Employer of Record in the United Arab Emirates

For companies building teams of 10 or more across business, technical, and operational functions — not for individual hires.
Talk to us about the United Arab Emirates

Why companies build teams in the United Arab Emirates

Lundi supports compliant employment in the UAE — Dubai for finance, tech, regional sales, and Middle East operations; Abu Dhabi for sovereign-fund-adjacent and energy operations. 9% corporate tax (recently introduced) and 0% personal tax for most income. Strong fit for regional MENA presence and senior expat talent.

Languages

Arabic

Payroll Frequency

Monthly

Currency

AED

Capital City

Abu Dhabi

Employer Tax Rate

12.50%

The UAE has built itself into the Middle East's primary international business hub — Dubai concentrates finance (DIFC), tech, regional sales, and customer success for MENA-region customers; Abu Dhabi concentrates sovereign fund operations, energy, and government-adjacent finance. The UAE introduced 9% corporate tax in 2023 (previously 0%) but maintained 0% personal income tax for most income. Significant senior expat professional workforce; many roles operate in English. UAE dirham (AED) is pegged to USD. Strong fit for regional MENA presence, senior international hires (relocated or local), and operations specifically requiring Middle East time-zone or government-adjacent customer access.

Cost of Employment in the United Arab Emirates

What it costs to employ someone through Lundi.

Lundi's cost is the all-in cost of the employee — gross salary plus statutory employer contributions plus customary benefits — and a Lundi management fee on top. The management fee depends on team size and scope: smaller teams pay a higher per-head rate, teams of 20+ get materially better unit economics, and Build–Operate–Transfer engagements are structured separately.

The alternative paths look like: setting up your own local entity (meaningful months of legal and accounting work, plus ongoing in-country HR, payroll, and compliance infrastructure), engaging a local recruitment agency on contingency (typically a percentage of first-year compensation, paid once, with no ongoing employment relationship), or hiring as a contractor (lower upfront cost, real misclassification risk in most jurisdictions). Lundi is faster than entity setup, structurally different from contingency recruitment, and lower-risk than contractor arrangements.

Talk to us for specific pricing.

Talk to us about the United Arab Emirates

Employer Tax Costs in United Arab Emirates

Social Security (basic social security plus housing allowance, based on monthly minimum of 1,000 AED and maximum of 50,000 AED) There is an additional 2.5% contribution made by the Government making the total contribution for social security of 20%. A higher rate of 26% is applied in the Emirate of Abu Dhabi, where the contribution of the employer is 15%, the Government’s contribution is 6%, and the employee’s contribution is 5%.

Employee Income Taxes in United Arab Emirates

Employees in UAE don't have an income bracket. Social Security (basic social security plus housing allowance, based on monthly minimum of 1,000 AED and maximum of 50,000 AED) (These contributions are for Emiratis only, no contributions for expats)

Employee Probation in United Arab Emirates

Probation period may not exceed 6 months. During probation, the employer may terminate the employment with a notice period of 14 days. If a foreign worker wishes to terminate the employment contract during the probation period and leave the state, he should give 14 days’ notice. Notice periods can be substituted by equivalent wages.

Employee Overtime in United Arab Emirates

In the UAE, the standard working week is Monday to Friday, with 40 working hours.

Employee Notice in United Arab Emirates

For unlimited term employment contracts, the minimum notice period is 1 month. The statutory maximum notice period is 3 months.30 day written notice if the period of services is less than five years;60 day written notice if the period of service exceeds five years; and90 day written notice if the period of service exceeds 10 years.

Termination in United Arab Emirates

Employee contracts can only be terminated according to terms spelled out in the Emirati Labour Law, and the relevant authorities must be informed accordingly.

How Lundi works in the United Arab Emirates

Build

We scope your team and recruit the right people in-country — finance, accounting, HR/payroll, BD, ops, or IT.
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Operate

We employ the team via our local entity and run the day-to-day — payroll, compliance, HR, and performance management.
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Transfer

When you're ready, we transition the team to your own legal entity. Or stay on Lundi's infrastructure indefinitely — your choice.
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Why Companies Choose Lundi

If you need help with anything, we're here for you

Who is Lundi for?

Lundi works with companies building teams of 10 or more across business, technical, and operational functions . Not for one-off hires or individual placements.

How is this different from an EOR?

EOR platforms employ individuals for you. Lundi recruits, employs, and operates concentrated teams — including day-to-day management, HR, and an optional path to your own entity. It's the operating model for companies that have outgrown the EOR ceiling.

Still have any questions? Talk to us.