What Is MOHRE?
The Ministry of Human Resources and Emiratisation (MOHRE) is the UAE federal authority responsible for all private sector labor relations. Every UAE mainland company employing staff must register with MOHRE and comply with:
- UAE Labor Law (Federal Decree-Law No. 33 of 2021)
- Wage Protection System (WPS) requirements
- Work permit procedures
- Employment contract standards
- Emiratisation (Nafis program) targets (where applicable)
Non-compliance results in escalating penalties — from business bans and hiring freezes to license renewal rejections and court referrals.
Complete MOHRE Services
Company Registration with MOHRE
Before hiring any employee, your company must be registered with MOHRE and obtain an Establishment Card. This is the mandatory first step for all UAE mainland employers.
Documents required:
- Valid trade license
- Tenancy contract (Ejari)
- Authorized signatory's passport and Emirates ID
Timeline: 2–3 working days
WPS (Wage Protection System) Setup
The Wage Protection System (WPS) is a mandatory electronic salary transfer system for all UAE private sector employers. Salaries must be transferred within 10 days of the payment due date.
We handle:
- WPS enrollment with approved banks or exchange houses
- WPS file format setup and testing
- Monthly WPS file generation (add-on service)
- Resolving WPS non-compliance blocks
WPS non-compliance penalties:
- Suspension of new work permit issuance
- Administrative fines up to AED 50,000
- Business activity suspension
- Court referral for repeat violations
Work Permit Applications & Renewals
All employees working in the UAE mainland require a work permit from MOHRE. We process:
- New work permit applications (standard and skilled categories)
- Work permit renewals (typically 2-year cycle)
- Category upgrades (skilled/semi-skilled classification)
- Work permit transfers between employers
Timeline: 2–3 working days per application
Employee Contract Registration
MOHRE requires all employment contracts to be registered on the system. We prepare and register:
- Standard MOHRE employment contracts (Arabic standard form)
- Contract amendments (salary changes, role changes, location changes)
- Internal transfer documentation
- Contract disputes and modifications
Labor Quota Management
Mainland companies receive an initial hiring quota based on their license category and paid-up capital. We manage:
- Initial quota assessment and activation
- Quota increase applications (linked to office space expansion, capital increase)
- Quota utilization tracking
- Compliance with Emiratisation (Nafis) targets
Absconding Report Filing
If an employee leaves the workplace without authorization, you must file an absconding report with MOHRE within 72 hours. Failure to report protects neither the employer nor the employee legally. We file absconding reports promptly and advise on subsequent steps.
End of Service Gratuity (EOSB)
UAE Labor Law entitles every employee to a gratuity payment at the end of employment (after 1 full year of service):
- First 5 years: 21 days' basic salary per year of service
- After 5 years: 30 days' basic salary per year of service
We calculate EOSB for every departing employee — ensuring accuracy and full legal compliance. Common mistakes (using total salary instead of basic salary, incorrect pro-rata calculations) result in labor disputes and MOHRE complaints.
WPS — Key Rules You Must Know
| Requirement | Rule |
|---|---|
| Payment deadline | Within 10 days of salary due date |
| Minimum delay before WPS block | 1 month delay for 50%+ of employees |
| Approved WPS channels | CBUAE-approved banks + licensed exchange houses |
| WPS file format | Ministry-specific (.SIF format) |
| Penalty for non-compliance | Suspension → fines → court |
Emiratisation (Nafis) Requirements
Mainland companies in certain sectors are required to maintain minimum percentages of UAE national employees under the Nafis (Emiratisation) program:
- Companies with 50+ employees: Emiratisation targets apply
- Target increases annually
- Failure to meet targets results in AED 6,000/month fine per shortfall position (2024 rate, subject to change)
We advise on Emiratisation obligations and connect companies with Nafis-approved recruitment channels.
Why MOHRE Compliance Cannot Be Ignored
A single MOHRE violation can cascade quickly:
- WPS block → cannot process salaries → employees cannot receive wages
- Hiring ban → cannot bring new staff, cannot issue new work permits
- License renewal rejected → trade license lapses → legal exposure for directors
- Bank flags account → financial operations affected
- Court referral → personal liability for company directors
We prevent all of this through proactive compliance management.
Frequently Asked Questions
Do free zone companies need to register with MOHRE? Free zone companies are typically registered with their free zone authority (e.g., DMCC, JAFZA) rather than MOHRE for their employment relations. However, domestic workers sponsored by free zone visa holders must go through MOHRE channels.
What is the maximum working hours under UAE Labor Law? Standard: 8 hours per day / 48 hours per week. During Ramadan: 6 hours per day for Muslim employees. Overtime at 125% pay rate (150% for night/public holiday overtime). Maximum continuous work without rest period: varies by activity.
Can I terminate an employee without MOHRE approval? Termination notice and procedure must comply with the Federal Labor Law. Instant termination without notice is only permitted for specific gross misconduct cases listed in the Law. Improper termination results in compensation claims. We advise on the correct procedure before any termination.
How do I increase my visa quota? Quota increases require either expanding your office space (more space = more quota) or increasing paid-up capital. We manage the application to MOHRE and the DED activity assessment.
Office 225, Oud Metha Offices, Dubai Healthcare City | Ajman: Amber Gem Tower +971 50 380 7565 | support@hashmibusinessconsultant.com
