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FZ Employment Summary
FZ Employment Summary
The purpose of the following guidance is to provide DMCC member companies with a clearer
understanding of the rules and laws governing employment contracts. Since this is not a complete and
formal version, it is important that these are not relied upon (need legal wording].
[ ] numbers in brackets refer to the clause number in the regulations.
SECTIONS
EMPLOYMENT CONTRACTS IN DMCC AT A GLANCE ............................................................ 1
SECTIONS ............................................................................................................... 1
GOVERNING RULES AND LAWS ...................................................................................... 1
EMPLOYMENT CATEGORIES .......................................................................................... 1
RESIDENCE EMPLOYMENT VISA ...................................................................................... 4
TYPES OF IDENTITY CARDS .......................................................................................... 8
EMPLOYMENT CONTRACTS ......................................................................................... 10
GUIDANCE ON MAIN AREAS OF CONCERN ........................................................................ 10
MEDIATION SERVICES ................................................................................................ 11
APPLYING FOR VISAS, ACCESS CARD AND/OR IDENTITY CARDS .............................................. 11
EMPLOYMENT CATEGORIES
Listed below are the employee categories and the requisites to work in the Free Zone:
Employment visa from Free Zone
Company Employment Card (CEC)
Sponsored Staff
Non-sponsored
staff
Sister company
Father/Husband
sponsorship
Temporary worker
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It is illegal for any employer to retain the services of an employee without a valid authorisation
to work in the Free Zone, as shown above and below.
Companies that have obtained their license from the Free Zone are eligible to apply for entry
permits through Free Zone.
The flow chart below assists in determining what type of application must be processed by DMCC for a
sponsored or non-sponsored employee:
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The following flow chart explains the requirements when a Free Zone company enters into a Consultancy
agreement with another company and one or more of the consultants are expected to work from the
Free Zone company premises for part or all of the contract period.
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1. Entry
Permit
An Entry Permit must be
obtained to commence
the employment visa
process.
Picture here
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2. Medical
Fitness
Certificate
After the entry permit
has
been
activated
(either by entering the
country
or
by
completing
visa
amendment process incountry), the employee
must
undertake
a
medical test which is
returned to DMCC along
with the passport.
Picture here
Picture here
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3. Employmen
t visa stamp
Also referred to as
Residence Permit, this
stamp is placed in the
employees passport and
entitles them to live a
work in Dubai for the
mentioned sponsor.
Picture here
On, before or after the expiry of an employment visa, the sponsoring company must take one
of the actions listed below. Please note that fines shall apply if action is taken after the visa
has expired.
Renew
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Employees visa is
due to or has expired
In UAE or out of
UAE?
Out
No
In
Yes
Employee
returning?
Overstayed visa
expiry?
Yes
Employer must
Cancel visa.
Employer must
Cancel visa, and
commence a New
visa application
process.
Pay overstay
penalties
No
Yes
Employer must
Renew, Transfer or
Cancel visa or notify
as absconder. Do
nothing is NOT an
option
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Picture
here
Picture
here
Picture
here
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EMPLOYMENT CONTRACTS
DMCC provides an employment contract template that complies with the Labour Law and Free
Zone Rules and Regulations and is mandatory for all employees, except those authorised to work
from the Free Zone under an Access Card.
Employers may add further clauses to the DMCC employment contract template provided they
are in compliance with the applicable rules and laws.
DMCC strongly advises employers against having any other employment contract in addition to
the DMCC employment contract, as in the event of dispute this may cause ambiguity.
Submission of Employment Agreement to Free Zone is mandatory initially and with every
renewal & amendment. Employment agreements are of two types;
o
o
Limited
Unlimited
Limited
Resignation
Unlimited
Termination
Resignation
End of Service
Not eligible, if
service is less
than 5 years.
Annual leave
Entitled to an
annual leave, if
the service is one
or more years.
Entitled to an
annual leave, if the
service is one or
more years.
Compensation
45 days pay to
employer
Notice period
As per the
contract;
minimum 30 days.
(Article 115&116 of
UAE Labour Law)
Renewal
Submission to
Free Zone
Termination of
Entitled to one
third of the end of
service if the
service is more
than 1 and less
than 3 years.
Entitled to 2/3 of
the said gratuity, if
the period is more
than 3 years and
less than 5 years
Entitled to entire
gratuity, if service
exceeds 5 years.
Entitled to an annual
leave, if the service is
one or more years.
As per the contract;
minimum 30 days.
Termination
Entitled to an annual
leave, if the service is
one or more years.
As per the contract;
minimum 30 days.
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Agreement
during Annual
Leave
Repatriation
MEDIATION SERVICES
DMCCs trained lawyers and mediators are available by appointment to mediate disputes that the
employer/employee has been unable to resolve internally. For details of the process please contact the
DMCC Call Centre on 800 3622 or +971 (0)4 4249600 or email [email protected]
Upload
application
Step 1
Step 2
Receive entry
permit*/**
Complete medical
test***
Step 4
Submit
requirements to
DMCC****
Step 3
Receive stamped
passport &
Company
Employment Card
Step 5
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Upload
application
Step 2
Receive access
card or identity
card*/**
Step 1
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Upload application
Step 2
Receive Transfer
form from
DMCC*/**
Step 1
Transfer form
signed by previous
sponsor
Step 3
Step 4
Complete medical
test
Submit
requirements to
DMCC****
Step 5
Receive stamped
passport &
Company
Employment Card
Step 5
*The entry permit will be couriered to the company address within JLT. Only for those
companies on Flexi-desk can the entry permit be collected from DMCC Member Service counter
by the authorised personnel from the company.
**Those employees already inside the country on a Tourist Visa must exit and re enter the
country with the new entry permit within the time period in order to stamp the visa in the
passport.
***DMCC publishes a list of locations where the medical test can be performed at www.dmcc.ae
****Refer to the DMCC Requirements list at www.dmcc.ae
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