Your Roadmap to Seamless Recruitment and Compliance with Employment Regulations
Please verify with ADGM directly for the latest updates and policy changes.
ADGM is an award-winning international financial center that offers a world-class ecosystem for business growth. We're here to support you with hiring, onboarding, and managing your workforce. This guide will provide insights into ADGM's operating rules and processes.
ADGM Free Zone stands for Abu Dhabi Global Market Free Zone. The prerequisites to hire in ADGM Free Zone may vary depending on the specific business activity, legal entity structure, and employment laws and regulations of the UAE. However, some general prerequisites to hire in ADGM Free Zone may include:
To hire employees in ADGM Free Zone, you must first obtain a business license and register with the relevant authorities in ADGM Free Zone, such as the Abu Dhabi Global Market Registration Authority (ADGM RA). The timeline for obtaining a business license can vary depending on the type of business activity and the completeness of the required documentation. It usually takes around two weeks to obtain a business license in ADGM Free Zone if the correct information is submitted.
An establishment card is a mandatory requirement for all businesses operating in the UAE, including those in ADGM Free Zone. You must obtain an establishment card from the ADGM RA before you can start hiring employees and issue employment visas or work permits. The timeline for obtaining an establishment card can vary depending on the completeness of the required documentation. It usually takes around one to two weeks to obtain an establishment card in ADGM Free Zone.
Feel free to check the Abu Dhabi Government Services Fee Schedule in the Important Pages section to learn more about the different charges for government services.
To employ foreign nationals in ADGM Free Zone, you must obtain a residency visa for them. This requires obtaining a work permit and fulfilling the relevant immigration requirements. The timeline for obtaining a residency visa can vary depending on the completeness of the required documentation and the processing time of the immigration authorities.
You must set up a payroll system to ensure you can pay your employees their salaries and other benefits on time and in compliance with the relevant laws and regulations. The timeline for setting up a payroll system can vary depending on the complexity of the system and the availability of payroll service providers.
Once you have completed the above steps, you can hire employees for your business in ADGM Free Zone. The timeline for hiring employees can vary depending on the availability of qualified candidates and the complexity of the recruitment process. The UAE is home to a multitude of talent from rich backgrounds, with a direct step-by-step process to sponsor and onboard employees.
The following company types can hire employees in ADGM Free Zone:
You can check out more info on the type of companies allowed to register with ADGM in this guide.
This section outlines the general steps to hire employees.
Hiring in the ADGM-free zone involves several steps and can vary depending on the specific requirements of the company and the position being filled.
Here is a general timeline and steps to follow:
This section includes notice periods, end of service gratuity, and canceling work permits & residency visas. Terminating an employee in the ADGM free zone must be done in accordance with UAE labor laws and the terms and conditions of the employment contract.
Here are the general steps for terminating someone working in ADGM:
The first step is to review the employment contract to understand the terms and conditions of employment, including the notice period, the grounds for termination, and the compensation payable upon termination.
If the employment contract specifies a notice period for termination, you must provide written notice to the employee, stating the reason for termination and the date on which the employment will end. The notice period can range from one month to three months, depending on the length of service of the employee and the terms of the contract.
Arrange a meeting with the employee to discuss the reasons for termination, the notice period, and any other relevant issues, such as outstanding pay or benefits.
Before the employment ends, you must process final payments and benefits, including any outstanding salary, accrued leave, and end-of-service gratuity (ESG) payable under UAE labor law. The ESG is calculated based on the length of service and the employee's final basic salary.
If the employee is a non-UAE national, you must cancel their work permit and residency visa with the ADGM registration authority and the General Directorate of Residency and Foreigners Affairs (GDRFA) in Abu Dhabi. Please ensure you cancel the dependents on the visa first and then the employee.
Issue a service certificate to the employee, which confirms their period of employment, job title, and duties. This can be used as a reference for future employment.It is important to follow the proper procedures for terminating an employee to avoid any legal disputes or penalties. Seek legal advice or consult with the ADGM registration authority for specific requirements and regulations for termination in ADGM.
This section includes notice periods, end of service gratuity, and canceling work permits & residency visas. Terminating an employee in the ADGM free zone must be done in accordance with UAE labor laws and the terms and conditions of the employment contract.
Here are the general steps for terminating someone working in ADGM:
Employers in ADGM free zone can offer different types of employment contracts depending on their business needs and the nature of the job. Here are the most common types of employment contracts offered in ADGM:
The ADGM free zone does not impose corporate or personal income tax on its registered companies or individuals. This means that companies and employees operating within the ADGM free zone are exempted from paying income tax on their earnings. This tax exemption is one of the main incentives that attract businesses to set up in ADGM.
However, it is important to note that taxes may be applicable in other jurisdictions outside of ADGM. For instance, if a company registered in ADGM has operations outside of the free zone, it may be subject to taxes in the jurisdiction where it is conducting business. Similarly, employees who are tax residents of other countries may be subject to taxes on their earnings in those jurisdictions.
Exclusivity clauses in employment contracts are common in the ADGM free zone. An exclusivity clause is a provision in an employment contract that prohibits an employee from working for a competitor or starting a competing business during the term of the contract and for a certain period of time after the employment ends.
Employers in ADGM may include exclusivity clauses in their employment contracts to protect their business interests, trade secrets, and confidential information. Exclusivity clauses can help to prevent employees from sharing sensitive information with competitors or using the employer's resources to start a competing business.
However, it is important for employers to ensure that the exclusivity clauses are reasonable and proportionate to the business needs. An overly broad or restrictive exclusivity clause may be deemed as a restraint of trade and may be unenforceable. In addition, exclusivity clauses should be clearly defined and communicated to the employee before the contract is signed. Employees should carefully review the exclusivity clauses in their employment contracts and seek legal advice if they have concerns. They should also ensure that they understand the scope and duration of the exclusivity clause and its potential impact on their future employment opportunities.
Non-disclosure agreements (NDAs) are common in the ADGM free zone contracts. NDAs are contractual agreements between two or more parties that aim to protect confidential information from being disclosed to third parties.
NDAs can help businesses to safeguard their intellectual property, trade secrets, and confidential information from being misused, stolen or shared with unauthorized parties. Employers in ADGM may require their employees to sign NDAs as a condition of employment, especially when handling sensitive information or working on projects that involve proprietary technology, confidential data or valuable trade secrets. The NDA may include provisions that prohibit the employee from sharing, using or disclosing confidential information during and after the term of employment.
It is important for employers to ensure that the NDA is clearly defined, specific, and reasonable. Employers should also ensure that the NDA is communicated to the employee before they sign the contract and that the employee understands the scope and implications of the agreement. Employers should also ensure that the NDA complies with the UAE labor laws and the ADGM regulations.
This section outlines the Payroll Structure, Currency, Wages Protection Scheme, Payroll Cycles, and Working Hours.
There are a number of different regulations that govern the payroll process in the ADGM. It is important to check that you comply with all of the necessary requirements — or use a solution that helps you to do so.
Here is a general overview:
The structure of payroll in the ADGM free zone may vary depending on the specific company and its policies. However, in general, the following components may be included in the payroll structure:
The ADGM free zone is located in the United Arab Emirates, and the official currency of the UAE is the UAE dirham (AED). Therefore, employees working in the ADGM free zone are typically paid in UAE dirhams.
The UAE Labor Law requires that employees be paid in the local currency, unless otherwise agreed by the employer and employee in writing. Employers in the ADGM free zone should ensure that they comply with this requirement and provide employees with their salary in AED, unless a different currency has been agreed upon in writing.
It is also worth noting that there are no restrictions on the amount of foreign currency that can be transferred out of the UAE. However, employers should ensure that they comply with any relevant tax or foreign exchange regulations when paying employees in a foreign currency.
The Wages Protection System (WPS) is a system introduced by the UAE Ministry of Human Resources and Emiratisation (MOHRE) to ensure that employees in the private sector are paid their salaries on time and in full.
In the event that an employer fails to pay an employee's salary on time or in full, the employee can file a complaint with the MOHRE, which will then investigate the matter and take appropriate action to ensure that the employee receives their salary. Currently, companies registered in Mainland, JAFZA (Jebel Ali Free Zone) & DMCC free zone are required to follow the WPS protocol.
The payroll cycles in the ADGM free zone are determined by the employer and can vary depending on the company's policies and the terms of the employment contract. Typically, employers in the ADGM free zone pay their employees on a monthly basis, although some may choose to pay their employees on a bi-weekly or semi-monthly basis.
The UAE Labor Law requires that all employees be paid at least once per month, and the payment must include the employee's basic salary plus any allowances or other entitlements. Employers must also provide employees with a detailed pay statement that shows the amount of salary paid and any deductions made. It is important for employers in the ADGM free zone to ensure that they comply with the UAE Labor Law and any other relevant regulations when determining their payroll cycles and making salary payments to their employees. This includes ensuring that employees are paid on time and in full and that they receive a detailed pay statement that accurately reflects their salary and entitlements.
The working hours in the ADGM free zone are generally set by the employer and may vary depending on the company's policies and the terms of the employment contract. However, the UAE Labor Law sets a maximum limit of 48 hours of work per week, or 8 hours per day for a period of 6 days per week.
Employers in the ADGM free zone must ensure that they comply with the UAE Labor Law when setting working hours for their employees. This includes providing employees with at least one day off per week, and ensuring that any overtime work is compensated in accordance with the law.
It is also worth noting that during the holy month of Ramadan, working hours for Muslim employees who observe the fast are reduced by two hours per day.
This section includes Health Insurance, Pension, Worker's Compensation and AllowancesEmployers in the ADGM free zone are required to comply with the UAE labor laws and regulations. This includes providing their employees with a minimum set of benefits that are outlined by the UAE labor law. Additionally, employers may offer additional benefits to attract and retain talented employees.
Here’s an overview of the benefits in the ADGM:
GCC (Gulf Cooperation Council) nationals working in the ADGM free zone are entitled to pension benefits, subject to certain conditions. The pension system in the UAE is regulated by the General Pension and Social Security Authority (GPSSA), which is responsible for managing pension contributions and payments.
Under the GPSSA regulations, employers are required to contribute a certain percentage of their GCC national employees' salaries to the pension system. The percentage varies based on the employee's age and length of service, but it generally ranges from 5% to 18% of the employee's basic salary. The employer is responsible for deducting the employee's portion of the contribution from their salary and adding it to the employer's contribution.
Employees who are GCC nationals and are enrolled in the GPSSA pension system are entitled to pension benefits upon reaching retirement age, which is currently set at 60 years. The pension benefit is calculated based on the employee's length of service and the average of their final three years of salary. The minimum pension benefit is 60% of the average of the final three years of salary.
Workers' compensation is a form of insurance that provides benefits to employees who are injured or become ill as a result of their work. In the ADGM free zone, workers' compensation is mandatory for all employers, and it is regulated by the ADGM Courts and the Abu Dhabi Judicial Department.
Under the ADGM regulations, employers are required to provide workers' compensation coverage for their employees. This coverage provides benefits for medical expenses, disability, and death benefits for employees who are injured or become ill as a result of their work. The benefits provided under the workers' compensation coverage can vary depending on the severity of the injury or illness, but they generally cover medical expenses and a portion of the employee's lost wages.
Employers in the ADGM free zone are required to purchase workers' compensation insurance from an insurance provider that is authorized by the ADGM Courts. The insurance provider will determine the premium rate based on the employer's industry, the number of employees, and the type of work being performed. Employers must provide proof of workers' compensation coverage to their employees.
In an ADGM free zone contract, employers can provide different types of allowances to their employees in addition to their base salary. These allowances can be given to compensate employees for certain expenses, to incentivize performance, or to attract and retain talent. Here are some common types of allowances that can be offered:
This section provides details on Annual Leave, Maternity & Paternity leave, Sick leave.
Employers in the ADGM free zone are required to comply with the UAE labor laws and regulations regarding leave entitlements for their employees.
Below are the types of leave that are typically offered to employees in the ADGM free zone:
This section includes Different visa types, Steps to cancel, apply & renew visas, and Golden Visa
In an ADGM free zone contract, employers may sponsor employees for a work visa to legally work and reside in the United Arab Emirates. There are several visa types that are available for employees in the ADGM free zone, including:
To cancel a visa under an ADGM free zone contract, the employer needs to follow the visa cancellation procedures as outlined by the UAE authorities. Here are the general steps to cancel a visa:
As the ADGM free zone is a financial free zone, the visa application process for the ADGM free zone is managed by the UAE authorities, specifically the General Directorate of Residency and Foreigners Affairs (GDRFA).
Here are the general steps for applying for a visa in the ADGM free zone:
The process for renewing a visa in the ADGM free zone is similar to the process for applying for a new visa. Here are the general steps to renew a visa in the ADGM free zone:
Determine Eligibility: Check if you are eligible to renew your visa. This may depend on various factors such as the type of visa, the length of your stay, and any applicable rules and regulations.
Submit the Application: Submit the visa renewal application through the relevant channels, such as a travel agency, sponsor, or through the UAE's e-Visa system. The application should include all required documents and information, such as a passport copy, visa renewal form, and any supporting documents.
Pay the Visa Renewal Fee: Pay the visa renewal fee, which varies depending on the type of visa and processing time.
Wait for Processing: Wait for the visa renewal to be processed by the UAE authorities. The processing time varies depending on the type of visa and other factors such as the applicant's nationality.
Collect the Renewed Visa: Once the visa renewal is approved, collect the renewed visa from the relevant authority or through the e-Visa system. Ensure that all details on the visa are accurate and that it is valid for the intended period of stay.
The ADGM free zone Golden Visa is a type of long-term residence visa that is granted to eligible individuals who meet certain criteria. The Golden Visa program was launched by the UAE government in 2019 to attract and retain talent in the country and promote economic growth.
The ADGM free zone Golden Visa is a 10-year visa that can be renewed indefinitely, and it allows holders to live, work, and study in the UAE without the need for a national sponsor. It also provides various benefits, such as the ability to sponsor family members and the option to purchase property in the UAE.
To be eligible for the ADGM free zone Golden Visa, individuals must meet certain criteria, such as holding a valid passport and meeting certain qualifications, such as having a PhD degree or being a doctor, engineer, or specialist in a particular field. Eligible individuals can apply for the Golden Visa through the relevant authorities, such as the UAE Ministry of Interior or the General Directorate of Residency and Foreigners Affairs (GDRFA).
You can learn more about the Golden Visa and its requirements here.
In the ADGM free zone, work permits are issued by the General Directorate of Residency and Foreigners Affairs (GDRFA), which is responsible for regulating the entry and residency of foreigners in the UAE.
To apply for a work permit in the ADGM free zone, the following steps may be taken:
In the ADGM free zone, a secondee work permit is a type of permit that allows foreign employees to work temporarily in the free zone on behalf of their employer, who is registered outside the free zone.
To apply for a secondee work permit in the ADGM free zone, the following steps may be taken:
Your Roadmap to Seamless Recruitment and Compliance with Employment Regulations
Please verify with ADGM directly for the latest updates and policy changes.
ADGM is an award-winning international financial center that offers a world-class ecosystem for business growth. We're here to support you with hiring, onboarding, and managing your workforce. This guide will provide insights into ADGM's operating rules and processes.
This section includes details about Registering a business, Company types, and the Company Establishment Card employees
This section outlines the general steps to hire employees
This section includes Notice periods, End of service gratuity, and Canceling work permit & residency visa
This section includes Types of contracts, Taxes, Exclusivity, and NDA
This section outlines the Payroll Structure, Currency, Wages Protection Scheme, Payroll Cycles, and Working Hours
This section includes Health Insurance, Pension, Worker's Compensation and Allowances
This section provides details on Annual Leave, Maternity & Paternity leave, Sick leave
This section includes Different visa types, Steps to cancel, apply & renew visas, and Golden Visa
Information on Work Permits and temporary work permits (secondee)
ADGM Free Zone stands for Abu Dhabi Global Market Free Zone. The prerequisites to hire in ADGM Free Zone may vary depending on the specific business activity, legal entity structure, and employment laws and regulations of the UAE. However, some general prerequisites to hire in ADGM Free Zone may include:
To hire employees in ADGM Free Zone, you must first obtain a business license and register with the relevant authorities in ADGM Free Zone, such as the Abu Dhabi Global Market Registration Authority (ADGM RA). The timeline for obtaining a business license can vary depending on the type of business activity and the completeness of the required documentation. It usually takes around two weeks to obtain a business license in ADGM Free Zone if the correct information is submitted.
An establishment card is a mandatory requirement for all businesses operating in the UAE, including those in ADGM Free Zone. You must obtain an establishment card from the ADGM RA before you can start hiring employees and issue employment visas or work permits. The timeline for obtaining an establishment card can vary depending on the completeness of the required documentation. It usually takes around one to two weeks to obtain an establishment card in ADGM Free Zone.
Feel free to check the Abu Dhabi Government Services Fee Schedule in the Important Pages section to learn more about the different charges for government services.
To employ foreign nationals in ADGM Free Zone, you must obtain a residency visa for them. This requires obtaining a work permit and fulfilling the relevant immigration requirements. The timeline for obtaining a residency visa can vary depending on the completeness of the required documentation and the processing time of the immigration authorities.
You must set up a payroll system to ensure you can pay your employees their salaries and other benefits on time and in compliance with the relevant laws and regulations. The timeline for setting up a payroll system can vary depending on the complexity of the system and the availability of payroll service providers.
Once you have completed the above steps, you can hire employees for your business in ADGM Free Zone. The timeline for hiring employees can vary depending on the availability of qualified candidates and the complexity of the recruitment process. The UAE is home to a multitude of talent from rich backgrounds, with a direct step-by-step process to sponsor and onboard employees.
The following company types can hire employees in ADGM Free Zone:
You can check out more info on the type of companies allowed to register with ADGM in this guide.
This section outlines the general steps to hire employees.
Hiring in the ADGM-free zone involves several steps and can vary depending on the specific requirements of the company and the position being filled.
Here is a general timeline and steps to follow:
This section includes notice periods, end of service gratuity, and canceling work permits & residency visas. Terminating an employee in the ADGM free zone must be done in accordance with UAE labor laws and the terms and conditions of the employment contract.
Here are the general steps for terminating someone working in ADGM:
The first step is to review the employment contract to understand the terms and conditions of employment, including the notice period, the grounds for termination, and the compensation payable upon termination.
If the employment contract specifies a notice period for termination, you must provide written notice to the employee, stating the reason for termination and the date on which the employment will end. The notice period can range from one month to three months, depending on the length of service of the employee and the terms of the contract.
Arrange a meeting with the employee to discuss the reasons for termination, the notice period, and any other relevant issues, such as outstanding pay or benefits.
Before the employment ends, you must process final payments and benefits, including any outstanding salary, accrued leave, and end-of-service gratuity (ESG) payable under UAE labor law. The ESG is calculated based on the length of service and the employee's final basic salary.
If the employee is a non-UAE national, you must cancel their work permit and residency visa with the ADGM registration authority and the General Directorate of Residency and Foreigners Affairs (GDRFA) in Abu Dhabi. Please ensure you cancel the dependents on the visa first and then the employee.
Issue a service certificate to the employee, which confirms their period of employment, job title, and duties. This can be used as a reference for future employment.It is important to follow the proper procedures for terminating an employee to avoid any legal disputes or penalties. Seek legal advice or consult with the ADGM registration authority for specific requirements and regulations for termination in ADGM.
This section includes notice periods, end of service gratuity, and canceling work permits & residency visas. Terminating an employee in the ADGM free zone must be done in accordance with UAE labor laws and the terms and conditions of the employment contract.
Here are the general steps for terminating someone working in ADGM:
Employers in ADGM free zone can offer different types of employment contracts depending on their business needs and the nature of the job. Here are the most common types of employment contracts offered in ADGM:
The ADGM free zone does not impose corporate or personal income tax on its registered companies or individuals. This means that companies and employees operating within the ADGM free zone are exempted from paying income tax on their earnings. This tax exemption is one of the main incentives that attract businesses to set up in ADGM.
However, it is important to note that taxes may be applicable in other jurisdictions outside of ADGM. For instance, if a company registered in ADGM has operations outside of the free zone, it may be subject to taxes in the jurisdiction where it is conducting business. Similarly, employees who are tax residents of other countries may be subject to taxes on their earnings in those jurisdictions.
Exclusivity clauses in employment contracts are common in the ADGM free zone. An exclusivity clause is a provision in an employment contract that prohibits an employee from working for a competitor or starting a competing business during the term of the contract and for a certain period of time after the employment ends.
Employers in ADGM may include exclusivity clauses in their employment contracts to protect their business interests, trade secrets, and confidential information. Exclusivity clauses can help to prevent employees from sharing sensitive information with competitors or using the employer's resources to start a competing business.
However, it is important for employers to ensure that the exclusivity clauses are reasonable and proportionate to the business needs. An overly broad or restrictive exclusivity clause may be deemed as a restraint of trade and may be unenforceable. In addition, exclusivity clauses should be clearly defined and communicated to the employee before the contract is signed. Employees should carefully review the exclusivity clauses in their employment contracts and seek legal advice if they have concerns. They should also ensure that they understand the scope and duration of the exclusivity clause and its potential impact on their future employment opportunities.
Non-disclosure agreements (NDAs) are common in the ADGM free zone contracts. NDAs are contractual agreements between two or more parties that aim to protect confidential information from being disclosed to third parties.
NDAs can help businesses to safeguard their intellectual property, trade secrets, and confidential information from being misused, stolen or shared with unauthorized parties. Employers in ADGM may require their employees to sign NDAs as a condition of employment, especially when handling sensitive information or working on projects that involve proprietary technology, confidential data or valuable trade secrets. The NDA may include provisions that prohibit the employee from sharing, using or disclosing confidential information during and after the term of employment.
It is important for employers to ensure that the NDA is clearly defined, specific, and reasonable. Employers should also ensure that the NDA is communicated to the employee before they sign the contract and that the employee understands the scope and implications of the agreement. Employers should also ensure that the NDA complies with the UAE labor laws and the ADGM regulations.
This section outlines the Payroll Structure, Currency, Wages Protection Scheme, Payroll Cycles, and Working Hours.
There are a number of different regulations that govern the payroll process in the ADGM. It is important to check that you comply with all of the necessary requirements — or use a solution that helps you to do so.
Here is a general overview:
The structure of payroll in the ADGM free zone may vary depending on the specific company and its policies. However, in general, the following components may be included in the payroll structure:
The ADGM free zone is located in the United Arab Emirates, and the official currency of the UAE is the UAE dirham (AED). Therefore, employees working in the ADGM free zone are typically paid in UAE dirhams.
The UAE Labor Law requires that employees be paid in the local currency, unless otherwise agreed by the employer and employee in writing. Employers in the ADGM free zone should ensure that they comply with this requirement and provide employees with their salary in AED, unless a different currency has been agreed upon in writing.
It is also worth noting that there are no restrictions on the amount of foreign currency that can be transferred out of the UAE. However, employers should ensure that they comply with any relevant tax or foreign exchange regulations when paying employees in a foreign currency.
The Wages Protection System (WPS) is a system introduced by the UAE Ministry of Human Resources and Emiratisation (MOHRE) to ensure that employees in the private sector are paid their salaries on time and in full.
In the event that an employer fails to pay an employee's salary on time or in full, the employee can file a complaint with the MOHRE, which will then investigate the matter and take appropriate action to ensure that the employee receives their salary. Currently, companies registered in Mainland, JAFZA (Jebel Ali Free Zone) & DMCC free zone are required to follow the WPS protocol.
The payroll cycles in the ADGM free zone are determined by the employer and can vary depending on the company's policies and the terms of the employment contract. Typically, employers in the ADGM free zone pay their employees on a monthly basis, although some may choose to pay their employees on a bi-weekly or semi-monthly basis.
The UAE Labor Law requires that all employees be paid at least once per month, and the payment must include the employee's basic salary plus any allowances or other entitlements. Employers must also provide employees with a detailed pay statement that shows the amount of salary paid and any deductions made. It is important for employers in the ADGM free zone to ensure that they comply with the UAE Labor Law and any other relevant regulations when determining their payroll cycles and making salary payments to their employees. This includes ensuring that employees are paid on time and in full and that they receive a detailed pay statement that accurately reflects their salary and entitlements.
The working hours in the ADGM free zone are generally set by the employer and may vary depending on the company's policies and the terms of the employment contract. However, the UAE Labor Law sets a maximum limit of 48 hours of work per week, or 8 hours per day for a period of 6 days per week.
Employers in the ADGM free zone must ensure that they comply with the UAE Labor Law when setting working hours for their employees. This includes providing employees with at least one day off per week, and ensuring that any overtime work is compensated in accordance with the law.
It is also worth noting that during the holy month of Ramadan, working hours for Muslim employees who observe the fast are reduced by two hours per day.
This section includes Health Insurance, Pension, Worker's Compensation and AllowancesEmployers in the ADGM free zone are required to comply with the UAE labor laws and regulations. This includes providing their employees with a minimum set of benefits that are outlined by the UAE labor law. Additionally, employers may offer additional benefits to attract and retain talented employees.
Here’s an overview of the benefits in the ADGM:
GCC (Gulf Cooperation Council) nationals working in the ADGM free zone are entitled to pension benefits, subject to certain conditions. The pension system in the UAE is regulated by the General Pension and Social Security Authority (GPSSA), which is responsible for managing pension contributions and payments.
Under the GPSSA regulations, employers are required to contribute a certain percentage of their GCC national employees' salaries to the pension system. The percentage varies based on the employee's age and length of service, but it generally ranges from 5% to 18% of the employee's basic salary. The employer is responsible for deducting the employee's portion of the contribution from their salary and adding it to the employer's contribution.
Employees who are GCC nationals and are enrolled in the GPSSA pension system are entitled to pension benefits upon reaching retirement age, which is currently set at 60 years. The pension benefit is calculated based on the employee's length of service and the average of their final three years of salary. The minimum pension benefit is 60% of the average of the final three years of salary.
Workers' compensation is a form of insurance that provides benefits to employees who are injured or become ill as a result of their work. In the ADGM free zone, workers' compensation is mandatory for all employers, and it is regulated by the ADGM Courts and the Abu Dhabi Judicial Department.
Under the ADGM regulations, employers are required to provide workers' compensation coverage for their employees. This coverage provides benefits for medical expenses, disability, and death benefits for employees who are injured or become ill as a result of their work. The benefits provided under the workers' compensation coverage can vary depending on the severity of the injury or illness, but they generally cover medical expenses and a portion of the employee's lost wages.
Employers in the ADGM free zone are required to purchase workers' compensation insurance from an insurance provider that is authorized by the ADGM Courts. The insurance provider will determine the premium rate based on the employer's industry, the number of employees, and the type of work being performed. Employers must provide proof of workers' compensation coverage to their employees.
In an ADGM free zone contract, employers can provide different types of allowances to their employees in addition to their base salary. These allowances can be given to compensate employees for certain expenses, to incentivize performance, or to attract and retain talent. Here are some common types of allowances that can be offered:
This section provides details on Annual Leave, Maternity & Paternity leave, Sick leave.
Employers in the ADGM free zone are required to comply with the UAE labor laws and regulations regarding leave entitlements for their employees.
Below are the types of leave that are typically offered to employees in the ADGM free zone:
This section includes Different visa types, Steps to cancel, apply & renew visas, and Golden Visa
In an ADGM free zone contract, employers may sponsor employees for a work visa to legally work and reside in the United Arab Emirates. There are several visa types that are available for employees in the ADGM free zone, including:
To cancel a visa under an ADGM free zone contract, the employer needs to follow the visa cancellation procedures as outlined by the UAE authorities. Here are the general steps to cancel a visa:
As the ADGM free zone is a financial free zone, the visa application process for the ADGM free zone is managed by the UAE authorities, specifically the General Directorate of Residency and Foreigners Affairs (GDRFA).
Here are the general steps for applying for a visa in the ADGM free zone:
The process for renewing a visa in the ADGM free zone is similar to the process for applying for a new visa. Here are the general steps to renew a visa in the ADGM free zone:
Determine Eligibility: Check if you are eligible to renew your visa. This may depend on various factors such as the type of visa, the length of your stay, and any applicable rules and regulations.
Submit the Application: Submit the visa renewal application through the relevant channels, such as a travel agency, sponsor, or through the UAE's e-Visa system. The application should include all required documents and information, such as a passport copy, visa renewal form, and any supporting documents.
Pay the Visa Renewal Fee: Pay the visa renewal fee, which varies depending on the type of visa and processing time.
Wait for Processing: Wait for the visa renewal to be processed by the UAE authorities. The processing time varies depending on the type of visa and other factors such as the applicant's nationality.
Collect the Renewed Visa: Once the visa renewal is approved, collect the renewed visa from the relevant authority or through the e-Visa system. Ensure that all details on the visa are accurate and that it is valid for the intended period of stay.
The ADGM free zone Golden Visa is a type of long-term residence visa that is granted to eligible individuals who meet certain criteria. The Golden Visa program was launched by the UAE government in 2019 to attract and retain talent in the country and promote economic growth.
The ADGM free zone Golden Visa is a 10-year visa that can be renewed indefinitely, and it allows holders to live, work, and study in the UAE without the need for a national sponsor. It also provides various benefits, such as the ability to sponsor family members and the option to purchase property in the UAE.
To be eligible for the ADGM free zone Golden Visa, individuals must meet certain criteria, such as holding a valid passport and meeting certain qualifications, such as having a PhD degree or being a doctor, engineer, or specialist in a particular field. Eligible individuals can apply for the Golden Visa through the relevant authorities, such as the UAE Ministry of Interior or the General Directorate of Residency and Foreigners Affairs (GDRFA).
You can learn more about the Golden Visa and its requirements here.
In the ADGM free zone, work permits are issued by the General Directorate of Residency and Foreigners Affairs (GDRFA), which is responsible for regulating the entry and residency of foreigners in the UAE.
To apply for a work permit in the ADGM free zone, the following steps may be taken:
In the ADGM free zone, a secondee work permit is a type of permit that allows foreign employees to work temporarily in the free zone on behalf of their employer, who is registered outside the free zone.
To apply for a secondee work permit in the ADGM free zone, the following steps may be taken: