Employment Contracts – Conversion to Limited Term Contracts
On 2nd February 2022 the new UAE Labour Law was announced as in effect (UAE Federal Law No. 33 of 2021), replacing, and superseding the current law (UAE Federal Law No. 8 of 1980, as amended).
As per the new regulation, all employment contracts will need to be amended to a fixed duration of one (1), two (2), or three (3) years – unlimited contracts no longer apply.
Companies have until 2nd February 2023 to complete the transition to limited term contracts.
For DMCC member companies, kindly note that conversion of contracts to a limited term will be free of charge until 30th January 2023- thereafter charges will be applicable as follows:
Application |
DMCC Free Zone Fee |
AHR Professional Fee |
---|---|---|
Update to Limited Term |
Free of Charge |
AED 250 + VAT |
Update to Limited Term |
AED 225 |
AED 250 + VAT |
Update to Limited Term |
AED 569 |
AED 500 + VAT |
Update to Limited Term |
AED 1,087 |
AED 1,000 + VAT |
For mainland companies, or clients located in other free-zone jurisdictions please reach out to a member of our team to request a quote.
If you would like our assistance, kindly provide us with your list of employees by email, along with instructions on the changes to be made, so that our visa team can share a full list of documentation required.
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Disclaimer: The material provided on this website does not constitute financial advice and is for information purposes only, the information provided is subject to change without notice.