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Permanent Employment Agreement for United Arab Emirates

Permanent Employment Agreement Template for United Arab Emirates

A comprehensive employment agreement template compliant with UAE Federal Decree-Law No. 33 of 2021, designed to establish a permanent employment relationship between an employer and employee in the United Arab Emirates. This document outlines all essential terms and conditions of employment including duties, compensation, benefits, and termination provisions, while ensuring compliance with UAE labor laws and regulations. The agreement incorporates mandatory provisions required by UAE law while allowing for customization based on specific employer requirements and industry standards.

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What is a Permanent Employment Agreement?

This Permanent Employment Agreement template is designed for use in the United Arab Emirates to establish long-term employment relationships between employers and employees. It ensures compliance with UAE Federal Decree-Law No. 33 of 2021 and related employment regulations while providing a comprehensive framework for employment terms. The document should be used when hiring permanent employees in the UAE, whether in mainland UAE or free zones, and includes provisions for salary, benefits, working hours, leave entitlements, and other employment terms as required by UAE law. It's suitable for both UAE nationals and expatriate employees, incorporating necessary provisions for work permits and visas where applicable.

What sections should be included in a Permanent Employment Agreement?

1. Parties: Identification of the employer and employee, including full legal names and addresses

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

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment: Details of the position, job title, and effective date of employment

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

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

7. Working Hours: Standard working hours, rest periods, and overtime provisions as per UAE law

8. Probationary Period: Length and terms of the probationary period (maximum 6 months under UAE law)

9. Remuneration: Salary, payment frequency, and breakdown of compensation components

10. Benefits: Statutory and additional benefits including health insurance, annual leave, and public holidays

11. End of Service Gratuity: Calculation and payment terms for end of service benefits as per UAE law

12. Termination: Notice periods and grounds for termination in accordance with UAE labor law

13. Confidentiality: Obligations regarding company confidential information

14. Data Protection: Handling of personal data and privacy obligations

15. Governing Law: Confirmation of UAE law as governing law and dispute resolution procedures

What sections are optional to include in a Permanent Employment Agreement?

1. Non-Competition: Restrictions on working for competitors post-employment, used for senior positions or roles with access to sensitive information

2. Intellectual Property: IP rights and assignments, particularly relevant for creative or technical roles

3. Commission Structure: Detailed commission terms for sales or similar roles

4. Bonus Scheme: Performance-related bonus structures for eligible positions

5. Remote Working: Terms for remote work arrangements if applicable

6. International Travel: Terms related to international travel requirements and allowances

7. Housing Allowance: Terms of housing allowance if provided

8. Education Allowance: Terms of education allowance for employees' children if provided

9. Share Options: Details of any share option or equity participation schemes for senior executives

What schedules should be included in a Permanent Employment Agreement?

1. Job Description: Detailed description of the role, responsibilities, and performance expectations

2. Compensation Details: Detailed breakdown of salary components and benefits

3. Company Policies: Key company policies including code of conduct, IT usage, etc.

4. Grievance Procedure: Detailed procedure for raising and handling grievances

5. Disciplinary Procedure: Detailed procedure for handling disciplinary matters

6. Benefits Summary: Detailed description of all benefits and eligibility criteria

7. Performance Review Process: Details of performance evaluation criteria and process

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

Banking & Finance

Technology

Healthcare

Real Estate

Construction

Retail

Education

Professional Services

Manufacturing

Tourism & Hospitality

Energy & Utilities

Media & Entertainment

Telecommunications

Transportation & Logistics

Insurance

Relevant Teams

Human Resources

Legal

Finance

Operations

Sales

Marketing

Information Technology

Customer Service

Research & Development

Administration

Business Development

Product Management

Engineering

Quality Assurance

Compliance

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Manager

Department Manager

Sales Manager

HR Manager

Marketing Director

Software Engineer

Account Manager

Project Manager

Operations Manager

Administrative Assistant

Financial Analyst

Legal Counsel

Research Analyst

Customer Service Representative

Technical Support Specialist

Business Development Manager

Product Manager

Systems Administrator

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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