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New Employment Contract for United Arab Emirates

New Employment Contract Template for United Arab Emirates

This document is a comprehensive employment contract template compliant with UAE Federal Decree-Law No. 33 of 2021 (UAE Labor Law) and its implementing regulations. It establishes the fundamental terms and conditions of employment between an employer and employee in the UAE, including essential provisions for remuneration, working hours, leave entitlements, and end of service benefits. The contract incorporates mandatory requirements under UAE law while providing flexibility to accommodate specific employment arrangements and additional terms based on the nature of employment and industry requirements.

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What is a New Employment Contract?

This New Employment Contract template is designed for use in the United Arab Emirates, specifically complying with UAE Federal Decree-Law No. 33 of 2021 and its implementing regulations. It serves as the primary document establishing an employment relationship between an employer and a new employee, whether for a limited or unlimited term. The contract should be used when hiring new employees in the UAE mainland or free zones (subject to specific free zone regulations), and it includes all mandatory provisions required by UAE law while allowing for customization based on the specific employment terms agreed between the parties. This document forms the basis for obtaining necessary work permits and residency visas, and it must be submitted to relevant authorities as part of the employment documentation process.

What sections should be included in a New Employment Contract?

1. Parties: Details of the employer and employee, including full legal names, addresses, and relevant identification numbers

2. Background: Brief context about the employment relationship and agreement purpose

3. Definitions: Key terms used throughout the contract

4. Job Role and Duties: Detailed description of the position, responsibilities, and reporting lines

5. Term and Duration: Contract duration (limited or unlimited term) and probation period details

6. Place of Work: Primary workplace location and any flexibility or mobility requirements

7. Working Hours: Standard working hours, days, and break periods as per UAE law

8. Remuneration: Basic salary, allowances, and payment schedule

9. Leave Entitlements: Annual leave, sick leave, and other statutory leave provisions

10. Medical Insurance: Health insurance coverage details as per UAE law

11. Termination: Notice periods and grounds for contract termination

12. End of Service Benefits: Gratuity calculation and payment terms

13. Governing Law: Confirmation of UAE law application and jurisdiction

14. Entire Agreement: Standard boilerplate confirming this is the complete agreement

What sections are optional to include in a New Employment Contract?

1. Non-Compete Clause: Restrictions on post-employment competition, used for senior positions or roles with access to sensitive information

2. Confidentiality: Detailed confidentiality obligations, recommended for roles with access to sensitive information

3. Intellectual Property: IP ownership and assignment provisions, essential for creative or technical roles

4. Commission Structure: Details of sales or performance-based compensation, used for sales or commission-based roles

5. Remote Working: Terms for remote work arrangements, used when offering flexible working options

6. International Travel: Travel requirements and arrangements, used for roles requiring regular travel

7. Training Obligations: Required training and associated bonds or commitments, used when significant training investment is involved

8. Housing Allowance Terms: Specific terms related to housing benefits, used when providing accommodation benefits

What schedules should be included in a New Employment Contract?

1. Schedule 1 - Job Description: Detailed breakdown of job responsibilities, qualifications, and performance expectations

2. Schedule 2 - Compensation Details: Breakdown of salary components, allowances, and benefits

3. Schedule 3 - Company Policies: Key company policies that form part of the employment terms

4. Schedule 4 - Code of Conduct: Expected behavioral standards and professional conduct requirements

5. Appendix A - Leave Policy: Detailed procedures for requesting and taking various types of leave

6. Appendix B - IT Usage Policy: Rules and guidelines for using company IT systems and equipment

7. Appendix C - Performance Review Process: Details of performance evaluation procedures and criteria

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Ƶ

Document Type

Employment Contract

Cost

Free to use
Relevant legal definitions

























Clauses

































Relevant Industries

Financial Services

Technology

Healthcare

Real Estate

Construction

Retail

Manufacturing

Professional Services

Education

Hospitality

Energy

Transportation

Media and Entertainment

Telecommunications

Consumer Goods

Relevant Teams

Human Resources

Legal

Finance

Operations

Sales

Marketing

Information Technology

Customer Service

Research and Development

Administration

Project Management

Business Development

Product Development

Quality Assurance

Compliance

Relevant Roles

Chief Executive Officer

Managing Director

Department Head

Manager

Supervisor

Executive

Associate

Specialist

Analyst

Coordinator

Administrator

Technical Expert

Professional

Sales Representative

Customer Service Representative

Engineer

Accountant

HR Officer

Legal Counsel

Project Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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