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United Arab Emirates

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Hiring in The United Arab Emirates

In the UAE, companies have access to more than 45 free trade zones, with over 30 located in Dubai, each governed by a separate free zone authority. In the past, businesses in the UAE would establish a subsidiary or branch in Abu Dhabi, Dubai, or a free zone to sponsor work visas and employ workers. But, by partnering with LionConsulting, you can gain access to UAE talent without having to set up branch offices or subsidiaries.


To work in the UAE, employees must have the appropriate visa, which can be sponsored by their employer if they work on the mainland or by the relevant free trade zone authorities if they are employed by a company in a free zone. Employers must have the necessary business licenses to obtain visas for their employees. Working without a visa is prohibited, and doing so could result in a ban for both the employee and the employer. Our team can take care of all visa requests for our clients' expat employees.


Employment on the UAE mainland is governed by the UAE Labour Law, while employment in free zones is subject to the employment laws of the free zone authority. This may vary from the UAE Labour Law, so employees must comply with the local laws and regulations of their respective free zone authorities.

Employment Contracts in the UAE

To initiate a sponsorship visa application, a legal contract is mandatory. Therefore, businesses in the UAE must establish a comprehensive, documented agreement that specifies the employee's remuneration, benefits, and severance obligations in both Arabic and English.


Additionally, the contracts must indicate the wage and all other payments in UAE Dirham (AED), not in foreign currency. Our team at LionConsulting offers robust employment contracts that adhere to local laws and safeguard our clients' intellectual property.

Working Hours in the UAE

In the UAE, the typical work week consists of 40 hours, usually from Monday to Friday. However, the actual work hours may vary based on the demands of the job tasks. The maximum workday is eight hours, with a total of 48 hours per week. The federal government of the UAE follows a 4.5-day workweek standard, with Saturdays and Sundays designated as weekends.


Employees can request overtime, but it requires prior authorization as per UAE labor law. If an employee works on a day off as defined in the labor contract or work laws, they are entitled to a substitute rest day or pay equal to the normal working hours’ compensation, depending on their basic salary, plus 50% of that pay.


In observance of Ramadan, local laws mandate that working hours be reduced by two hours each day. We at LionConsulting ensure that our clients’ employees receive fair compensation for their time and work, following all local labor laws and regulations.

Holidays in the UAE

There are 7 national holidays in the region and employers must provide full pay during these days.

Vacation Days in the UAE

To comply with local regulations in the UAE, companies are required to provide their employees who have completed one year of employment with 30 days of annual leave. Any unused leave can be carried forward to the following year.

Sick Leave in the UAE

To comply with local regulations, employees who have been employed for over three consecutive months are eligible for up to 90 days of sick leave per year. During the first two weeks, they will receive their complete wage, followed by half wages for the following month, and no wages for the remainder of the period. Our team can assist you in managing sick leave benefits in accordance with local laws and regulations to ensure that your employees receive the necessary support during difficult times.

Parental Leave in the UAE

Maternity and paternity leave policies in the UAE entitle pregnant employees to 60 days of leave, during which they will receive their complete wage for the first 45 days, and the remaining 15 days will be unpaid. Meanwhile, fathers are entitled to five days of paternity leave. It's important for employers to ensure compliance with local laws and provide these necessary benefits to their employees.

Termination in the UAE

To comply with UAE labor laws, an employee who has worked for a company for one year or more without interruption is entitled to receive a gratuity payment at the end of their employment. This payment is calculated based on the employee's length of service and their final basic salary. LionConsulting can help employers comply with the necessary regulations and provide assistance in processing gratuity payments.

Taxes in the UAE

To ensure compliance with UAE labor laws, it is recommended to allocate a portion of the employee's pay towards the End of Service Gratuity. As there are no corporate taxes in the UAE, companies may allocate 8.3% of the employee's pay for this purpose. This will ensure that the company is well-prepared to provide end-of-service benefits to their employees when required. Our team at LionConsulting can help you navigate these requirements and provide guidance on how best to structure your compensation packages.