Compliance Guides

    UAE HR Compliance Checklist 2025: Complete Employer Guide

    Complete UAE HR compliance checklist for employers. Monthly, quarterly, and annual tasks covering WPS, Emiratisation, contracts, visas, and MOHRE requirements.

    Published: December 1, 2024
    Updated: December 15, 2024
    15 min read
    8 topics covered

    Quick Summary: Complete UAE HR compliance checklist for employers. Monthly, quarterly, and annual tasks covering WPS, Emiratisation, contracts, visas, and MOHRE requirements.

    HR compliance in the UAE requires systematic tracking of multiple obligations across payroll, employee records, leave management, Emiratisation, and documentation. This checklist provides a comprehensive framework for UAE employers to maintain compliance. For official guidelines, refer to MOHRE and the UAE Government Portal.

    MOHRE now uses AI-powered monitoring systems to detect violations, making proactive compliance management more critical than ever.

    AspectDetails
    Primary RegulatorMinistry of Human Resources and Emiratisation (MOHRE)
    Key LawsFederal Decree-Law No. 33 of 2021, amendments
    Record RetentionMinimum 2 years after employment ends
    Inspection RiskAI-powered surprise inspections active
    Maximum PenaltiesUp to AED 1,000,000 per violation

    Monthly Compliance Tasks

    Payroll & WPS

    TaskDeadlinePenalty for Non-Compliance
    Process salaries through WPSBy 15th of following monthAED 5,000/employee
    Generate and submit SIF fileBefore salary transferWPS rejection
    Verify all employees paidAfter transferMOHRE file suspension
    Reconcile WPS with payrollMonthlyAudit issues
    Archive payment confirmationsMonthlyDocumentation gaps

    Employee Records

    TaskFrequencyNotes
    Update employee data in MOHREAs changes occurWithin 30 days of change
    Track visa/permit expiriesMonthly review30-day advance planning
    Monitor probation end datesMonthlyConfirmation or termination
    Review contract renewals dueMonthlyPlan before expiry

    Leave Management

    TaskFrequencyNotes
    Update leave balancesAfter each leaveAccurate tracking
    Process sick leave certificatesAs receivedWithin 3 days of return
    Track annual leave usageMonthlyEnsure employees take leave

    Quarterly Compliance Tasks

    Emiratisation (For Companies 50+ Employees)

    TaskQ1Q2Q3Q4
    Review current Emiratisation rateYesYesYesYes
    Assess gap to targetYesYesYesYes
    Recruitment planningYesYesYesYes
    NAFIS registration/updatesYesYesYesYes

    2025 Targets:

    • 7% by June 30, 2025
    • 8% by December 31, 2025

    Documentation Audit

    TaskFrequencyNotes
    Verify all contracts registeredQuarterlyMOHRE compliance
    Check health insurance validityQuarterlyAll employees covered
    Review work permit statusQuarterlyNo expired permits
    Audit personnel filesQuarterlyComplete documentation

    Compliance Reporting

    TaskFrequencyNotes
    WPS compliance reportQuarterlyFrom WPS agent
    Emiratisation dashboard reviewQuarterlyMOHRE portal
    Leave liability calculationQuarterlyFinancial planning
    Gratuity provision reviewQuarterlyAccurate provisioning

    Annual Compliance Tasks

    January

    TaskDetails
    Update HR policiesReflect any law changes
    Review employment contractsEnsure compliance with current law
    Health insurance renewalsNationwide mandate check
    Employee handbook updateAnnual review
    Training on new regulationsHR team briefing

    Key 2025 Calendar Dates

    DateEvent/Deadline
    January 1Health insurance nationwide mandate
    June 15Summer midday ban starts
    June 30Emiratisation 7% deadline
    September 15Summer midday ban ends
    December 31Emiratisation 8% deadline

    Employee Lifecycle Compliance

    Hiring/Onboarding

    StepCompliance RequirementDeadline
    Job offerClear terms, no discriminationBefore hiring
    Employment contractWritten, MOHRE-compliantWithin 14 days of signing
    Contract registrationRegister with MOHREWithin 14 days
    Work permit applicationValid documentationBefore work begins
    Health insuranceMandatory coverageBefore visa stamping
    WPS enrollmentAdd to payroll systemWithin 30 days

    Offboarding/Termination

    StepCompliance RequirementDeadline
    Notice periodAs per contract (30-90 days)Per contract
    Final settlement calculationAccurate gratuity, leaveBefore last day
    Final settlement paymentComplete paymentWithin 14 days
    Visa cancellationProcess through MOHREPromptly
    Experience certificateProvide if requestedUpon request

    Document Retention Requirements

    Mandatory Retention

    DocumentRetention Period
    Employment contracts2 years after termination
    Salary records2 years after termination
    Leave records2 years after termination
    Time and attendance2 years
    Disciplinary records2 years after termination
    Training records2 years after termination
    Performance reviews2 years after termination
    Termination documents2 years after termination

    Recommended Extended Retention

    DocumentRecommended PeriodReason
    Employment contracts5 yearsLegal disputes
    Salary records5 yearsClaims up to 2 years
    Insurance records5 yearsAudit requirements
    Safety incidents7 yearsLegal liability

    Required Workplace Policies

    Mandatory Policies (50+ Employees)

    PolicyRequirement
    Grievance procedureWritten policy required
    Disciplinary procedureWritten policy required
    Anti-harassmentRecommended/required
    Health and safetyRequired

    Recommended Policies (All Companies)

    PolicyPurpose
    Employee handbookCentralized policies
    Leave policyClear entitlements
    Remote work policyIf applicable
    Data protectionEmployee privacy
    Social mediaCompany representation
    Travel and expenseReimbursement rules

    Inspection Readiness

    What MOHRE Inspects

    AreaWhat They Check
    Employment contractsRegistered, compliant
    Salary paymentsWPS compliance, timeliness
    Working conditionsHours, breaks, safety
    AccommodationIf employer-provided
    DocumentationComplete personnel files
    EmiratisationMeeting quotas
    Health insuranceAll employees covered

    AI-Powered Inspections (2025)

    MOHRE uses AI systems to:

    • Track violations automatically
    • Cross-reference data sources
    • Identify non-compliance patterns
    • Flag suspicious activities
    • Monitor Emiratisation in real-time

    Pre-Audit Preparation Checklist

    • All employment contracts current and registered
    • WPS payments up to date
    • Leave records accurate
    • Personnel files complete
    • Health insurance active for all
    • Work permits valid
    • Emiratisation targets met
    • Policies documented and accessible

    Penalties Reference

    Common Violations and Penalties

    ViolationPenalty Range
    WPS non-complianceAED 5,000 - 50,000
    Employing without permitAED 50,000 - 200,000
    Labor law violationsAED 5,000 - 1,000,000
    Fictitious EmiratisationAED 20,000 - 100,000
    Health insurance non-complianceAED 500/month per employee
    Working hours violationsAED 1,000 - 50,000
    Summer midday ban violationAED 5,000 per worker
    Passport retentionCriminal charges possible

    Escalating Consequences

    LevelConsequence
    First offenseWarning or fine
    Repeat offenseHigher fine
    Persistent violationBusiness restrictions
    Serious violationLicense suspension

    Frequently Asked Questions

    Automate HR Compliance Tracking

    NeuralHR provides real-time compliance monitoring, automated alerts, document management, and one-click audit reports to keep your HR fully compliant.

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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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