The UAE Engagement Contract is a fundamental document used when establishing formal employment relationships in the United Arab Emirates. This contract type is essential for companies operating in the UAE mainland or free zones to ensure compliance with local labor laws, particularly UAE Federal Decree-Law No. 33 of 2021. The document encompasses all mandatory employment terms required by UAE law, including detailed provisions on compensation, working hours, leave entitlements, and termination procedures. It serves as a crucial tool for protecting both employer and employee rights while establishing clear expectations for the employment relationship. The contract must be drafted in Arabic (with optional English translation) and should reflect any specific requirements of the relevant free zone authority if applicable.
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1. Parties: Identification of the employer and employee with full legal names and addresses
2. Background: Brief context of the engagement and purpose of the agreement
3. Definitions: Key terms used throughout the contract defined for clarity
4. Appointment and Term: Position title, employment type (limited/unlimited term), start date, and probation period if applicable
5. Duties and Responsibilities: Detailed description of the employee's role, responsibilities, and reporting lines
6. Place of Work: Primary workplace location and any flexibility/remote working arrangements
7. Working Hours and Days: Standard working hours, days, break times, and overtime provisions as per UAE law
8. Remuneration and Benefits: Base salary, allowances, benefits, payment frequency, and method of payment
9. Leave Entitlements: Annual leave, public holidays, sick leave, and other statutory leave entitlements
10. Medical Insurance: Health insurance provisions as required by UAE law
11. Termination: Notice periods, grounds for termination, and end of service calculations
12. Governing Law: Confirmation of UAE law application and jurisdiction
13. Language: Specification of controlling language version (Arabic/English) as per UAE requirements
1. Non-Competition: Restrictions on working for competitors, used when employee has access to sensitive information
2. Intellectual Property: IP ownership and assignment provisions, relevant for creative or technical roles
3. Confidentiality: Detailed confidentiality obligations, important for senior positions or roles with access to sensitive information
4. Performance Reviews: KPIs and evaluation process, useful for performance-based roles
5. Commission Structure: Details of commission calculations and payments, relevant for sales roles
6. Training Requirements: Mandatory training and professional development obligations
7. International Travel: Travel requirements and related allowances for roles requiring travel
8. Remote Working Policy: Detailed provisions for remote work arrangements if applicable
1. Schedule 1 - Job Description: Detailed breakdown of role responsibilities and requirements
2. Schedule 2 - Compensation Details: 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: Specific KPIs and performance expectations if applicable
5. Schedule 5 - Benefits Summary: Detailed description of all benefits and eligibility criteria
6. Appendix A - Required Documents: List of documents required for visa/work permit processing
7. Appendix B - Code of Conduct: Company's code of conduct and ethical guidelines
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