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International Employment Contract for United Arab Emirates

International Employment Contract Template for United Arab Emirates

A comprehensive employment agreement governed by UAE law, specifically designed for international employment relationships within the UAE jurisdiction. This contract ensures compliance with Federal Decree-Law No. 33 of 2021 (UAE Labor Law) while accommodating international employment elements such as relocation provisions, visa sponsorship, and cross-border considerations. The document addresses key employment terms including remuneration, benefits, working hours, leave entitlements, and end-of-service gratuity calculations in accordance with UAE labor regulations, while also incorporating international best practices for employment contracts.

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What is a International Employment Contract?

The International Employment Contract is essential for UAE companies hiring foreign employees or international corporations establishing employment relationships in the UAE. This document serves as the primary agreement governing the employment relationship under UAE law, particularly Federal Decree-Law No. 33 of 2021. It is specifically designed to address the unique aspects of international employment in the UAE, including visa sponsorship, housing allowances, annual flight tickets, and other benefits typical in expatriate employment packages. The contract ensures compliance with mandatory UAE labor law requirements while providing flexibility to accommodate international employment standards and practices. It is particularly crucial for employers in free zones and mainland UAE companies engaging in international recruitment, as it provides clear terms for both parties while meeting local regulatory requirements.

What sections should be included in a International Employment Contract?

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

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

3. Definitions: Key terms used throughout the agreement

4. Appointment and Term: Position title, employment classification, start date, and duration (limited or unlimited term as per UAE law)

5. Duties and Responsibilities: Detailed description of the employee's role, reporting lines, and key responsibilities

6. Place of Work: Primary work location and any mobility requirements

7. Working Hours and Days: Standard working hours, days, and overtime provisions in compliance with UAE labor law

8. Remuneration and Benefits: Base salary, allowances, bonuses, and other benefits including medical insurance as required by UAE law

9. Leave Entitlements: Annual leave, public holidays, sick leave, and other leave types as per UAE law

10. Visa and Work Permit: Employer's obligations regarding visa sponsorship and work permit arrangements

11. Confidentiality: Protection of company confidential information and trade secrets

12. Non-Competition and Non-Solicitation: Post-employment restrictions in accordance with UAE law limitations

13. Termination: Notice periods, grounds for termination, and end of service entitlements under UAE law

14. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

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

1. Probationary Period: Include when the employer wishes to implement a probationary period (up to 6 months under UAE law)

2. Remote Work Provisions: Include for positions that allow work from home or remote working arrangements

3. Commission Structure: Include for sales positions or roles with variable compensation

4. International Travel: Include when role requires regular international travel

5. Training Obligations: Include when specific training requirements or training bonds are required

6. Intellectual Property Rights: Include for positions involving creation of intellectual property

7. Garden Leave: Include when the employer wants the right to place employee on paid leave during notice period

8. Language Provision: Include when contract is in multiple languages to specify prevailing version

What schedules should be included in a International Employment Contract?

1. Schedule 1 - Job Description: Detailed breakdown of position responsibilities and requirements

2. Schedule 2 - Compensation and Benefits: Detailed 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 - Performance Metrics: KPIs and performance evaluation criteria

5. Schedule 5 - Visa and Residency Requirements: Documentation requirements for visa processing

6. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines

7. Appendix B - IT and Communications Policy: Rules regarding use of company IT systems and communication tools

Authors

Alex Denne

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

Publisher

Ƶ

Document Type

Employment Contract

Cost

Free to use

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