The Hardest Market · United Arab Emirates

United Arab Emirates's HR data

The rules and costs of employing people in United Arab Emirates (Dubai), from official sources, in English and Japanese.

19%women in management (2025, ILO)

1.03×employer's total cost on AED 25,000 a month, as a multiple of salary

13public holidays (2026)

Take-home pay calculator Japan take-home pay

Employment rules

Statutory annual leave	30 calendar days
Public holidays (2026)	13 days
Notice of dismissal	30–90 days, per contract
Severance required by law	Gratuity: 21 days' basic pay a year (30 after 5 years)
Typical negotiated exit	No official benchmark
Probation	Max 6 months; 14 days' notice by employer
Working hours	8/day, 48/week; OT max 2 h/day
How hard is dismissal?	Easy: notice for a legitimate reason; unlawful-dismissal award max 3 months

Employer contributions

End-of-service gratuity (accrual)	5.75%

Employee contributions

Unemployment insurance (ILOE)	AED 120 a year

Take-home pay and employer cost by monthly salary

Monthly salary	Employee contributions	Income tax	Take-home	Employer cost	Cost ÷ salary
AED 15,000	AED 10	AED 0	AED 14,990	AED 15,518	1.03×
AED 25,000	AED 10	AED 0	AED 24,990	AED 25,863	1.03×
AED 40,000	AED 10	AED 0	AED 39,990	AED 41,381	1.03×
AED 70,000	AED 10	AED 0	AED 69,990	AED 72,416	1.03×

A single expatriate (non-GCC national) employee in Dubai on the federal labour law (Federal Decree-Law No. 33 of 2021), outside the DIFC and ADGM free zones, full-time unlimited contract, no dependants, salary paid evenly as 12 monthly payments with no bonus. The UAE levies no personal income tax on employment income. Expatriates are not covered by the GPSSA pension scheme, so the only employee deduction is the compulsory involuntary loss of employment (ILOE) insurance premium. The employer cost includes an accrual for the statutory end-of-service gratuity (21 days' basic wage per year of service for the first five years), assuming basic wage is 60% of total monthly salary, with the rest paid as housing, transport and other allowances. The basic share is an assumption, not a legal rule: contracts set it and it varies widely. Calendar year 2026. Expatriates are the main white-collar case in Dubai; UAE nationals are covered by GPSSA instead (see notes).

Sources: [1] [2] [3] Checked 2026-11-07; 2026 rates.