- Country Guide
- United Arab Emirates
United Arab Emirates
Last Update by Katie, 19 Jun 2024
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Exchange Rate
18 Sep 2024
Cost of Living
Indicative value for a working adult in a city: Dubai
Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff
| Living Requirement | Indicative Amount (AED) |
|---|---|
| McDonalds Set Meal | 35 |
| Monthly Train and Bus Tickets | 300 |
| 3 Bedrooms Rental (City Center) | 15,027 |
| 3 Bedrooms Rental (Outskirt) | 10,462 |
Current Inflation Rate
3.3%
Wage
Minimum Wages
- No national minimum wage
Median Salary
Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.
| Job Level | Monthly Salary (AED) |
|---|---|
|
Entry-Level
Fresh Graduate
|
10,000 |
|
Mid-Level
5 Years
|
15,000 |
|
Experienced & Managerial Level
10 Years
|
25,000 |
|
Specialized & Senior-Level
15 Years
|
40,000 |
Annual Salary Growth
5.5%
Statutory Contribution
Contribution should be paid before 15th of the following month.
Country Level
| Type | Employer Rates | Employee Rates | Notes |
|---|---|---|---|
| Social Security |
12.5%, capped at 6,250 AED 15% in Abu Dhabi |
5% | All eligible Emiratis and GCC nationals based on monthly minimum of 1,000 AED and maximum of 50,000 AED. |
| DEWS (DIFC Employee Workplace Savings Plan) |
5.83% if work period under 5 years 8.22% if work period over 5 years |
Voluntary contribution | Only for the employer in DIFC |
| Unemployment Insurance Plan | - |
5 AED - monthly salary under 16,000 AED 10 AED - monthly salary over 16,000 AED |
All staff excluding investors, local workers, temporary workers, teenagers under 18 and working pensioners |
Other Benefit
Other common employment benefits in United Arab Emirates include:
- Additional Health Insurance: About 120 USD per month for non-citizens. Emirates citizens' premium provided by the government and taxed in USD.
Income Tax
Residents
-
Tax period: 1st January - 31st December
Filing Due Date: 30th September - No personal income tax.
Working Hours
Statutory
48 Hours
8 hours a day, 6 days a week
Typical practice
48 Hours
Monday - Friday
(during Ramadan, working hours reduced by 2 hours daily)
Overtime
Overtime cannot be more than 2 hours a day.
- Workday day: Paid at 125% of monthly salary
- Night work: 22:00-04:00: 150% of monthly salary
- Rest days: 150% of monthly salary or 1 day leave in lieu
Employment Contract
Fixed-Term
Contract Format
Written, in Arabic or English.
Payroll Currency
AED
Probation
Typically 1 month, cannot exceed 6 months.
Contract Period
Contracts issued after 1 January 2024 must be fixed-term, cannot be longer than 3 years and last as long as the residency visa.
Can be renewed, if both parties agree. If the contract expires, the new term cannot be longer than the original.
Termination
-
Notice during probation:
- Termination by employer: 14 days’ written notice
- Resignation by staff to join a new company: 1 month, or the new employer compensates the current employer for recruitment costs
- Resignation by staff leaving the UAE and role: 14 days’ written notice, If staff return to the UAE within 3 months of leaving, the new employer compensates the previous employer for recruitment costs -
Notice Periods:
Employers based in DIFC (Dubai International Financial Center):
- Under 3 months' service: 1 week
- Over 3 months service - 5 years' service: 3 months
- Employer's based in ADGM (Abu Dhabi Global Market): Over 3 months' service: 1 month -
Severance:
- 1 - 5 years' service: 21 days' salary for each year
- 5+ years' service : 30 days' salary for each year, capped at 2 years' salary
Public Holiday
14 days
Leave
| Leave Type | Entitlement | Notes |
|---|---|---|
| Annual Leave | Up to 30 calendar days |
All staff with 1 year service in the private sector |
| Sick Leave | 90 working days per year | All staff after probation (3 months) |
|
Maternity Leave Nursing Breaks |
90 calendar days 1 hour per day |
All expectant mothers All mothers up till child is 6 months |
| Parental Leave | 5 working days | All eligible parents in the private sector for children up to 6 months old |
| Hajj and Umrah (pilgrimage) Leave | 30 calendar days | All staff to be used once in the employment lifecycle |
| Compassionate Leave |
3 working days – Death of a parent, sibling, child, or grandparent 5 working days – Death of a spouse |
All staff in the private sector |
| Study Leave | Up to 10 working days | All staff with 2 years' service with the same employer in the private sector |
Reference
- https://www.numbeo.com/cost-of-living/in/Dubai
- https://u.ae/en/information-and-services/jobs/working-in-uae-government-sector/pensions-and-social-security-for-uae-citizens
- https://www.dghr.gov.ae/en/pages/Services.aspx
- https://gpssa.gov.ae/en/Pages/default.aspx#/
- https://www.tax.gov.ae/en/
- https://u.ae/en/information-and-services/jobs/employment-in-the-private-sector/types-of-leaves-and-entitlements-in-the-private-sector
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Contact UsCountry Guide - United Arab Emirates
Last updated: 19 Jun 2024
Exchange Rate
Currency (AED)
- 1 CNY = 0.185 AED
- 1 USD = 1.32 AED
Other currencies can be retrieved via the country guide link above.
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Labor Cost Calculator
To know the total employer cost for hiring a staff with certain salary, please go to our main site: https://marcopayroll.com
Cost of Living
Indicative value for a working adult in a city: Dubai
Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff
| Living Requirement | Indicative Amount (AED) |
|---|---|
| McDonalds Set Meal | 35 |
| Monthly Train and Bus Tickets | 300 |
| 3 Bedrooms Rental (City Center) | 15,027 |
| 3 Bedrooms Rental (Outskirt) | 10,462 |
Current Inflation Rate
3.3%
Wage
Minimum Wages
- No national minimum wage
Median Salary
Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.
| Job Level | Monthly Salary (AED) |
|---|---|
|
Entry-Level
Fresh Graduate
|
10,000 |
|
Mid-Level
5 Years
|
15,000 |
|
Experienced & Managerial Level
10 Years
|
25,000 |
|
Specialized & Senior-Level
15 Years
|
40,000 |
Annual Salary Growth
5.5%
Statutory Contribution
Contribution should be paid before 15th of the following month.
Country Level
| Type | Employer Rates | Employee Rates | Notes |
|---|---|---|---|
| Social Security |
12.5%, capped at 6,250 AED 15% in Abu Dhabi |
5% | All eligible Emiratis and GCC nationals based on monthly minimum of 1,000 AED and maximum of 50,000 AED. |
| DEWS (DIFC Employee Workplace Savings Plan) |
5.83% if work period under 5 years 8.22% if work period over 5 years |
Voluntary contribution | Only for the employer in DIFC |
| Unemployment Insurance Plan | - |
5 AED - monthly salary under 16,000 AED 10 AED - monthly salary over 16,000 AED |
All staff excluding investors, local workers, temporary workers, teenagers under 18 and working pensioners |
Other Benefit
Other common employment benefits in United Arab Emirates include:
- Additional Health Insurance: About 120 USD per month for non-citizens. Emirates citizens' premium provided by the government and taxed in USD.
Income Tax
Residents
-
Tax period: 1st January - 31st December
Filing Due Date: 30th September - No personal income tax.
Working Hours
Statutory
48 Hours
8 hours a day, 6 days a week
Typical practice
48 Hours
Monday - Friday
(during Ramadan, working hours reduced by 2 hours daily)
Overtime
Overtime cannot be more than 2 hours a day.
- Workday day: Paid at 125% of monthly salary
- Night work: 22:00-04:00: 150% of monthly salary
- Rest days: 150% of monthly salary or 1 day leave in lieu
Employment Contract
Fixed-Term
Probation
Typically 1 month, cannot exceed 6 months.
Termination
-
Notice during probation:
- Termination by employer: 14 days’ written notice
- Resignation by staff to join a new company: 1 month, or the new employer compensates the current employer for recruitment costs
- Resignation by staff leaving the UAE and role: 14 days’ written notice, If staff return to the UAE within 3 months of leaving, the new employer compensates the previous employer for recruitment costs -
Notice Periods:
Employers based in DIFC (Dubai International Financial Center):
- Under 3 months' service: 1 week
- Over 3 months service - 5 years' service: 3 months
- Employer's based in ADGM (Abu Dhabi Global Market): Over 3 months' service: 1 month -
Severance:
- 1 - 5 years' service: 21 days' salary for each year
- 5+ years' service : 30 days' salary for each year, capped at 2 years' salary
Public Holiday
14 days
2024
| Date | Name |
|---|---|
2025
| Date | Name |
|---|---|
Leave
| Leave Type | Entitlement | Notes |
|---|---|---|
| Annual Leave | Up to 30 calendar days |
All staff with 1 year service in the private sector |
| Sick Leave | 90 working days per year | All staff after probation (3 months) |
|
Maternity Leave Nursing Breaks |
90 calendar days 1 hour per day |
All expectant mothers All mothers up till child is 6 months |
| Parental Leave | 5 working days | All eligible parents in the private sector for children up to 6 months old |
| Hajj and Umrah (pilgrimage) Leave | 30 calendar days | All staff to be used once in the employment lifecycle |
| Compassionate Leave |
3 working days – Death of a parent, sibling, child, or grandparent 5 working days – Death of a spouse |
All staff in the private sector |
| Study Leave | Up to 10 working days | All staff with 2 years' service with the same employer in the private sector |
Reference
- https://www.numbeo.com/cost-of-living/in/Dubai
- https://u.ae/en/information-and-services/jobs/working-in-uae-government-sector/pensions-and-social-security-for-uae-citizens
- https://www.dghr.gov.ae/en/pages/Services.aspx
- https://gpssa.gov.ae/en/Pages/default.aspx#/
- https://www.tax.gov.ae/en/
- https://u.ae/en/information-and-services/jobs/employment-in-the-private-sector/types-of-leaves-and-entitlements-in-the-private-sector
Contact Info
-
Singapore (Headquarters)
8 Marina Boulevard, MBFC Tower 1, #11-01, Singapore, 018981
+65 6653 4334 -
China (Headquarters)
79 Jianguo Road, China Central Place Tower 2, #09-52, Beijing, 100025
+86 10 6580 0555 -
China (Service Center)
23 Dagong Street, Eton Place Tower 2, Unit 1808, Dalian, 116001
-
United States
445 S Figueroa St, 31st Floor, Los Angeles, California, 90071
-
United Kingdom
71 - 75 Shelton Street, London, England GB
-
Netherlands
Vijzelstraat 68, 1017 HL, Amsterdam
-
Australia
Level 22, Salesforce Tower, 180 George Street, Sydney, NSW 2000