Understanding the Hiring Process In The Middle East
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Understanding the Hiring Process In The Middle East
Finding the right candidate can be challenging, particularly when hiring for a role based in another country. The recruitment process in the UAE follows specific guidelines to ensure compliance and effectiveness, which can differ from those in other regions. This article outlines the hiring process in the Middle East and offers insights to help your business confidently navigate recruitment in the UAE.
Cercli’s global HR system helps MENA businesses to manage their teams globally through one platform.
Understanding The Employment Landscape In The Middle East
Labour regulations differ considerably across the region. For example, Saudi Arabia implements structured employment contracts with set standards for working hours, overtime, and employee benefits. The country also pursues a national employment strategy, called Saudisation, which aims to increase job opportunities for Saudi nationals. In contrast, Jordan offers a more flexible framework, particularly for project-based or freelance work, making it easier for businesses to engage contractors on a short-term basis.
In the UAE, labour laws are clearly defined and well-documented, offering structure and predictability for both employers and employees. The UAE’s framework includes:
- Mandatory employment contracts
- Emiratisation policies
- Defined end-of-service benefits
- Employer responsibility for visa sponsorship
Within a clear legal framework, the UAE also supports flexible working arrangements, including part-time roles and freelance permits. This clarity helps businesses maintain compliance and transparency in their employment practices.
Key Employment Considerations When Hiring In The Middle East
When hiring in the Middle East, companies must first determine the most appropriate employment model:
- Full-time
- Part-time
- Freelance
Each arrangement comes with distinct contractual, payroll, and legal requirements.
- Employment contracts: In most countries, including the UAE and Saudi Arabia, contracts should be prepared in English and Arabic, and must comply with local standards.
- Work permits and visas: Foreign employees generally require employer-sponsored permits. In the UAE, companies manage this process and ensure compliance with immigration regulations.
- End-of-service and termination: Termination policies are governed by labour laws and often include severance or end-of-service gratuity, calculated based on length of service and final salary.
Choosing an Employment Model in the Middle East
The approach a business takes will depend on its long-term plans and the scale of its operations in the region:
- Direct hiring through a local entity: Establishing a presence in the country gives full control over recruitment and employment processes, but also requires compliance with local tax, payroll, and employment regulations. This option is generally more suitable for businesses with long-term regional plans.
- Employer of record (EOR): For companies seeking a faster and less resource-intensive entry into the region, EOR services provide a way to hire staff without establishing a legal entity. The EOR becomes the legal employer, handling compliance, payroll, and reporting on the company’s behalf.
- Freelancers and contractors: Hiring independent professionals can be a practical solution for specific projects or short-term needs. However, it is important to understand how local laws distinguish between contractors and employees to avoid the risk of misclassification.
Working Hours and Leave Policies in the Middle East
Across the Middle East, standard working hours align with international norms. The typical working week is 48 hours, usually spread across six days. In countries like the UAE, daily working hours may be reduced for physically demanding or hazardous roles, as outlined by the Ministry of Human Resources and Emiratisation.
Holiday entitlements in the region are often more extensive than those in many Western countries. In the UAE, employees are entitled to:
- Paid annual leave
- Public holidays and allowances for sick days
- Parental and maternity leave
Employees with over six months but less than a year of service are entitled to two days of paid leave per month, while those over a year receive 30 days of annual leave. Official public holidays include religious and national observances such as:
- Eid Al Fitr
- Eid Al Adha
- UAE National Day
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How to Hire Employees in the Middle East
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Writing Job Descriptions That Attract Suitable Candidates
Hiring begins with a detailed, accurate job description. It’s not only about defining responsibilities, communicating expectations and appealing to candidates well-suited to the role.
Employers in the Middle East often advertise openings on platforms such as LinkedIn, Bayt, and GulfTalent. In the UAE, job descriptions typically include the job title, reporting line, required qualifications and experience, and any language skills or cultural considerations relevant to the role.
Shortlisting Candidates In The UAE
Once applications are received, the next step is to screen candidates for suitability. This involves:
- Reviewing CVs
- Checking references where necessary
- Conducting interviews
In the UAE and across the Gulf region, the hiring process often includes multiple stages, such as:
- Initial HR interviews
- Technical assessments
- Final interviews with senior management
For specialised roles, employers may use task-based assessments or case studies to evaluate practical skills.
Formalising The Offer With A Contract
Once a candidate is selected, a formal employment contract is issued. In the UAE, employment contracts must comply with local labour law and be submitted to the Ministry of Human Resources and Emiratisation (MOHRE). Recent updates have increased flexibility. For instance, the former four-year limit on fixed-term contracts has been lifted, allowing longer or tailored arrangements.
Contracts must outline terms such as salary, working hours, leave entitlements, and notice periods. Contracts are also required in other Middle Eastern countries, such as Saudi Arabia or Qatar. They must be written in Arabic or bilingual (typically Arabic and English) to be legally valid. Employers must also ensure that the terms comply with national labour law, including:
- Probation periods
- End-of-service benefits
- Specific termination rules
Managing Visa And Work Permit Requirements
Hiring expatriates in the Middle East generally requires navigating country-specific visa processes, which follow established procedures. In the UAE, employers are responsible for applying for a work permit through MOHRE, submitting medical and identification documents, arranging medical tests and an Emirates ID, and securing a residence visa, which is tied to the employment. For companies operating in UAE free zones, standard mainland labour law contracts are not required, but employers must still legally handle their employees’ visa applications and provide mandatory medical insurance coverage.
Similar processes apply across the Gulf Cooperation Council (GCC) countries, though the specific timelines, fees, and employer obligations differ. Regardless of location, maintaining compliance is essential to avoid penalties or issues with immigration authorities.
Integrating New Hires Into The Organisation
Once contracts are signed and work permits secured, onboarding is the final step in the hiring process. This includes introducing employees to workplace policies, systems, and team members. In the UAE, for instance, onboarding is important in helping international hires adapt to the legal, social, and professional environment.
An effective onboarding process includes clear communication of company expectations, provision of necessary tools and training, and where relevant, and support with relocation or cultural orientation. Organisations that invest in structured onboarding often see higher retention rates, particularly among expatriate employees.
Built for Business in the Middle East: Local Compliance, Global Capability
Transform your HR operations with Cercli, which is aligned with the UAE’s vision for business excellence. It is the only platform built specifically for MENA businesses that unifies workforce management needs in one powerful system. Manage your entire team, whether local or distributed across the world (Cercli supports payments to 160+ countries), with our comprehensive solution that handles multi-currency payroll, leave management, onboarding, and compliance documentation tailored to the unique requirements of the MENA region.
Whether you're managing a growing team of 25 or coordinating 500+ employees across multiple countries, Cercli provides the localised expertise and streamlined processes that MENA businesses need to scale confidently and manage remote teams effectively. Experience the only HR platform truly designed for how you do business in the Middle East. Schedule a demonstration today to speak with our team about our global HR system.
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Setting Up Payroll and Benefits in the Middle East
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Ensuring compliant payroll processes is essential when hiring in the UAE. Payroll involves more than simply ensuring timely salary payments. Employers must report earnings accurately to the authorities and adhere to local regulations to avoid penalties.
In the UAE, the payroll framework is well-defined, supported by an established electronic Wage Protection System (WPS) that ensures employees are paid accurately and on time.
Wage Protection System
In the UAE, the Wage Protection System (WPS) is mandatory for private sector employers registered with:
- MoHRE (Ministry of Human Resources and Emiratisation)
- JAFZA (Jebel Ali Free Zone Authority)
- DMCC (Dubai Multi Commodities Centre)
The system ensures employees are paid in full and on time through approved financial institutions. Non-compliance with WPS requirements in the UAE may result in:
- Fines
- Work permit suspensions
- Licence penalties
Managing Currency and Payment Methods
Most employers in the Middle East pay salaries in local currencies, such as the UAE dirham (AED) or Saudi Riyals (SAR). For multinational teams, accommodating foreign currency payments is becoming more common. When employing remote or cross-border teams, choosing a payroll provider that facilitates multi-currency payments can be beneficial.
Tax Compliance
There is no personal income tax on salaries in the UAE or Saudi Arabia, which can make payroll processing more straightforward. Companies must comply with other financial regulations, including VAT reporting and, where applicable, corporate tax, which was introduced in the UAE for certain businesses from 2023. These usually do not impact payroll directly but are part of broader compliance obligations.
Employee Benefits: Entitlements for New Starters in the UAE
In addition to payroll, it is essential to consider employee benefits for your new starters in the UAE. Although benefits may vary depending on the industry and employer, employees often expect appropriate coverage to support their overall compensation. Familiarity with local regulations on employee benefits helps ensure compliance and avoid potential penalties.
Health Insurance and Medical Insurance
Health insurance and medical insurance is a legal requirement in several parts of the region. In the UAE, employers must provide at least basic health insurance to employees, with particularly stringent regulations in Dubai and Abu Dhabi. In certain circumstances, employers may also be required to cover dependents.
End-of-Service Benefits (Gratuity Pay)
Most Middle Eastern countries, including the UAE, Saudi Arabia, Kuwait, and Oman, require end-of-service gratuity payments. These are one-off payments based on the employee’s final basic salary and length of service.
In the UAE, the standard entitlement is as follows:
- 21 days’ basic salary for each of the first five years of service
- 30 days’ basic wage for each additional year of service beyond that
These payments are due upon termination, provided the employee has completed at least one year of service.
Social Security Contributions (UAE Nationals Only)
In the UAE, social security obligations apply only to Emirati employees, not expatriates. Contributions are paid to the General Pension and Social Security Authority (GPSSA) and are calculated as follows:
- Employer: 12.5% of the gross monthly salary
- Employee: 5% (deducted from the salary)
- Government: 2.5% (an additional contribution for UAE nationals in the private sector)
These contributions support pension and retirement benefits, forming part of the broader national employment framework.
Book a Demo to Speak with Our Team about Our Global HR System
Cercli’s global HR system assists MENA businesses in managing compliance with local regulations, allowing you to focus on finding the right talent for your organisation, rather than dealing with legalities.
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