Hiring staff in the UAE: how to register an employee in the company’s staff

In 2022, a new labor law, UAE Federal Decree Law No. 33 of 2021, came into force in the United Arab Emirates. It regulates relations between employers and employees in the private sector and contains important rules regarding the registration of employees in the state. Since it can be difficult to understand the intricacies of this law, we will take a detailed look at the key aspects of the hiring process and the registration of an employment contract.

Stages of hiring employees in the UAE

The hiring process depends on the employee’s category. If we are talking about a foreign employee, the procedure becomes more complicated. The employer needs to get a quota for a visa for an employee and make a deposit for each new employee.

1. Staff search

The employee search strategy is determined by the needs and budget of the company. Companies that value speed usually turn to recruiters and recruitment agencies.

The recruiter’s fee is often 100% of the average monthly salary for the position being searched for. Recruiters not only select candidates, but can also use recruitment methods, offering more favorable conditions to specialists working for competitors. The fee is divided into two parts: the first is paid after finding a suitable candidate, the second — after successfully completing the probation period.

It is important to remember that according to article 90 of the new labor law, the probation period should not exceed six months, and the employer must notify the employee of his dismissal two weeks before the end of this period.

2. Evaluation and selection of candidates

The UAE recognizes diplomas from foreign universities, but in some cases it may be necessary to legalize documents, especially if the diploma was issued by a university from the CIS countries. Employers are guided by the level of education and professional experience of the applicant, while the personal qualities of the candidate also play an important role.

3. Registration of a foreign employee

UAE law allows the hiring of foreign workers, but for this it is necessary to obtain a work visa and a work permit. It is prohibited to work on tourist or transit visas.

The process of registration of a foreign employee can be divided into several main stages:

• Obtaining a visa quota: The employer submits an application to the Ministry of Human Resources and Emiratisation (MOHRE). The application specifies the number of visas, positions and gender of applicants. It usually takes about a week to review an application.
• Obtaining a work permit: The employer needs to prepare two sets of documents — one for the company and one for the employee. The employment agreement is executed through MOHRE. A work permit is granted after signing the contract.
• Medical insurance: The company must arrange medical insurance for each new employee.
• Medical examination: The employee must undergo a medical examination, including a blood test and an X-ray.
• Getting an Entry permit: This is a document allowing a new employee to enter the UAE. It is issued by the migration service.
• Registration of Emirates ID and work card: From the moment of entry into the UAE with an Entry permit, an employee has 60 days to receive an Emirates ID and work card.

Do not forget that his financially dependent family members can come along with the employee. The new employee also signs other important documents, such as a non-disclosure agreement and a contract for the transfer of corporate equipment.

4. Necessary documents for registration

The package of documents for obtaining a work permit depends on the emirate. For free zones, a standard package is required, which includes copies of the company’s license, migration card, shareholder passports and a diploma of higher education (if necessary).

Conclusion

The process of hiring and registering foreign employees in the UAE may seem complicated and requires legal training. Failure to comply with the law may result in administrative fines.

To minimize risks and simplify the process, contact YANG CONSULT. We offer professional services in the field of international business law and are ready to help you deal with all the nuances of employee registration. YANG CONSULT is your reliable partner in matters of employment in the UAE.

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