Employer of Record in the United Arab Emirates

Hire, pay, and sponsor your UAE team without setting up a local entity, while Komp’s AI Agent Swarms monitor compliance and your people stay in control.

Custom pricing based on your workforce model.

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Currency

UAE Dirham (AED), pegged to the US dollar

Capital

Abu Dhabi

Official Language

Arabic, with English used widely in business

Payroll Cycle

Monthly, paid through the Wage Protection System

Recognized for Compliance, Visibility, and Global Hiring Efficiency

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The Komp Advantage

Why Choose Komp as Your Employer of Record in the United Arab Emirates

The UAE is the commercial gateway to the Middle East, with no personal income tax, a deeply international workforce, and world-class infrastructure. It is also the market where an Employer of Record matters most. In Europe, an EOR saves you the trouble of incorporating. In the UAE, it is the only lawful route to employing someone without an entity at all, because a work permit and residence visa can only be sponsored by a company holding a valid trade license and establishment card. Komp gives you that route. We act as the legal employer and visa sponsor for your UAE team, while our AI-powered platform runs payroll, classification, and compliance monitoring across the full employee lifecycle. Every AI recommendation is reviewed before action is taken, so you move fast without losing control.

Visa Sponsorship Without an Entity

Your employee cannot legally live or work in the UAE without a sponsored residence visa and work permit. Komp holds the license that makes sponsorship possible, manages the entry permit, medical testing, Emirates ID, and labor card, and keeps every renewal on schedule.

WPS Payroll on Autopilot

Komp PayOps runs AED payroll through the Wage Protection System, the federal channel through which salaries must be paid. Because the UAE levies no personal income tax, your employee receives their full gross salary, and Komp handles the filings that keep work permits renewable.

Emiratization Handled, Not Inherited

Emiratization targets and the monthly contributions for unfilled positions apply to companies above defined headcount thresholds. Hiring through Komp means those workforce obligations sit with us rather than landing on a business that has no UAE entity to manage them.

Gratuity Accrued from Day One

End of service gratuity builds from the first year of service and must be settled within 14 days of termination. Komp accrues it monthly, shows it as a visible liability in your cost model, and pays it correctly on exit.

How Komp’s Employer of Record Works in the United Arab Emirates

Entering the UAE with Komp is simple. You choose the talent and direct the work; Komp becomes the legal employer and visa sponsor, and runs everything behind the role, from contracts and payroll to immigration, insurance, and compliance, through one connected platform.
  • Enter the market immediately: Start hiring in the UAE without a trade license, establishment card, office lease, local bank account, or MOHRE employer file of your own.
  • We employ and sponsor, you lead: Komp holds the legal employment relationship and the visa sponsorship. You manage day-to-day work, goals, and performance.
  • Scale with confidence: Add or reduce UAE headcount as plans change, with compliant onboarding, visa processing, and offboarding built in.
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Employer of Record

Employment Compliance in the United Arab Emirates

Mainland employment is governed by Federal Decree-Law No. 33 of 2021 and administered by MOHRE, while the DIFC and ADGM financial free zones operate their own employment regimes. Contracts must be registered, salaries must flow through the Wage Protection System, health insurance is mandatory, and immigration status must be maintained throughout employment. Komp’s Global Compliance Engine maps every UAE obligation to your workforce and keeps it current, from the first visa application to the final gratuity payment.

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What Global Teams Say About KOMP

“

Before Komp, we had no unified view of our contractors and EOR workforce. Today HR and Finance operate from the same real-time data.

HR

HR Director

Series B Tech Company
“

Komp didn't just simplify global hiring. They gave us a command center for scaling internationally. Instead of waiting months to establish an entity, we onboarded talent compliantly in just days.

COO

Chief Operating Officer

Enterprise Technology Company
“

Komp gave us the compliance infrastructure to operate confidently across regulated markets, without increasing operational overhead.

COO

Chief Operating Officer

TechGlobal Inc.
“

As our international footprint expanded, maintaining consistency across workforce processes became challenging. Komp helped us establish a scalable framework that supports operational efficiency and compliance confidence.

VP

VP, People & Operations

Global Growth Organization
“

We finally have systems of scale that move as fast as our product teams. KOMP didn’t just reduce admin burden, they gave us infrastructure we can actually build on.

VP

VP of People Operations

EnterpriseSoft
“

Global hiring evolved from a cross-functional burden into a coordinated operating model. For the first time, HR, Finance, and Legal were looking at the same numbers in the same place.

GW

Director, Global Workforce Operations

Enterprise Technology Company

What Is an Employer of Record in the UAE?

An Employer of Record (EOR) in the United Arab Emirates is a locally licensed organization that becomes the legal employer and visa sponsor of your UAE workforce. It lets companies based anywhere hire people in Dubai, Abu Dhabi, or any other emirate without obtaining a trade license, establishment card, or office lease. The EOR takes on the statutory employer duties, including MOHRE-registered contracts, work permits and residence visas, AED payroll through the Wage Protection System, mandatory insurance, statutory leave, end of service gratuity, and lawful termination. You keep full control of the employee’s role, priorities, and performance.

This Model Works Especially Well When:

  • You need to place a commercial, technical, or regional leadership hire in the Gulf quickly
  • You want a Middle East base without the cost and commitment of a UAE entity
  • You have a candidate who needs residence visa sponsorship and you have no license to provide it
  • You are converting a consultant or freelance arrangement into compliant employment
  • You want to reduce exposure to immigration, Emiratization, and gratuity risk
Komp delivers this as part of a single workforce platform, so your UAE employees sit alongside contractors, EOR workers, and direct employees in other countries, governed by the same data, workflows, and controls.

How Komp’s Employer of Record Works in the UAE

Komp becomes the legal employer and visa sponsor for your UAE team members and takes on their statutory liabilities, while you run the work. Here is what that looks like in practice.

Market entry without entity setup

Skip the trade license, establishment card, office lease that many licenses require, local bank account, MOHRE employer file, and immigration establishment registration. Komp’s existing UAE infrastructure lets you make offers as soon as you find the right person.

Hire-to-retire lifecycle management

Komp Activate runs onboarding, contracts, visa processing, and benefits; Komp PayOps runs WPS payroll; Komp TimeOps tracks working time and leave; and compliant offboarding, including visa cancellation and gratuity settlement, closes the loop in one flow.

One view across every country

Komp Workforce gives HR, Finance, and Legal a single source of truth for UAE and global headcount, covering payroll status, fully loaded employer costs, accrued gratuity, visa expiry dates, leave balances, and compliance alerts, with audit trails built in.

What Komp Handles Under EOR in UAE

Komp manages every part of the UAE employment relationship so your team can focus on the work, not the paperwork.

Compliant employment contracts

We issue fixed-term contracts that meet Federal Decree-Law No. 33 of 2021, register them with MOHRE, and set the job title, basic salary and allowances, working hours, probation, notice, and leave. Contracts in DIFC or ADGM are drafted to those free zones’ own employment regulations instead.

Work permits, visas, and Emirates ID

We manage the full immigration sequence: quota approval, work permit, entry permit, status change or visa stamping, medical fitness testing, biometrics, Emirates ID, and labor card, then track every expiry and handle renewals before they lapse.

WPS payroll and salary disbursement

Komp PayOps calculates AED payroll and pays employees through the Wage Protection System on the statutory schedule. Because there is no personal income tax, net pay equals gross pay, and compliant WPS filing keeps your team’s permits renewable.

Mandatory insurance and benefits

We arrange the health insurance that every emirate now requires, register employees for the unemployment insurance scheme, and can administer supplementary medical cover, life insurance, education allowances, and housing or transport allowances.

Pension and social contributions

Expatriate employees receive end of service gratuity rather than pension contributions. For UAE and GCC nationals, Komp registers the employee with the relevant pension authority and processes employer and employee contributions correctly.

Emiratization and workforce reporting

We maintain the workforce records and quarterly reporting that Emiratization rules require, and monitor how your headcount growth interacts with the thresholds that trigger UAE national hiring targets.

Leave, working time, and HR support

Komp TimeOps tracks the 30 calendar days of annual leave, public holidays, the 48-hour working week and its reduction during Ramadan, sick leave, and family leave. Employees get support in English and Arabic.

Offboarding, gratuity, and visa cancellation

We manage exits with the correct notice, calculate end of service gratuity at 21 days’ basic wage per year for the first five years and 30 days thereafter, settle final pay within the statutory window, and cancel the work permit and residence visa properly.

Employer of Record vs Entity Setup in UAE

Criteria Employer of Record (Komp) Own UAE Entity
Best suited for Market entry, small to mid-sized teams, regional leadership hires, fast expansion Large, permanent UAE operations with local trading activity or a physical office footprint
Time to hire As soon as the candidate accepts, with visa processing running in parallel Trade license, establishment card, immigration file, and bank account must be in place first
Upfront cost No setup cost; predictable per-employee fee License fees, office or flexi-desk lease, immigration card, share capital in some structures, and annual renewals
Visa sponsorship Komp sponsors work permits and residence visas You sponsor, subject to your license type and quota allocation
Compliance ownership Managed by Komp with AI-assisted monitoring and human review Your responsibility, including WPS, Emiratization, gratuity provisioning, and immigration renewals
Flexibility Scale up or down with minimal commitment License renewal and liquidation both carry cost and administrative process
Workforce visibility UAE data unified with your global workforce in one platform Often a separate local system and PRO service provider

Employer of Record Cost in UAE

EOR pricing in the UAE varies by provider, service scope, and team size. The comparison worth running is not the fee alone. It is the fee against the license, visa, insurance, and administrative costs of running your own UAE entity, plus the gratuity liability that accrues quietly on your balance sheet from the first year.
Komp pricing is built around your actual workforce model. You pay a clear, predictable fee that covers employment administration, visa sponsorship and renewals, WPS payroll, insurance, gratuity provisioning, compliance monitoring, and support. There are no hidden charges, no FX markups on payroll, and no need to coordinate a separate PRO agent, payroll bureau, and insurance broker.

What Shapes Your Price

  • Number and type of workers: employees, contractors, and EOR hires across your footprint
  • Emirate and jurisdiction: mainland, DIFC, ADGM, or another free zone, each with different rules and costs
  • Compensation design: basic salary versus allowances, since gratuity is calculated on basic pay alone
  • Benefits scope: health insurance tier, life cover, housing, schooling, and transport allowances
  • Integrations and reporting: HRIS, ERP, and finance system connections

Why EOR Delivers Strong ROI

  • Faster revenue: your UAE hire starts contributing sooner, with visa processing handled in parallel
  • Lower overhead: no license, office lease, PRO agent, local accounting, or in-country HR staff
  • Lower risk: fewer immigration lapses, WPS penalties, Emiratization shortfalls, and gratuity disputes
  • Less admin: one platform, one invoice, one partner for UAE employment

Who Should Use an EOR in the UAE?

Companies opening a Middle East presence

Place a regional sales, partnerships, or country lead in Dubai or Abu Dhabi without committing to a license, an office, and a multi-year cost base before the market is proven.

Technology and SaaS companies

Hire enterprise sales, solutions engineering, and customer success talent to serve GCC clients who expect a local presence and local working hours.

Financial services and fintech

Build teams in or around the DIFC and ADGM financial centers, with contracts drafted to the correct free zone employment regime.

Energy, construction, and logistics

Place project, engineering, and commercial staff close to Gulf operations without a separate corporate structure for each market.

Companies with a candidate who needs a visa

When the person you want to hire needs residence sponsorship and you have no UAE license, an EOR is not the convenient option, it is the only compliant one.

HR and Finance leaders

Get predictable costs, consolidated invoicing, visible gratuity accrual, owned payment rails, and audit-ready records for every UAE hire.

Why Komp Is Different from Generic EOR Providers

Many providers can put a UAE employee on payroll. Komp is built as workforce infrastructure, combining AI intelligence, owned payment rails, and human governance so you can grow in the UAE with confidence.

AI Agent Swarms with human control

Autonomous agents continuously check payroll, classification, contracts, visa expiry dates, and regulatory change. Recommendations are surfaced for review before anything is executed: autonomous intelligence, human control.

Immigration tracked, not remembered

Work permits, residence visas, Emirates ID, and labor cards all expire on separate cycles, and a lapse can stop an employee working. Komp tracks every date and starts renewals early rather than relying on a spreadsheet reminder.

Gratuity you can see

End of service gratuity is a growing liability that many companies discover only at exit. Komp accrues it monthly and reports it alongside payroll cost, so Finance always knows the true position.

Worker classification intelligence

Our jurisdiction-based rules engine analyzes 50+ risk factors to help you decide whether a UAE worker should be engaged as a contractor or an employee, with audit-ready documentation behind every decision.

Enterprise-grade security

AES-256 encryption, SOC 2 Type II, ISO 27001, GDPR compliance, role-based access control, and AWS hosting with multi-region redundancy protect your UAE employee data.

One platform, four modules

Komp Activate, Komp Workforce, Komp TimeOps, and Komp PayOps connect hiring, workforce records, time, and pay across the UAE and 150+ countries.

Why Use an Employer of Record in UAE?

The UAE combines zero personal income tax, a highly international workforce, political stability, and unmatched connectivity across the Gulf, Africa, and South Asia. An EOR makes entering it faster, safer, and lighter on overhead.

Hire when you have no license to sponsor

This is the decisive point. Without a trade license and establishment card, your company cannot issue a work permit or residence visa to anyone. An EOR is the only compliant way to employ in the UAE without building that structure first.

Stay compliant from day one

Contracts must be registered with MOHRE, salaries must move through the Wage Protection System, health insurance is mandatory, and immigration status must be maintained continuously. Komp keeps all of it current.

Understand the true cost of a hire

There is no income tax and no social security for expatriate staff, so the headline cost looks simple. The real model includes visa and insurance costs, allowances, and gratuity accruing from year one. Komp makes the fully loaded number visible before you make an offer.

Offer a package that competes

UAE candidates compare net pay, health cover, allowances, and visa handling for their families. Komp administers all of it so your offer stands up against local employers.

Manage the UAE like every other market

See UAE headcount, costs, visa status, and compliance in the same platform as the rest of your global workforce. No separate vendor, no data silos.

UAE Employment Compliance: What Global Employers Must Manage

UAE employers answer to MOHRE for contracts, work permits, and workforce rules, to the immigration authorities for residence visas, and to the federal wage and insurance systems for payment and cover. In the DIFC and ADGM, a separate employment law and regulator apply instead. These are the areas that matter most, and how Komp covers them.

Employment contracts and contract types

All mainland employment runs on fixed-term contracts of up to three years, renewable, registered with MOHRE. The law recognizes full-time, part-time, temporary, flexible, and remote working models, so the contract must reflect how the person works.

Work permits and residence visas

Employment is inseparable from immigration. A work permit and residence visa can only be sponsored by an entity holding a valid trade license and establishment card, and the process includes entry permit, medical fitness testing, Emirates ID, and labor card. Each element expires on its own cycle and must be renewed before lapse.

Wage Protection System

Salaries must be paid through the federal Wage Protection System, which is mandatory for companies above a small headcount threshold. Non-compliance is not just a fine: it can freeze work permit issuance and renewals, which stops hiring altogether.

No income tax, no expatriate social security

The UAE levies no personal income tax, so employees receive their full gross salary. Expatriate employees make no social security contributions. UAE and GCC nationals are enrolled in the relevant pension scheme, with employer and employee contributions payable.

Minimum wage

There is no statutory minimum wage for expatriate employees. A minimum monthly salary applies to UAE nationals, set at AED 6,000 from January 2026, which interacts with Emiratization planning.

End of service gratuity

Gratuity accrues from the first year of service at 21 calendar days of basic wage per year for the first five years, rising to 30 days per year thereafter, capped at two years’ total pay. It is calculated on basic salary only, not allowances, and must be settled within 14 days of termination.

Emiratization

Companies above defined headcount thresholds must meet UAE national hiring targets, currently building toward 10% of skilled roles for larger employers, with quarterly reporting and monthly financial contributions for each unfilled position. Listing a UAE national nominally without a real role carries substantial penalties.

Leave, working time, and insurance

Employees receive 30 calendar days of annual leave after one year, sick leave of 15 days at full pay followed by 30 at half pay, 60 days of maternity leave combining full and half pay, and 5 days of paternity leave. The working week is 48 hours, reduced during Ramadan. Health insurance and unemployment insurance are mandatory.

Probation, notice, and termination

Probation runs to a maximum of six months. Notice ranges from 30 to 90 days depending on service, and the grounds for summary dismissal are narrow and specific. Arbitrary termination can attract compensation of up to three months’ pay, and disputes go through MOHRE conciliation before the labor courts.

Free zone regimes

The DIFC and ADGM operate their own employment laws, courts, and end of service arrangements, which differ from the mainland framework. Employing someone in a financial free zone means applying that regime, not Federal Decree-Law No. 33 of 2021.

You cannot employ someone in the UAE without being able to sponsor their visa. This is what makes the UAE different from every European market. There, an EOR spares you an incorporation. Here, a work permit and residence visa can only be issued by a company holding a valid trade license and establishment card, so without that structure there is no lawful way to put someone on your payroll at all, however willing the candidate. Paying a UAE-based person as an overseas contractor does not solve it either, because they still need a residence visa from some sponsor to live and work in the country legally. Komp holds the license, sponsors the visa, runs WPS payroll, and tracks every renewal date, which is why the UAE is one of the markets where an EOR earns its place most clearly.

Employer of Record Coverage Across the UAE

UAE talent and commercial activity concentrate in a handful of emirates and financial free zones, each with its own sector profile and, in some cases, its own employment regime. Komp lets you hire compliantly in any of them, with the same payroll, sponsorship, and compliance workflows.

Employer of Record in Dubai

The commercial capital and the region’s hub for technology, trade, logistics, media, and professional services, with the deepest and most international talent pool in the Gulf and the highest concentration of regional headquarters.

Employer of Record in Abu Dhabi

The federal capital and the center of energy, sovereign investment, defense, and advanced industry, with growing technology and life-sciences activity and a strong pull for senior government-facing roles.

Employer of Record in the DIFC

Dubai’s financial center, operating its own employment law, courts, and end of service regime. The natural base for banking, asset management, fintech, and legal roles, with contracts drafted to the DIFC framework rather than the mainland law.

Employer of Record in the ADGM

Abu Dhabi’s financial free zone, with its own common-law employment regulations and a growing cluster in asset management, digital assets, and financial technology.

Employer of Record in Sharjah and the northern emirates

A cost-effective base for manufacturing, logistics, education, and back-office operations, within commuting distance of Dubai and with lower salary and premises expectations.

Whether your UAE team sits in a mainland office, a free zone, or works remotely, Komp applies the right employment regime, sponsors the visas, runs WPS payroll, and tracks renewals consistently, so adding a new location never adds new compliance work for you.

Employer of Record in the UAE: FAQs

It is a locally licensed company that legally employs workers in the UAE on your behalf and sponsors their work permits and residence visas, taking responsibility for contracts, WPS payroll, insurance, gratuity, and compliance. You direct the employee’s work; the EOR carries the employer obligations, so you can hire without a UAE entity.

Not directly. A work permit and residence visa can only be sponsored by an entity holding a valid trade license and establishment card. Using an Employer of Record is the compliant way to employ someone in the UAE when your company does not hold that license.

It rarely works. A person living in the UAE needs a residence visa sponsored by an employer, a free zone, a family member, or their own licensed business. Paying an unsponsored individual as an overseas contractor leaves their immigration status unresolved and creates misclassification risk. Komp assesses the relationship and recommends the right model.

Because Komp already holds the license and employer infrastructure, onboarding starts as soon as your candidate accepts. The timeline is then driven by immigration processing, which includes the work permit, entry permit or status change, medical testing, Emirates ID, and visa stamping, and by whether the candidate is already in the country.

No. The UAE levies no personal income tax on salaries, so employees receive their full gross pay. Expatriate employees also make no social security contributions, which is a significant part of the UAE’s appeal when recruiting internationally.

It is the statutory termination benefit paid to expatriate employees in place of a pension. It accrues at 21 calendar days of basic wage for each of the first five years of service and 30 calendar days per year thereafter, capped at two years’ total pay, and is calculated on basic salary rather than total package. Komp accrues it monthly and settles it within the statutory window on exit.

There is no statutory minimum wage for expatriate employees; pay is set by market and contract. A minimum monthly salary applies to UAE nationals, set at AED 6,000 from January 2026.

WPS is the federal system through which salaries must be paid, so that the authorities can verify employees are paid correctly and on time. It is mandatory above a small headcount threshold, and failure to comply can suspend work permit issuance and renewals. Komp runs payroll through WPS as standard.

Emiratization requires companies above defined headcount thresholds to employ UAE nationals in a proportion of skilled roles, with quarterly reporting and monthly contributions for each unfilled position. When you hire through Komp, those workforce obligations sit with us rather than with a business that has no UAE entity to manage them.

Employees are entitled to 30 calendar days of paid annual leave after one year of service, alongside public holidays. Sick leave runs to 15 days at full pay, then 30 days at half pay, then a period unpaid. Maternity leave is 60 days combining full and half pay, and paternity leave is 5 days.

No. Mainland employment follows Federal Decree-Law No. 33 of 2021 under MOHRE, while the DIFC and ADGM financial free zones have their own employment laws, courts, and end of service arrangements. Komp applies the correct regime for the jurisdiction your employee sits in.

Probation may run up to six months. Notice generally ranges from 30 to 90 days depending on length of service, and the grounds for summary dismissal are narrow. Arbitrary termination can attract compensation of up to three months’ pay. Komp manages notice, process, gratuity, final settlement, and visa cancellation.

Komp is SOC 2 Type II certified, ISO 27001 certified, and GDPR compliant, uses AES-256 encryption with role-based access control, and is hosted on AWS with multi-region redundancy, aligned to UAE data protection expectations.

Build Your UAE Team with Komp

Komp handles contracts, payroll, and compliance. You focus on building your team.
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