UAE becomes usable when the operational load is removed.

4. Emiratisation Targets and Penalties | Why Nafis Matters?

Targets are not optional. Companies with 50+ employees must increase Emirati hiring by 2 percent each year. Certain sectors with 20-49 employees must hire one Emirati this year and another next year.

Penalties are steep:
• AED 96,000 per missing Emirati
• Increasing to AED 108,000 the following year

This is exactly why the Nafis program UAE exists. It softens the financial impact while we eliminate the operational strain. Companies that plan early avoid fourth-quarter panic and stay ahead of inspections.

5. How Companies Can Use Nafis Without Overhauling HR?

A practical approach looks like this:

• Identify the Emirati candidate you want to hire.
  
• Check eligibility and subsidy levels through the Nafis program UAE.
  
• Let ArnifiHR handle entity-related constraints if you don’t have a UAE company.
  
• Our team prepares contracts, manages onboarding, and processes WPS payroll.
  
• Insurance, pension, subsidies, allowances, and leave are managed centrally.
  
• Records stay compliant for MoHRE audits.
  
• Quota tracking becomes a simple monthly update instead of a manual headache.
  

6. Planning Your Emiratisation Strategy Around Nafis

Early hiring gives you more subsidy availability and less competition. The Nafis program UAE gives employers real numbers to forecast salary costs and plan budgets confidently.

ArnifiHR helps companies create strategy models even if they:
• Don’t have a local entity
• Have a limited visa quota
• Are in a free zone with restrictions
• Lack an in-house HR compliance team

The aim is simple: make Emiratisation predictable instead of stressful.

7. How the ArnifiHR Model Makes EOR Simpler? 

Some companies want to hire Emiratis but can’t due to structural or licensing limitations. We solves this by becoming the legal employer.

We manage:
• MoHRE registration
• Contracts
• WPS payroll
• Insurance
• Pensions
• Visa renewals
• Compliance
• Offboarding and end-of-service

Your company manages the work & we manage everything else. This lets businesses participate in the Nafis program UAE without entity setup or visa constraints.

8. Why Acting Now Gives Companies a Real Advantage?

Companies that plan early get better access to subsidies and avoid end-of-year scrambling. The employer brand also improves when you’re aligned with national hiring objectives.

ArnifiHR prevents delays caused by internal capacity limits, helping companies take full advantage of the Nafis program UAE while keeping operations steady.

9. Conclusion

Emiratisation doesn’t have to drain time or overwhelm HR. The Nafis program UAE reduces the cost of hiring Emiratis, and we remove the compliance burden. Together, they make a path that’s manageable, sustainable, and aligned with long-term national goals.

If you’re ready to onboard Emirati talent without administrative stress, connect with ArnifiHR and build your compliant Emiratisation strategy with confidence.