Compensation in Dubai is usually comprised of a base salary (50%), housing allowance (35%) and transportation allowance (15%). When drafting the contract, our UAE team will apportion the salary accordingly.
Clients should be aware that employees will often request for the base salary percentage to be higher. They ask for this because they’ll be entitled to receive a higher end-of-service gratuity at the end of their contract. The consequence of this is that clients will be liable to pay a higher end-of-service gratuity to the employee see below).
Repatriation flight allowance
As per UAE law (Article 131), it’s mandatory to provide a one-way air ticket to the employee’s home country at the time of visa cancellation if the employee does not join another company in the UAE.
Actual overtime may not exceed two hours per day unless work is necessary to prevent substantial loss or serious accident (or eliminate or alleviate its effects). Friday is the normal weekly holiday for all employees (except for those working on a daily wage basis). If the employee is required to work on a Friday, they shall be granted one day off for rest or paid the basic pay for normal working hours plus a 50% supplement.
The maximum normal working hours for adult employees are eight hours per day or 48 hours per week.
The working week in the UAE runs from Sunday to Thursday, with Friday as the main weekly day off for employees.
The maximum probationary period allowed in the UAE is six months, and no extension is allowed beyond this. An initial three-month probationary period is permitted which can subsequently be extended up to six months. However, this would then require an amendment to the labour contract.
It’s a mandatory requirement for medical health insurance to be provided to the employee in the UAE. We have a selection of packages to choose from with varying
costs. Employees will often request medical insurance coverage for their partner and dependants. Although it’s not a legal requirement for employers to cover these costs, this is considered the market norm for employees in senior job roles.
Annual holiday entitlement
Employees are entitled to 24 days for the first year of service and 30 days after the first year.