Free Zones

    JAFZA Employment Guide: HR Compliance in Jebel Ali Free Zone 2025

    Complete JAFZA employment guide for employers. Personnel Sponsorship Agreement, bank guarantee, WPS compliance, and HR requirements in Jebel Ali.

    Published: January 23, 2026
    11 min read read
    8 topics covered

    Quick Summary: Complete JAFZA employment guide for employers. Personnel Sponsorship Agreement, bank guarantee, WPS compliance, and HR requirements in Jebel Ali.

    JAFZA (Jebel Ali Free Zone Authority) is one of the UAE's oldest and largest free zones, established in 1985. Adjacent to Jebel Ali Port, the largest in the Middle East, JAFZA is ideal for manufacturing, logistics, and trading companies. This guide covers HR compliance requirements specific to JAFZA.
    AspectDetails
    LocationJebel Ali, Dubai (near port)
    FocusLogistics, manufacturing, trading
    Governing LawFederal Law + JAFZA Regulations
    WPSMandatory
    Established1985

    About JAFZA

    Understanding JAFZA's position in the UAE free zone landscape.

    Overview

    JAFZA is adjacent to Jebel Ali Port and ideal for manufacturing, logistics, and trading. It hosts 9,000+ companies from 100+ countries with strong infrastructure and warehousing. It offers direct port and airport access.

    Why Companies Choose JAFZA

    Key advantages include proximity to the largest Middle East port, extensive warehouse and industrial facilities, established infrastructure since 1985, strategic location for logistics, and a strong manufacturing ecosystem.

    Employment Regulations

    Legal framework for employment in JAFZA.

    Legal Framework

    JAFZA follows Federal Decree-Law 33/2021 as primary labor law with JAFZA Regulations for zone-specific rules. A Personnel Sponsorship Agreement is required for hiring, along with compliance with immigration laws.

    Key Requirements

    JAFZA-specific requirements include a Personnel Sponsorship Agreement with JAFZA, bank guarantee for employees, WPS compliance, and zone-specific documentation.

    Personnel Sponsorship Agreement

    Unique JAFZA requirement for employee sponsorship.

    What It Is

    A mandatory agreement between employer and JAFZA that is required before sponsoring employees. It outlines employer obligations, includes bank guarantee requirements, and must be renewed annually.

    Bank Guarantee

    JAFZA requires approximately AED 3,000 per employee (amount varies). The purpose is to cover repatriation costs and outstanding dues. The guarantee is released after proper employee exit and document completion.

    Visa and Work Permits

    JAFZA visa quota and application process.

    Visa Quota

    Quota is based on office or warehouse space, business activity type, staffing requirements, and JAFZA approval.

    Visa Process

    JAFZA work permit application takes 2-3 days. Entry permit if outside UAE takes 2-3 days. Medical test takes 1-2 days. Emirates ID application takes 5-7 days. Visa stamping takes 3-5 days.

    Visa Costs

    Approximate costs: JAFZA fees AED 1,000-2,000, Entry permit AED 500-1,500, Medical AED 300-500, Emirates ID AED 370, Visa stamping AED 500-1,000. Total approximately AED 2,700-5,400.
    StepTimeline
    JAFZA work permit application2-3 days
    Entry permit (if outside UAE)2-3 days
    Employee arrives in UAE-
    Medical test1-2 days
    Emirates ID application5-7 days
    Visa stamping3-5 days

    Working Conditions

    Hours, leave, and employment terms in JAFZA.

    Working Hours

    Standard week is 48 hours maximum. Daily maximum is 8 hours. Ramadan reduction is 2 hours per day. Overtime rates are 125% for normal hours and 150% for night and holiday work. Minimum weekly rest is 1 day.

    Shift Work

    Many JAFZA companies operate 24/7 given the industrial and logistics nature. Shift rotations are permitted with night shift premiums applying. Adequate rest periods are required with critical safety compliance.

    Leave Entitlements

    Annual leave is 2 days per month for 6-12 months service, then 30 calendar days after 1 year. Sick leave follows Federal Law with 90 days total. Maternity leave is 60 days. Parental leave is 5 working days. Bereavement leave is 3-5 days.

    Health and Safety

    JAFZA-specific safety requirements given industrial operations.

    Requirements

    A safety policy is required for all companies. Regular safety training must be conducted. Appropriate PPE must be provided. Incidents must be reported to JAFZA. The midday work ban applies June 15 to September 15 for outdoor work.

    Industries with Extra Requirements

    Manufacturing, warehousing, logistics, and construction within the zone have additional safety compliance requirements due to the nature of operations.

    Frequently Asked Questions

    JAFZA HR Compliance

    NeuralHR supports JAFZA requirements including shift management, safety tracking, WPS compliance, and bank guarantee monitoring.

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    Our team of HR professionals and legal experts specializes in UAE labor law compliance, with extensive experience helping businesses navigate MOHRE regulations, Emiratisation requirements, and workforce management in the UAE and GCC region.

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    JAFZA Employment Guide: HR Compliance in Jebel Ali Free Zone 2025 | NeuralHR