What Are the Work Permit Requirements for Your UAE Staff? Free Zone vs Mainland Businesses in Dubai

What Are the Work Permit Requirements for Your UAE Staff? Free Zone vs Mainland Businesses in Dubai

Author

Ambia Hoque

Date

Have you been wondering, “What are the Work Permit Requirements for Your UAE Staff?” Dubai’s business-friendly policies, vibrant economy, and location have long attracted global businesses and top talent. Whether your company operates from a mainland location or within one of Dubai’s dynamic free zones, understanding work permit requirements is essential for maintaining compliance and ensuring a smooth onboarding process for employees.

Mainland vs Free Zone: Quick Comparison Table

Aspect Mainland Free Zone
Visa Sponsor Employer Company Free Zone Authority
Regulatory Authority MOHRE & GDRFA Free Zone Authority & GDRFA
Labour Contracts MOHRE Standard Free Zone Specific
Emiratisation Quotas Applicable Exempt
Work Scope UAE-wide Free zone only
Typical Processing Time 2-4 weeks 2-3 weeks
Average Cost per Employee 3,000–7,500 3,000–5,000

Work Permits in Dubai

What is a UAE Work Permit?

A UAE work permit, also known as a labour card, enables employees to work and reside in Dubai legally. Relevant governmental authorities issue it depending on whether your company operates on the mainland or in a free zone.

Why is a Work Permit Necessary?

Work permits ensure that your business meets its legal obligations, protects employees’ rights, and facilitates smooth immigration procedures. Without appropriate permits, businesses risk fines, operational disruptions, and reputational damage.

Mainland Work Permits: Requirements and Process

Dubai mainland businesses operate under the oversight of the Ministry of Human Resources and Emiratisation (MOHRE) and the General Directorate of Residency and Foreigners Affairs (GDRFA).

Guide for Mainland Businesses

  1. Company Registration and Visa Quota Approval: Your company must first be registered with MOHRE and receive a visa quota based on your office space and business activity.
  2. Issuing the Official Job Offer and Contract via MOHRE: Employers must issue a formal MOHRE-approved job offer, signed electronically by both parties.
  3. Applying for a Work Permit with MOHRE: Essential documents include passport copies, educational certificates, and trade license details. A refundable deposit of 3,000 or insurance coverage per employee is required.
  4. Entry Permit and Status Change Procedures: Once approved, an entry permit is issued by GDRFA, allowing the employee to enter or adjust their status if already in the UAE.
  5. Medical Fitness Test: Mandatory health screenings are conducted at authorised Dubai health centres.
  6. Emirates ID Application: Employees must apply for an Emirates ID, which involves the collection of biometric data.
  7. Mandatory Health Insurance: Employers in Dubai are required by law to provide health insurance coverage for their employees.
  8. Residence Visa Stamping: Following the medical clearance, passports are submitted for visa stamping at GDRFA. Mainland employment visas typically have a validity of two years.
  9. Finalising Labour Card and Registration with MOHRE: Upon visa stamping, MOHRE issues the final electronic labour card, fully authorising the employee to work.

Key Facts and Statistics for Mainland Visas

  • Processing typically takes between 2 and 4 weeks.
  • Total cost per employee averages 3,000–7,500, inclusive of all government and procedural fees.

Aerial View Of UAE Buildings And Waterway

Free Zone Work Permits: Differences and Distinctions

Dubai’s free zones offer an autonomous regulatory environment, making them highly attractive to foreign businesses due to streamlined procedures.

Simplified Process in Dubai’s Free Zones

  1. Company Formation and Visa Quota Allocation: Free zone authorities provide visa quotas based on your licensed office space or business package.
  2. Work Permit Application: Employers apply through the specific free zone authority, bypassing MOHRE entirely.
  3. Entry Permit Issuance: GDRFA, in coordination with the free zone authority, issues entry permits swiftly.
  4. Medical and Emirates ID: Identical medical tests and Emirates ID application procedures apply.
  5. Visa Stamping Process: The free zone authority coordinates visa stamping with GDRFA. Most free zone employment visas have a standard validity of two years.
  6. Additional Internal Formalities: Some free zones issue internal access cards or IDs upon completion of the visa process.

Key Facts and Statistics for Free Zone Visas

  • Processing is usually completed within 2–3 weeks.
  • Typical costs range from 3,000 to 5,000 per employee.

Key Differences Between Mainland and Free Zone Work Permits

Sponsorship

  • Mainland: The employer company directly sponsors the employee.
  • Free Zone: Employees are sponsored by the free zone authority itself.

Regulatory Authorities

  • Mainland: MOHRE and GDRFA oversee the entire process.
  • Free Zone: Free zone authorities independently handle work permits; GDRFA manages only the residency aspects.

Labour Contracts

  • Mainland: Must use the standard MOHRE labour contract.
  • Free Zone: Contracts follow the specific format provided by the free zone authority.

Emiratisation Quotas

  • Mainland: Companies must adhere to Emiratisation quotas for businesses with 50 or more employees.
  • Free Zone: Currently exempt from Emiratisation requirements.

Work Scope

  • Mainland: Employees can legally work anywhere in the UAE.
  • Free Zone: Employees must primarily work within the free zone and cannot operate in the mainland UAE without additional permissions.

Cost and Processing Time Comparisons

  • Mainland processes typically cost slightly more due to the involvement of multiple authorities.
  • Free zone processes are generally quicker and slightly more cost-effective due to streamlined procedures.

Evening Cityscape Of The UAE

Work Permit Requirements by Nationality: GCC vs Non-GCC Employees

GCC Nationals: Streamlined Labour Approval Only

GCC nationals only require work permit approval, without a residency visa, allowing them to secure employment immediately following MOHRE or free zone approval.

Non-GCC Nationals: Full Procedures Required

Non-GCC nationals must undergo all standard procedures, including obtaining entry permits, completing medical tests, applying for an Emirates ID, and visa stamping.

Choosing the Right Option for Your Dubai Business

The choice between mainland and free zone business setups, along with their associated work permits, depends on your company’s operational scope, budget, timeline, and long-term strategy. Mainland businesses benefit from nationwide flexibility and direct oversight, while free zones offer streamlined, cost-effective solutions that are ideal for businesses focused on international or zone-specific operations.

Evaluating these key differences will help your business achieve optimal workforce planning, compliance, and operational efficiency in Dubai’s thriving commercial landscape. Reach out to us today for further information and assitance.

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