Unlicensed Recruitment Agencies Shut Down in UAE, Face Hefty Fines

The UAE Ministry of Human Resources has taken decisive action by closing and sealing four private firms involved in recruiting domestic workers. These agencies were found operating without the necessary licenses, leading to swift penalties and enforcement measures.

The Ministry’s actions came after these unlicensed agencies were discovered to be offering temporary housing for the domestic workers they recruited. Such unauthorized practices violate regulations, prompting the Ministry to impose fines of 50,000 dirhams (approximately INR 11,332.50) on the owners of these agencies. Notices from the Department of Economic Development have been prominently displayed on the doors of these sealed establishments, indicating the legal consequences of their actions.

The Ministry emphasized that these workers, previously engaged by unlicensed agencies, have been transferred to approved recruitment agencies to ensure their rights and safety are protected. This move is part of the UAE’s ongoing efforts to regulate the recruitment industry and prevent exploitation of workers.

This recent enforcement action follows the Ministry’s continued vigilance against unlicensed agencies operating in the country. Since 2022, approximately 45 unauthorized agencies have been identified and penalized. The Ministry issued a stern warning to all agencies operating without proper authorization, emphasizing that inspections will persist in the coming days. Severe penalties will be imposed on establishments found to be operating without the necessary approvals, demonstrating the government’s commitment to enforcing regulations and safeguarding the welfare of workers.

It is worth noting that recent changes in labor policies, both in the UAE and in neighboring countries like Saudi Arabia, reflect a concerted effort by Gulf nations to create a transparent and accountable recruitment system. These measures aim to enhance the rights and working conditions of domestic workers while curbing the activities of unscrupulous agencies. The Ministry of Human Resources in the UAE, through its rigorous inspections and penalties, is playing a vital role in achieving these objectives.