GCC countries have been actively pursuing workforce nationalisation policies to reduce their reliance on expatriate workers and create sustainable employment opportunities for their growing local populations.
Proactive Measures
In Qatar, the workforce nationalisation rate stood at 19% in 2022, with a goal to increase this to 20%, as per the Qatarisation Policy of 2013. The country is currently accelerating its nationalisation efforts, with the Cabinet approving a law in December 2023 aimed at enhancing Qatari employment in the private sector. The law aligns with Qatar National Vision 2030 and its focus on human capital development. The localisation push is expected to impose specific quotas for Qatari employment in the private sector, influencing the recruitment and staffing strategies of companies operating in the country.
In the UAE, the authorities have not published an official nationalisation target, but Emiratis make up 10% of the workforce and the government has been taking measures to increase this figure. To boost levels of Emiratisation, the UAE government introduced regulatory changes. Starting in 2024, companies with 20-49 employees must hire at least one Emirati. Non-compliance will result in fines starting at Dh96,000 ($26,100), which will increase to Dh108,000 ($29,400) by 2025. The Ministry of Human Resources and Emiratisation has also increased enforcement of these policies, with fines for violations rising significantly. In July 2024 a private company was fined Dh10m ($2.7m) for fictitiously employing 113 Emirati citizens to meet targets.
Oman’s nationalisation rate stood at 19% in 2021, with a goal to increase this to 30% by 2040, as outlined in Oman Vision 2040. The country has expanded its Omanisation efforts through Ministerial Decree No. 501/2024, which added over 30 professions restricted to Omani citizens. These include roles in IT, engineering and hospitality management. Private sector organisations must comply with these regulations, which will be implemented in phases from 2025-27. Financial incentives are also being introduced, potentially including salary contributions from the government to encourage the hiring of Omani nationals.
Bahrain has made significant progress in its nationalisation efforts, achieving a localisation rate of 55% by the first quarter of 2021. The country aims to raise this figure to 65-75% by 2030, in line with Economic Vision 2030. In pursuit of this target, as of September 2024 Bahrain was reviewing a draft regulation that would limit foreign workers to 30% of the private sector workforce. This reform was aimed at creating 20,000 new jobs for Bahraini nationals in 2024 and would have a considerable impact on employers, particularly those that rely heavily on expatriate labour. Companies failing to meet localisation requirements may face significant fines, as the government pushes to reduce unemployment from 5.4% to below 3.5%.
Localisation Quotas
In Kuwait, foreigners make up approximately 3.7m of a population of 5.2m as of 2025, a factor that has prompted the government to intensify efforts to create more employment opportunities for Kuwaitis. The authorities target a 70% level of workforce nationalisation by 2035. In January 2024 the Ministry of Interior announced that 1211 jobs in the oil sector would be filled by Kuwaiti nationals, with 629 positions allocated to Kuwait Oil Company and 507 to Kuwait Integrated Petroleum Industries Company. This decision is part of a broader effort to reshape the labour market by limiting expatriate employment in key sectors. Additionally, the government has taken steps to enforce stricter localisation quotas and in October 2023 over 800 expatriate workers had their employment contracts terminated as part of a drive to reduce the expat workforce and boost opportunities for locals. While workforce nationalisation policies aim to promote the employment of nationals and reduce reliance on expat labour, their implementation has been met with mixed reactions, particularly from employees who face new dynamics in their professional developments.
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