Awareness

Hybrid Work Models & Freelancer & Gig Economy Growth

Hybrid Work Models & Freelancer & Gig Economy Growth
Hybrid Work Models & Freelancer & Gig Economy Growth 800 500 HRSG

The world is moving away from the traditional 9-5 work model, and the pace at which it is happening is increasing by the day. Millions of professionals worldwide are increasingly drawn to hybrid work models, freelancing, and the gig economy because of the autonomy and flexibility they offer — without significantly affecting income levels.

The modern workplace is no longer confined to four walls or a cubicle. Instead, many professionals are looking for hybrid, freelance, or gig-based career opportunities that are characterized by greater productivity, cost-effectiveness, and operational efficiency both for the professionals and employers.

This blog delves into the rise of Hybrid, freelance, and gig economy work models to help you understand what makes them a better option in the current business landscape. So, keep on reading till the end.

  • What is the Hybrid Work Model?
  • What is Freelance Work?
  • What is the Gig Economy?
  • Convergence of The Hybrid, Freelance, and Gig Work Models

What is the Hybrid Work Model?

A hybrid work model typically combines traditional in-office employees with remote or freelance professionals. This model is a blend of remote and in-office work, leading to greater flexibility for the employees and cost savings for the organizations.

This model allows businesses to ensure their core workforce takes care of the key tasks onsite, and they also get access to specialized skills on demand without any administrative burden.

Another approach involves splitting employees’ time between remote and on-site work. In this case, employees are either allowed to choose their in-office and remote days or their weeks are split by the management based on workloads. 

Estimates suggest that about 70% of business executives expect to use temporary freelance workers in their hybrid operations in the coming years.

Why It Works?

Here is what makes this model stand out.

  • This model gives employees the flexibility to divide their workdays between office and home, which enhances employee experience and productivity.
  • Businesses can access a greater talent pool in this case, who can handle remote work for them.
  • It helps organizations save significantly on office space, utilities, and employee benefits.
  • Employees enjoy a better work-life balance in hybrid work models.

Growth Statistics

The real growth of this working model began during COVID. Currently, over 75% of global businesses offer hybrid work to their employees in one form or another, says a report by Gartner.

Another survey showed that more than 71% of professionals prefer organizations that offer a hybrid work setup. That’s why industry giants like Google, Apple, and Microsoft are operating under or transitioning to hybrid work models.

What is Freelance Work?

This is a highly flexible work model where, instead of going for traditional recruitment, professionals work independently for a single client or multiple clients at a time.

Freelancers are self-employed professionals who work with their clients on a project basis and are usually paid once they deliver the project. In this model, professionals choose their own schedules, work location, rates, and working equipment.

In recent years, freelancers have dominated several sectors, including IT services, marketing, accounting, writing, and technical services, to name just a few. Many freelancers rely on platforms like Fiverr, Upwork, and Toptal to connect with potential clients and provide their specialized services.

Why It Works?

Here is what makes freelancing an attractive working model.

  • It gives professionals full autonomy and work flexibility.
  • Many businesses that use a hybrid working model prefer outsourcing their key tasks to freelancers, which leads to more career opportunities.
  • Freelance work can be done alongside traditional jobs, which gives professionals an opportunity to earn more and diversify their income.
  • Freelancers are paid directly by clients, typically on a project or milestone basis.
  • Freelancers manage every aspect of their work from client hunting to retention and from sales to invoicing themselves. In other words, they are their own bosses.

Growth Statistics

According to some estimates, more than 46% of Gen Z professionals prefer freelance work. The global freelance market is projected to reach a staggering $500 billion by the end of 2027, which goes to show how much growth potential this work model possesses.

What is the Gig Economy?

This is another growing work model that is known for flexible work schedules, low-entry barriers, and autonomy. In this model, professionals or independent contractors provide short-term services to individuals or organizations and are paid per task, project, or gig.

Unlike freelancing, gig economy jobs are short-term and task-based. These jobs are often facilitated by digital platforms. Some popular gig-based platforms are Uber, Lyft, DoorDash, Rover, and Airbnb.

In this model, professionals do not need a lot of investment to start or find work. Most of the gig jobs are mobile app-based, which lowers entry barriers. Many professionals use gig jobs as a backup income stream to minimize financial risks and economic uncertainty.          

Why It Works?

Here is what makes this model a success.

  • It gives you full control over your working hours.
  • It gives people with all skill levels an opportunity to enter the job market.
  • Gig economy jobs are project-specific, short-term, and driven by on-demand digital platforms.
  • It allows professionals to be paid quickly following the completion of the service or project, which leads to financial stability. 

Growth Statistics

The global gig economy is currently valued at over $1.8 trillion. In the USA alone, more than 35% of the workforce is involved in gig work, either part-time or full-time. Another survey by Forbes has shown that more than 52% of Gen Z prefer freelance or gig work over traditional working models.

Conclusion

Hybrid, freelance, and gig work models are rapidly becoming central to economies in both developed and developing nations. Unlike traditional work models, these offer professionals greater autonomy and more career opportunities.

For employers, these work models lead to reduced operational costs and administrative burden. Adaptability and continuous learning are becoming key requisites for businesses and individuals who wish to ensure long-term success at a time when the global workforce is leaning more towards hybrid, gig, and freelance work.

This is the only way to overcome challenges and uncover new opportunities arising from this modern shift in the nature of work.    

Visit HRSG today to explore exciting career opportunities and access top-tier HR, recruitment, accounting, and integrated facility management services designed to take your business to the next level.

DEI (Diversity, Equity & Inclusion) & Employee Experience

DEI (Diversity, Equity & Inclusion) & Employee Experience
DEI (Diversity, Equity & Inclusion) & Employee Experience 800 500 HRSG

DEI, which stands for diversity, equity, and inclusion, is a trending topic in modern businesses and workplaces. The initiatives that fall under the umbrella of DEI have proven quite effective in creating a better employee experience and building a positive company culture.

A report by McKinsey has revealed that industries that practice DEI implementation are 25% more likely to have above-average profitability. Another LinkedIn survey has shown that more than 69% of human resources professionals and recruiters believe that their organization is committed to diverse hiring practices.

Businesses that celebrate diversity, practice inclusion, and prioritize equity are able to create a better environment for employees, and that translates to greater retention, productivity, and profits.

This blog highlights core principles of DEI and explores how it can create a better experience for your workforce. So, keep on reading till the end.

  • DEI (Diversity, Equity & Inclusion): Definitions and Core Principles
  • How DEI Impacts Employee Experience?
  • Creates a Sense of Belonging
  • Enhanced Collaboration
  • Employee Satisfaction
  • Better Employee Engagement
  • Greater Employee Retention
  • Employee Motivation and Morale
  • Effective Tips for Implementing DEI In Your Business

DEI (Diversity, Equity & Inclusion): Definitions and Core Principles

DEI defines a specific set of programs or strategies that are employed in a business to create a company culture that is characterized by employee diversity, equity, and inclusion.

DEI provides a comprehensive framework for creating a workspace that facilitates and encourages full participation of all employees, especially those from underrepresented groups.

In short, DEI promotes the representation and participation of every employee in the workplace irrespective of their race, ethnicity, age, religion, disabilities, gender, or sexual orientation.

The following are the main concepts involved in DEI.       

  • Diversity

The term diversity refers to the presence and participation of professionals from varying backgrounds who have been traditionally underrepresented despite having the skills in your workplace.

An organization is considered diverse if its workforce consists of employees having different racial, ethnic, religious, sexual, age, and physical ability backgrounds.

Businesses can promote workplace diversity by offering career opportunities to professionals from diverse and preferably marginalized groups. They can also try to create a welcoming, respectful, and healthy work environment where every employee respects the personal values of others.  

  • Equity

Equity in the workplace means ensuring every employee receives fair treatment, access to equal growth opportunities, and equal salaries and benefits. It also includes identifying certain barriers that lead to less participation of certain groups and eliminating them.

One key thing to remember is not to confuse the term equity with equality. Equality means the access to the same opportunities and resources for all. On the other hand, equity means giving each person access to opportunities and facilities in proportion to their needs to get equal results.

Equity should be offered by taking diversity into account, which levels the playing field by giving each employee the support they need.     

  • Inclusion

Inclusion is all about creating an environment where every employee feels heard, respected, and valued. Inclusion creates a sense of belonging and gives each employee dignity and value.

An inclusive work environment is where employees feel welcomed and encouraged to participate and contribute without fearing judgment from colleagues or superiors.

Inclusion is also about providing access to equal opportunities and resources to every employee, irrespective of their background, to make sure they feel fully integrated into your company’s culture and operations.

How DEI Impacts Employee Experience?

A robust DEI strategy can go a long way in creating a more harmonious, fair, and collaborative workplace that ensures the best experience for every employee, no matter their rank, expertise, or duties.

Here are several ways DEI can positively impact the overall employee experience:

  • Creates a Sense of Belonging

DEI initiatives and HR services promote acceptance and representation of every marginalized member of society in positions of leadership, management, and in general workforce. This inclusivity gives every employee a sense of belonging. 

Additionally, DEI policies create psychological safety by providing employees a space to express their ideas, concerns, and feedback. This makes them realize that their voice matters and that further fosters a feeling of belonging.

Other things like recognition of individual contribution, providing professional mentorship and support, and creating opportunities for open communication are also a part of DEI, which makes every employee feel like they really matter to your business.

  • Enhanced Collaboration

DEI is really helpful in creating a sense of camaraderie among your teams, which can improve collaboration. Employees who work in diverse and inclusive environments have a shared sense of purpose and responsibility. These employees have deeper connections with their peers and superiors, which makes collaboration much easier and very fruitful.

DEI eliminates cultural, ethnic, racial, and religious roadblocks to collaboration, enhancing employee experience and positively impacting productivity.     

  • Employee Satisfaction

The level of satisfaction that an employee feels is directly linked to their overall experience in the workplace. In a DEI-inspired workplace, every employee feels more confident and seen.

Employees, in this case, feel like their presence is accepted and their voice is always heard. If a workplace has employees from diverse backgrounds who feel like they are respected and valued for who they are, it makes them feel more at ease.

The principles of DEI promote fair treatment for all, open communication, and equal representation of all groups in key decision-making, which goes a long way in creating a workplace where every employee experiences a greater sense of fulfillment and satisfaction.

  • Better Employee Engagement

Employees who believe that their workplace celebrates diversity, promotes equity, and ensures inclusion tend to feel more engaged. These employees work harder, collaborate better, and stay longer with an organization.

DEI fosters fairness in opportunities, an experience of belonging, and loyalty for the organization. DEI initiatives like mentorship, unbiased feedback, and open communication make every employee feel more invested and involved, which reflects positively on overall engagement and productivity.

  • Greater Employee Retention

Incorporating DEI policies in recruitment, onboarding, and day-to-day business operations makes employees feel more satisfied, engaged, and seen. When employees feel like their individuality is celebrated, efforts are recognized, and their voice is always heard, they tend to stay longer with an organization.

DEI aims to provide psychological safety to every employee, which fosters loyalty. Without this approach, you run the risk of creating a toxic and intolerant workplace, leading to greater employee turnover rates.

  • Employee Motivation and Morale

DEI initiatives aim to enhance workplace adaptability, cultural sensitivity, and collaboration. When employee feel appreciated, valued, and recognized for their efforts and uniqueness, they try to go above and beyond to complete their assigned projects.

A satisfied employee is a motivated employee, and that is what DEI policies help businesses accomplish. With inclusivity, diversity, and equity, employees are able to work in a more collaborative environment and develop a positive attitude. This builds up morale and enhances motivation, making the workplace more efficient.

  

Effective Tips for Implementing DEI In Your Business

Implementing DEI in your workplace isn’t a one-time thing. Instead, it is an ongoing process that requires your utmost attention and dedication. The following are a few things you can do to practice DEI in your business.

  • Learn about the history, background, context, and the need for DEI, and educate your workforce about it.
  • Look at your current employee data and DEI metrics to determine the demographics of your organization.
  • Add DEI policies to your talent pipelines and hiring processes.
  • Prioritize hiring for cultural contribution as it brings new and diverse thought processes, ideas, and perspectives to the table.
  • Implement onboarding programs to make sure your team is aware of the cultural, religious, and social rules to follow to make the new DEI employee feel appreciated.
  • Promote equitable salaries for all employees who are adding the same value to the company, irrespective of their age, gender, color, etc.
  • Institute programs to train underrepresented groups to ensure their personal and professional growth.
  • Celebrate cultural and religious diversity by recognizing special days and occasions.
  • Foster open communication between the employees and the management.
  • Consider hiring a DEI leader or having a DEI committee for creating and better managing a diverse background workplace.      

 

Conclusion

DEI and employee experience go hand in hand. An employee’s experience is not just about the work they are given and the salary they get for it. Your workforce also needs to feel appreciated, seen, and respected, and this is what DEI initiatives are all about.

By embedding the principles of DEI in your operations, you can ensure greater employee retention, satisfaction, collaboration, and productivity. This creates a more motivated and loyal workforce that is willing to go above and beyond when it comes to carrying out their day-to-day and long-term tasks.

DEI can thus create a positive company culture that is equally beneficial for the employees, employers, and every other stakeholder involved.    

Visit us at HRSG today to get the best HR services to ensure maximum DEI and the best employee experience in your businesses worldwide.

Streamlining Payroll Compliance: Expert Tips for Employers

Streamlining Payroll Compliance: Expert Tips for Employers
Streamlining Payroll Compliance: Expert Tips for Employers 800 500 HRSG

Payroll management is a complex and time-consuming yet critical process for any business. You have to ensure every pay period is accurate while also keeping the changing tax laws, state-specific rules, and labor regulations in mind, which can be quite difficult.

Not taking the right steps to ensure payroll compliance exposes your business to fines, legal troubles, and employee dissatisfaction, which is something you should never risk.

This blog covers some useful insights to help you streamline payroll compliance in your business. These expert tips will help you navigate this critical function of your business with greater accuracy, fewer errors, and enhanced efficiency. So, keep on reading to learn more.

  • What is Payroll Compliance and Why Is It So Important?
  • Expert Tips for Streamlining Payroll Compliance as An Employer
  • Partner With Experts
  • Stay Up-to-Date on Legal or Payroll Regulation Changes
  • Utilize Reliable Payroll Management Software
  • Conduct Regular Internal Audits
  • Train Your Payroll Staff
  • Pay Attention to Accurate Record Keeping
  • Create a Comprehensive Payroll Policy

What is Payroll Compliance and Why Is It So Important?

Payroll compliance refers to the processes businesses follow to ensure full adherence to laws, regulations, and guidelines governing employee compensation.

Payroll compliance is not just about issuing paychecks after calculating the wages of the employees. There is a wide range of things that are involved in payroll compliance, such as ensuring accurate tax deductions and benefit contributions to make sure you do not violate minimum wage laws or overtime regulations.

As an employer, you do not just have to distribute salaries but also have the responsibilities related to withholding correct tax amounts, National Insurance Contributions, and other statutory deductions from the salaries of the employees and then remitting these amounts to the relevant authorities on time.

This can be done only when you maintain proper records, create and provide accurate reports to government bodies, and keep up with the changes in tax laws, all of which fall under the umbrella of payroll compliance.

The following are a few points that show why payroll compliance is important for employers.

  • Noncompliance in payroll management or not accurately withholding and remitting taxes can lead to heavy fines, lawsuits, or even criminal charges.
  • Not paying attention to payroll compliance leads to reputational damage for your business, which can make it hard for you to attract new customers and top talent.
  • Demonstrating payroll compliance boosts employee morale and reduces dissatisfaction. 
  • Proper payroll compliance helps businesses maintain financial predictability by eliminating the risks of unexpected fines that can affect your company’s financial health.
  • Robust payroll compliance can facilitate the expansion of your business by streamlining your transition to newer markets.

Expert Tips for Streamlining Payroll Compliance as An Employer

The following are some effective expert-backed tips that you can use as an employer to streamline your payroll compliance.

  • Partner With Experts

The best and probably the most effective way to streamline payroll compliance is by partnering with experts. Professionals who provide payroll services can ensure that businesses that lack in-house expertise or the ones who operate in multiple jurisdictions ensure industry-specific compliance.

By hiring dedicated teams for payroll management, you can reduce errors in your payroll calculations and streamline the process in general.

  • Stay Up-to-Date on Legal or Payroll Regulation Changes

Payroll regulations or legislation are subject to change, and knowing about these changes and making the right adjustments accordingly is crucial to showing compliance.

Changes in employee laws, tax rates, statutory payments, and thresholds significantly affect the payroll processes.

To stay updated, you can subscribe to updates from regulatory bodies, visit government websites, consult with an expert payroll management company, or attend industry seminars.

  • Utilize Reliable Payroll Management Software

Automation is key to ensuring better payroll management and showing full compliance, and this is not possible without a reliable payroll management tool.

This software can automate complex but repetitive tasks like attendance tracking, payroll calculations, direct deposit processing, deductions, compliance reporting, and more, which reduces errors.

These tools automatically update tax rates based on new legislation, which ensures your payroll processes never violate any local or state laws. It is always a good idea to go for a software that gives you cloud-based solutions and is compatible with your existing accounting and bookkeeping systems.

  • Conduct Regular Internal Audits

Internal audit and compliance go hand in hand. Regular auditing of your payroll processes is a great way to prevent non-compliance. You need to conduct regular audits where you look at calculation accuracy, reporting timelines, employee classification, work hours, wages paid, deductions made, and tax filings to ensure you are not violating any laws.

If your organisation lacks resources or expertise to conduct internal audits, you can consider hiring an external auditor for an objective assessment.

  • Train Your Payroll Staff

Proper staff training is another way you can eliminate errors from your payroll management processes and ensure compliance. As an employer, it is your duty to ensure your payroll management staff knows the changes in legislation and is trained to use new and updated online payroll management software.

You can encourage them to complete refresher courses on key payroll tasks or to obtain CPP (Certified Payroll Professional) and FPC (Fundamental Payroll Certification) certifications to make sure they adhere to the latest payroll regulations and follow all the best practices.

  • Pay Attention to Accurate Record Keeping

Without properly maintained employee records, it is quite hard to manage payroll well and ensure compliance. Make sure there is a centralized system in place for collecting information regarding contact details, personal data, salaries, and benefits of the employees.

You need to regularly review and update this information as soon as there are any changes in terms of the role or pay rate of the employee. Keeping a detailed record of wages, work hours, and deductions makes it easier for you to adhere to labor laws and tax regulations.

  • Create a Comprehensive Payroll Policy

You need to come up with clear and transparent payroll processes, policies, and procedures to maintain consistency and ensure compliance. This policy should include payment timings, payment methods, overtime calculation methods, leave and holiday pay guidelines, and ways to resolve errors and discrepancies.

Having a robust payroll policy in place prevents misunderstandings and significantly streamlines payroll processes to a great degree.

Conclusion

Ensuring payroll compliance is not an easy task, especially when you lack the expertise and knowledge to navigate the changing regulations or complex online software.

However, by investing time and resources in better record keeping, employee training, regular audit, and keeping yourself updated about the changes in the payroll compliance rules, you can easily navigate the complexities of payroll management and compliance.

If you still find it hard to ensure payroll compliance, it is recommended that you seek assistance from a reputable company that specializes in HR, payroll, accounting, and bookkeeping services to save yourself both time and trouble.  

Visit HRSG today to get the best accounting, bookkeeping, and payroll management services for businesses of all sizes to ensure accurate financial record keeping and compliance at all times.

Executive Search in the UAE Finding C-Level Leaders for Your Company

Executive Search in the UAE: Finding C-Level Leaders for Your Company
Executive Search in the UAE: Finding C-Level Leaders for Your Company 800 500 HRSG

The success or failure of any business depends heavily on the strategic decision-making and expertise of its top leadership. The choice of executives or C-level leadership directly defines the future of an organization, especially in the UAE’s  dynamic, rapidly growing, and diverse market.

An effective leader fosters a positive culture, innovation, and consistent growth in an organization while saving costs, enhancing financial strength, and creating momentum at the same time.

However, finding a C-level executive with the right expertise in the UAE where competition, diversity, regulatory requirements, and cultural nuances are significant is not easy.

If you are someone who is currently involved in executive search in the UAE, but don’t know where to begin, this blog is all you need. Here, you will learn how to conduct better executive searches to ensure you are able to find and hire C-level leaders who take your business to new heights. So, keep on reading till the end.

  • What exactly is Executive Search?
  • Effective Tips for Finding C-Level Leaders for Your Company in the UAE
  • Know What You Need
  • Hire an Experienced HR or Executive Research Firm
  • Conduct Market Mapping and Research
  • Candidate Engagement and Assessment
  • Shortlisting and Interviews
  • Negotiation and Onboarding
  • Key Challenges in Executive Research in the UAE
  • Some Best Practices to Conduct a Successful Executive Search in the UAE 

What exactly is Executive Search?

Executive search, also known as headhunting, is a recruitment process aimed at  sourcing top-tier, experienced, and highly qualified senior professionals who might not be actively looking for career opportunities in the market.

These usually include C-level executives like CEOs, CFOs, CMOs, COOs, and CTOs who are responsible for making strategic day-to-day and long-term decisions that guide your company’s growth and profits.

The following are some key features of executive search.

  • Unlike regular recruitment, which is done by job ads, the executive search is more targeted, strategic, and confidential.
  • This search involves finding candidates that align with your long-term business goals.
  • Recruitment of executives involves an in-depth assessment of their leadership styles, personalities, and strategic vision.
  • This search is done keeping market trends and your business’s leadership needs in mind.

Effective Tips for Finding C-Level Leaders for Your Company in the UAE

The following are some key tips you can follow to hire the top C-level leaders for your business.

  • Know What You Need

Before you start looking for candidates or hiring recruitment services, first, you need to know what key characteristics you are looking for in your C-level executive. You need to consider the strategic impact you expect that person to make and then make your choice.

Here are some key insights that you can use to guide your decision.

  • Consider the challenges or roadblocks the candidate must overcome.
  • Determine your growth goals for the next 3 to 5 years.
  • Consider how the role of the candidate is going to evolve as the business scales.
  • Create a comprehensive executive profile that lists the detailed responsibilities, required experience, and KPIs of the candidate you are looking to hire.

Knowing what you are looking for can help narrow down your options and accelerate the executive search and recruitment process.

  • Hire an Experienced HR or Executive Research Firm

To conduct a better executive search in the UAE, it is recommended that you hire a reputable local firm that specializes in HR services in Dubai and the UAE. Hiring a reliable recruitment partner is a great investment, and the following are a few reasons why.

  • These firms can discreetly access high-caliber executives in your industry and convince them to join you.
  • They know the market dynamics and compensation benchmarks within the UAE very well. 
  • These companies can accelerate the process of finding and recruiting top talent, which saves you time and resources.
  • These firms have extensive local connections and a global reach, which helps them find the best candidates to fill your executive positions.
  • These companies use rigorous assessment methods to make sure the candidates they offer match your business model and company culture best.

 

  • Conduct Market Mapping and Research

You need to conduct deep market research to find the best candidates for your executive role. You can start by looking for candidates in local and international markets. You can also look at competitive organizations and their leadership structures to increase your options.

This can help you assess the availability and the interest level of the potential candidates. When doing research in international markets, you also need to take into account things like new UAE employment visa rules, language skills, and cultural fitness of the candidate.

  • Candidate Engagement and Assessment

The next step is to approach and engage potential executives to gauge their interest in your organization. This candidate outreach should be done discreetly to prevent reputational damage both to you and the senior executive you are looking to hire.

Once you find some interested candidates, you can begin your evaluation. First, you can conduct competency-based interviews that align with the demands of the role. Then you can move on to cultural fit analysis and track record review to gather more information about the leadership style, emotional intelligence, and team-building skills of the candidate.

You can also consider using leadership assessment tools like Hogan or SHL to aid you in this step.

  • Shortlisting and Interviews

After engagement and evaluation of the available options, you need to shortlist the candidates before you can make an offer and negotiate. You need to conduct several interviews along with your stakeholders, like CEOs, investors, and board members, to reach a decision.

In these interviews, you can conduct behavioral or psychometric assessments and scenario-based assessments to analyze their strengths and weaknesses. After these interviews, you will be able to shortlist about 3 to 5 candidates for the executive post.

  • Negotiation and Onboarding

When conducting negotiations, you have to create a strong offer without straining yourself financially.

An attractive package that you can offer the shortlisted candidates includes things like tax-free based salaries, bonuses based on performance, housing, education, health, and transport allowances, and long-term incentives like profit sharing and equity to increase the chances of acceptance.

An inadequate, slow, or poor onboarding experience can also come in the way of you hiring the top C-level executives. An effective onboarding process is where you offer the executives support in terms of family relocation, cultural orientation, and executive coaching.

You can also give them a comprehensive 90-day onboarding plan and soft-landing services to further make this transition easier and quicker for them.

Key Challenges in Executive Research in the UAE

The following are some major challenges that make executive search a more demanding and complex task in the UAE.

  • The employers have to take Emiratisation policies into account that aim to push UAE nationals into leadership positions.
  • Businesses have to take into account legal and regulatory frameworks such as UAE labor laws, visa procedures, and employment contract structures to show compliance.
  • Businesses also have to offer the right combination of amenities, incentives, and growth opportunities to candidates to beat the competition.
  • They have to find executives who are a cultural fit. These professionals must be sensitive to the UAE’s local customs, communication styles, business etiquette, etc.

Some Best Practices to Conduct a Successful Executive Search in the UAE

Here are some additional things you can do to ensure your executive search yields the best results.

  • You need to invest in employer branding to attract top-level executives. You can do this by promoting your success stories and company culture to show these executives that you are a mission-driven and high-impact organization.
  • When securing the best C-level candidate, speed and proactiveness matter the most. Make sure to streamline your candidate search, engagement, and negotiation process to make sure they don’t end up with your competitors.
  • Consider cultural intelligence factors like adaptability, humility, and emotional sensitivity of the candidate to make sure they fit well in the UAE and your company’s culture before hiring.
  • Hire an executive search firm with vast experience and knowledge of the UAE’s legal and economic landscape.
  • Invest in executive coaching, cultural orientation, and strategic onboarding to better support candidate integration.

       

Conclusion

Finding the right C-level executive that aligns with your company’s culture, current needs, and future goals is something that most businesses struggle with a lot. Businesses in the UAE need leaders who are not only the best at what they do but also have a certain level of cultural awareness, adaptability, and forward-thinking in their skillset.

You can do a successful executive search in this region by clearly defining your needs, considering a wider talent pool, and using rigorous interviewing and shortlisting methods.

You can also hire an experienced recruitment, HR, or executive search firm to handle this key task for you. This can save you a lot of time and resources while enhancing the chances of a successful executive hire at the same time.

Visit HRSG to get the best executive search, recruitment, and HR services all over Dubai and the UAE.

 

Top 15 Highest Paying Jobs in Dubai in 2025

Top 15 Highest Paying Jobs in Dubai in 2025
Top 15 Highest Paying Jobs in Dubai in 2025 800 500 HRSG

Dubai’s booming job market attracts millions of professionals from diverse sectors every year. This economic hub is home to industries related to finance, IT, healthcare, AI, and real estate, to name just a few.

With a GDP of approximately $548.6 billion as of 2025, this commercial hub of the UAE offers a high-end lifestyle and numerous career advancement opportunities to both locals and expatriates.

The attractiveness of the region’s job market results from relaxed and employee-centric UAE Labor Laws, tax-free income, competitive salaries, and a friendly business environment.

Though you can find lucrative career opportunities in almost every industry in Dubai, some roles pay you higher than others, and this is what this article is all about.

This blog highlights the highest-paying jobs in Dubai for 2025. Keep reading to discover which roles offer the best salaries and benefits in the UAE.

  • Chief Executive Officer (CEO)
  • Chief Financial Officer (CFO)
  • Chief Marketing Officer (CMO)
  • Compliance and Risk Management Officers
  • Medical Specialists (Consultants & Surgeons)
  • Sales Director
  • Banking & Investment Executives
  • Artificial Intelligence (AI) Specialist
  • Cybersecurity Experts
  • Project Managers
  • Legal Counsel / Partner (Law Firms)
  • Engineering Directors
  • IT Directors / CTOs (Chief Technology Officers)
  • Restaurant General Manager
  • Data Scientists and Analysts

  • Chief Executive Officer (CEO)

CEOs rank among the highest-paid individuals in Dubai due to the key strategic role they play in a company’s growth-related decision-making, while aligning with Emiratisation policies in the UAE.

These professionals set financial targets and ensure they are met, manage resources, create long-term strategies, analyze the market, identify growth opportunities, and make high-stakes decisions.

As a CEO in Dubai, you can expect to make somewhere between AED 35,000-50,000 per month or AED 1 million-1.8 million a year. 

    

  • Chief Financial Officer (CFO)

If you are an accounting and bookkeeping expert with experience in a high-level firm, you can apply for CFO jobs in Dubai to get the best salary packages.

CFOs ensure a company’s financial health by creating budgets, coming up with minimum risk financial strategies, and ensuring accurate record-keeping and regulatory compliance.

Dubai’s highly regulated business environment makes these professionals a huge requirement for businesses that wish to maintain financial transparency and mitigate risks.

CFOs make somewhere between AED60,000–120,000 per month or AED 720,000–1.44 million a year in Dubai.

  • Chief Marketing Officer (CMO)

Marketing, be it digital or traditional, is critical for making your business stand out and be widely recognized. CMOs create and implement marketing strategies, build a public image, and leverage digital marketing channels to amplify their brand’s presence.

These professionals are skilled in customer relationships, content creation, data analytics, and SEO.

CMOs can make about AED 20,000–AED 70,000 per month or AED 240,000–AED 840,000 a year in Dubai.

 

  • Compliance and Risk Management Officers

This is another high-paying job that is becoming highly in demand in Dubai due to the region’s rapidly growing finance and cryptocurrency industry and changing regulatory landscape.

Compliance and risk management officers facilitate financial crime prevention, financial risk mitigation, money laundering prevention, and regulatory documentation or reporting.

These professionals can earn between AED 15,000-40,000 per month or AED 180,000-480,000 a year in Dubai.

  • Medical Specialists (Consultants & Surgeons)

Medical professionals, especially the specialists in their fields, are paid handsomely in Dubai. Doctors who specialize in dermatology, neurology, general practice, specialty physicians, neurosurgeons, orthopedic specialists, and cardiologists make the most in the region.

Medical specialists can make somewhere between AED 45,000-110,000 per month or AED 500,000-1 million a year in Dubai.

 

  • Sales Director

Sales directors are at the forefront when it comes to setting and achieving ambitious yet realistic sales goals. These experts oversee sales teams, craft actionable plans, determine revenue objectives, and do strategic sales planning based on market knowledge and sales forecasts.

These experts can earn between AED 10,000-50,000 per month or AED 120,000-600,000 a year in Dubai.

  • Banking & Investment Executives

Regular bankers, investment bankers, and general investment executives can also find best paid jobs in Dubai with ease. These personnel can handle private equity, hedge funds, corporate banking, portfolio management, and client relationship management.

Investment bankers facilitate transparent and low-risk financial transactions, and they pinpoint potential candidate companies for acquisitions, mergers, and capital raising.

These skilled professionals can earn between AED 50,000–100,000 per month or AED 600,000-AED 1.2 million a year in Dubai.

   

  • Artificial Intelligence (AI) Specialist

As AI-driven automation, data analysis, and customer service become an integral part of most businesses in Dubai, the need for experts in this arena is now more than ever.

Individuals who specialize in machine learning, deep learning, cloud computing, and coding are in high demand in this relatively less saturated market, which is exactly what drives their high salaries or compensation.

As an AI specialist in Dubai, you can easily make about AED 20,000-AED 60,000 per month or AED 240,000-AED 750,000 a year.

  • Cybersecurity Experts

Cybersecurity experts are also in very high demand in Dubai. Almost every company in Dubai, whether it is related to technology, finance, manufacturing, or any other field, needs dedicated experts who can come up with robust security protocols to safeguard their data and digital assets.

These experts can do network security and penetration testing, forensics and incident reporting, ethical hacking, user-access management, and overall security implementation.

Cybersecurity experts can make between AED 15,000-50,000 per month or AED 180,000-600,000 a year in Dubai.

  • Project Managers

Project managers oversee everything from the planning to the execution to the completion of a project. These professionals take into account things like project duration, available resources, expenses, and delivery timeline to create realistic plans.

Project managers can also do risk assessment, stakeholder management, conflict resolution, and quality assurance to ensure every roadblock is dealt with swiftly.

Project managers can earn between AED 12,000-40,000 per month or AED 144,000-480,000 a year in Dubai.

  • Legal Counsel / Partner (Law Firms)

Experienced legal counsel is very high in demand in Dubai as more businesses move to this economic hub and set up their operations while keeping the legalities in mind.

As a lawyer, you can set up your practice or be a part of a corporate law firm that specializes in corporate law, M&A, real estate law, or commercial contracts to make a handsome amount every month.

Legal counsels can earn between AED 55,000–95,000 per month or AED 500,000-900,000 a year in Dubai.

  • Engineering Directors

Engineering directors are in high demand in Dubai in sectors like construction, petroleum, electricity, etc. Engineers can do production optimization, risk analysis, strategic planning, project management, resource management, talent acquisition, and much more.

Engineering directors can earn between AED 25,000-62,000 per month or AED 300,000-744,000 a year in Dubai.

     

  • IT Directors / CTOs (Chief Technology Officers)

CTOs and IT experts are also being paid the highest in Dubai. The region is a technological hub, and naturally, it needs more professionals who can manage the IT operations of businesses, both public and private much better.

IT directors or technology officers drive innovation, oversee IT infrastructure, implement cybersecurity measures, and ensure the tech systems of your operation keep running smoothly.

IT experts can make between AED 45,000-85,000 per month or AED 380,000-700,000 a year in Dubai.

  • Restaurant General Manager

The tourist industry of Dubai is experiencing unprecedented growth, and this means the region needs more skilled professionals who can manage hotels and restaurants.

A restaurant’s general manager oversees daily operations, inventory, regulatory compliance, staff training, HR and Payroll, scheduling, and customer services, among many other key tasks.

It is the job of these individuals to ensure the restaurants keep running smoothly and efficiently while also maintaining profitability at the same time.

These professionals can make about AED 11,000-AED 20,000 per month or AED 132,000–240,000 a year in Dubai.

  • Data Scientists and Analysts

Every industry in Dubai relies heavily on data-driven strategic decision-making when it comes to its day-to-day operations and long-term goals. Data analysts specialize in statistical data analysis, visualization tools, big data technologies, and machine learning fundamentals.

These experts are very high in demand in industries like banking, real estate, retail, logistics, and healthcare.

As a data scientist or analyst, you can expect to make between AED 12,000-45,000 per month or AED 144,000-540,000 per year in Dubai.  

Conclusion

The UAE and especially Dubai have made its mark as the global business hub due to its relaxed business setup policies, tax-friendly environment, and innovative infrastructure. These are the reasons why businesses from all parts of the world are flocking to this destination.

The region offers countless exciting career opportunities to skilled professionals who belong to diverse disciplines.

No matter whether you are a skilled IT expert, a competent banker, an experienced healthcare professional, or you belong to a number of other industries like law, manufacturing, real estate, etc., you can easily find high-paying jobs in this region if you just look at the right places.

Visit us at HRSG today if you are looking for exciting job opportunities in Dubai across diverse industries that guarantee high pay and consistent career growth. 

 

Business Development Executive: Job Description, Salary, Skills & More
Business Development Executive: Job Description, Salary, Skills & More 800 500 HRSG

Every business needs professionals who can help it grow steadily in terms of profits, clientele, and market share.

In this competitive and innovation-driven business landscape of the 21st century, businesses must explore new growth avenues, build better relationships, and negotiate profitable deals while keeping market trends in mind. This is the job for a skilled business development executive (BDE).

These professionals are essential to any company’s long-term success. They help identify potential growth opportunities and take a proactive approach to capitalize on these opportunities.

This blog explores the roles a BDE can play in unlocking business growth, regardless of the sector. It also covers business development executive job description, salary, skills, and other key aspects, so keep on reading till the end.

  • Business Development Executive: A Quick Job Description
  • Duties/Roles That a Business Development Executive Can Perform
  • Business Development Executive Skills
  • Qualifications Required to Become a Business Development Executive
  • Business Development Executive Salary

Business Development Executive: A Quick Job Description

A business development executive is a skilled, qualified, and experienced individual who is responsible for driving a business’s growth by studying market trends, identifying new opportunities, and building better client relationships.

The industry-aligned insights provided by these individuals can guide your decision-making, which ensures long-term success. A BDE plays a vital role in your company’s growth, mainly by focusing on increasing your income streams, which they do by cultivating strategic partnerships, arranging mutually beneficial deals, and enhancing customer satisfaction.

These professionals have a deeper understanding of the current business landscape. They also possess the ability to leverage their market research and strategic planning skills to mitigate financial risks and ensure a successful and streamlined operation.   

Duties/Roles That a Business Development Executive Can Perform

In the world of business, a BDE has a multifaceted role to play. From performing market analysis to forging lasting partnerships and from uncovering growth avenues to formulating robust business advancement strategies, these professionals can really do so much.

This is the reason why every growing economy, especially Dubai and the UAE in general, is offering countless career opportunities to experts in this arena.

The following are some major roles, responsibilities, or duties that a business development executive can perform with great precision.

  • Market Research and Analysis

Every BDE is skilled in market research and analysis. These professionals can ensure you stay ahead of the curve by conducting market studies, analyzing competitors, and interpreting customer feedback or industry reports.

This way, they help businesses determine customer needs and how to better meet them. 

  • Development of Sales Strategies

Every business development executive knows the importance of developing robust sales strategies when it comes to growing their brand. They can foster collaboration between the sales teams and implement innovative tools to enhance the overall performance.

They can identify potential markets and segment customers, which helps increase sales.

They also craft effective sales pitches and strategies to achieve better results. Setting sales goals, tracking progress, interpreting sales metrics and feedback, and measuring the performance of every sales team member are all done by a BDE.

  • Networking and Relationship Building

Another major role of the BDE is to build and maintain strong relationships with clients, employees, and every stakeholder of your business. They can attend industry events, trade shows, conferences, etc., and do networking to increase their reach. They also contact potential clients and make extra efforts to cultivate existing relationships.

  • Acquiring and Retaining Clients

Every business development executive is particularly skilled in finding and engaging new clients. They can craft unique proposals and creative presentations to make sure the potential clients convert. 

These experts will also listen to every concern or query of the existing customers and answer promptly to ensure high customer satisfaction.

  • Financial Planning and Forecasting

Every BDE knows that without accurate financial forecasting and planning, you cannot expect your business to grow at a steady pace. These professionals can allocate resources properly, analyze financial data to identify potential liabilities, and conduct financial forecasting to help you make more informed financial decisions.

  • Fostering Collaboration Between Cross-Functional Teams

A BDE is a master collaborator. These experts can coordinate with marketing teams, product development teams, and sales teams to create cohesive campaigns and ensure seamless operations.

They can foster collaboration between senior managers and team members to come up with contingency plans and to address potential risks.

  • Contract Negotiations and Deal Closures

These professionals help negotiate business terms and contracts while keeping legal nuances in mind. Business development executives ensure the terms of the contract are fair. They can also address disputes that may come up during closure to ensure you enter into contracts confidently.

  • Innovation and Technology Integration

A BDE has to stay up-to-date on technological advancements to streamline business development processes. They can implement technological solutions to maximize efficiency and integrate innovative tools to gain a competitive edge.

  • Crisis Management and Problem Solving

Crisis management and problem-solving are among the most important duties of a BDE. They work on contingency plans to deal with unforeseen circumstances. They also resolve any issues within the organization promptly. This allows you to maintain business continuity, which leads to sustainable growth.

Business Development Executive Skills

To become an effective business development executive, one has to cultivate several skills. These skills can help you foster meaningful relationships while ensuring you are able to perform to the best of your ability to further your business goals.

The following are some key skills that every BDE must master.

  • Communication Skills

Effective communication involves communicating your ideas articulately and listening to any feedback or suggestions without prejudice. This is a skill that every business development executive must possess. This skill can help them convey their expectations to the employees, negotiate better terms with clients, and communicate their business values much better.

  • Negotiation and Persuasion

To ensure mutually beneficial partnerships, BDEs have to develop negotiation skills. This can help them come up with better contracts or pricing to ensure the interests of both parties are protected.

They can use negotiation skills to articulate value and advocate for their company’s interests while addressing potential objections and obstacles at the same time.    

  • Analytical Research Skills

Market research and strategic planning require sufficient analytical skills, and a BDE must develop them if they are to make their mark in the industry. These skills allow them to analyze market trends, monitor competitors’ activities, and evaluate data to uncover low-risk business advancement opportunities.

By developing analytical skills, business development executives can better interpret market data, spot trends, and make better predictions that lead to successful outcomes.  

  • Relationship Building Skills

This is another key skill that every BDE must work on. Every successful business relies heavily on relationship building and networking. Business development executives must learn to network effectively with industry experts, top talent, and potential clients.

They can also use these skills to create long-term partnerships and to establish trust with the stakeholders, which is essential for achieving sustained growth.

  • Sales Acumen and Skills

A professional BDE is a great salesperson as well. These experts understand customer needs and leverage these to position their services in front of the target audience effectively.

By working on your sales skills as a BDE, you can source leads and persuade them to become your long-term clients. This not only allows you to grow your company’s revenue but also builds stronger networks that benefit you a lot in the long run.

  • Strategic Thinking

This is another key skill that every business development executive needs to cultivate. Without strategic thinking, it is not possible for a BDE to look at the bigger picture or to devise long-term growth strategies by analyzing market trends.  

  • Technical Skills

Apart from the above-mentioned soft skills, there are some technical skills as well that a business development executive must possess. These professionals must have some experience with CRM tools like Salesforce, Zoho, etc., and an understanding of reporting and data analysis.

These professionals should also have a grasp on tools that facilitate sales forecasting, pipeline management, and lead generation. Having these skills allows BDEs to add real value to their clients when it comes to organizational development and growth.

Qualifications Required to Become a Business Development Executive

The following are some major qualifications that can help you land your dream business development executive job.

  • Education

To work as a BDE, you must have a Bachelor’s Degree in Business Administration, Marketing, or Finance. For senior roles, candidates with an MBA or equivalent degree are preferred. These degrees are proof that you have both the theoretical knowledge and practical skills to fulfill your role as a BDE. 

  • Training

Business development executives can also get training via formal or informal programs. They can hone their skills with online courses, workshops, coaching, or attending seminars.

By receiving ongoing training, these professionals can learn the latest strategies and tools to become better at business development. These training programs can also prove to be a way to network with other professionals and potential employers.      

  • Certifications

There are many additional certifications that can strengthen your CV as a BDE and allow you to stand out from other candidates. You can get certificates like,

  • Certified Sales Professional (CSP)
  • Certified Professional Sales Trainer (CPTS)
  • HubSpot or Salesforce CRM certifications
  • Certified Marketing Management Professional (CMMP)
  • Google Analytics (for digital sales roles)
  • Negotiation Mastery (Harvard or Coursera programs)

Business Development Executive Salary

Here is how much you can make as a business development executive in Dubai, UAE.

  • For entry-level roles with 0-2 years of experience, you can make about AED 5,000 – 9,000 per month or about AED 60,000 – 108,000 per year.
  • For Mid-level roles with 2-5 years of experience, you can make about AED 9,000 – 15,000 per month or about AED 108,000 – 180,000 per year.
  • For Senior-level roles with 5+ years of experience, you can make about AED 15,000 – 25,000+ per month or about AED 180,000 – 300,000+ per year.

Conclusion

Business development executives play a key role in driving the growth of any business. They use their strategic insights, market knowledge, and exceptional communication skills to discover new avenues for the advancement of your business.

Every company’s expansion and long-term stability rely heavily on the work that is done either by these executives or under their guidance. These professionals stay on top of emerging trends and technologies to help you capitalize on every profit or growth opportunity that comes up.

This is exactly what makes these professionals very high in demand in almost every industry and sector that plans to maintain stability and viability in the dynamic business landscape of today.

Visit us at HRSG if you’re a business development executive seeking exciting career opportunities in Dubai, the UAE, and beyond.

UAE Corporate Tax Fine Waiver

UAE Corporate Tax Fine Waiver: A Lifeline for Late Registrants?
UAE Corporate Tax Fine Waiver: A Lifeline for Late Registrants? 800 500 HRSG

It is not easy for businesses, especially if they are small and startups, to adapt to the new and evolving tax framework of the UAE, which can make compliance difficult.

Recognizing this fact, the Ministry of Finance UAE and the Federal Tax Authority have introduced a new initiative called the UAE Corporate Tax Fine Waiver 2025. This waiver has been introduced to reduce financial and administrative burdens for businesses that registered late for the corporate tax but have demonstrated a good-faith effort to comply with the UAE corporate tax regime.

This waiver is truly a lifeline for businesses that were not able to do their corporate tax registration on time, as it gives them an opportunity to ease into the new tax policies of the region without being subject to immediate financial penalties.

This blog covers the ins and outs of the corporate tax penalty waiver UAE 2025, highlighting the conditions under which a business may qualify. Keep reading to learn more.

  • The Objectives of the UAE Late Corporate Tax Registration Fine Waiver
  • Conditions for Getting the UAE Late Corporate Tax Registration Fine Waiver
  • UAE Late Corporate Tax Registration Fine Waiver: Who Can Qualify?
  • Actions That FTA Will Take to Waive the Fines
  • Important Points to Keep in Mind
  • How To Receive the Corporate Tax Late Registration Penalty Waiver

The Objectives of the UAE Late Corporate Tax Registration Fine Waiver

The UAE government introduced a temporary corporate tax penalty waiver in April 2025 to help businesses adapt to the new tax regulations. This waiver can help businesses avoid an AED 10,000 late registration penalty if they meet specific conditions.

The UAE Corporate Tax Fine Waiver is an initiative that has been introduced to give relaxation to late applicants of the corporate tax registration. Companies that submitted their tax registration applications late but filed their tax returns within the 7-month grace period may be eligible for the waiver.

Here are the main objectives of this waiver:

  • To encourage and ensure early or timely compliance with the latest tax regulations.
  • To reduce the financial burden on startups and SMEs.
  • To promote a culture of tax transparency and financial responsibility.
  • To strengthen the UAE’s position as a business-friendly destination.
  • To align with the best global corporate tax practices.

Conditions for Getting the UAE Late Corporate Tax Registration Fine Waiver

The following are some conditions that a business must fulfill to be able to get the FTA late corporate tax registration fine waiver:

  • Taxable entities must submit their tax returns within 7 months from the end of their first tax period instead of the standard 9-month period.
  • Exempt entities that were subject to the fines but were later approved for the exemption can also file their annual declaration or tax returns in the same timeframe to benefit from the waiver.
  • This initiative applies to both the entities that have not submitted their registration application and the ones that have already incurred penalties due to delayed corporate tax registration.

UAE Late Corporate Tax Registration Fine Waiver: Who Can Qualify?

Every corporate entity under the FTA corporate tax regime is eligible for the fine waiver provided they meet the above conditions. The following section lists some common scenarios where this waiver is applicable. So, keep on reading to determine whether you fall into one of these categories.

Scenario 1

Businesses that registered late and have already received a penalty but haven’t yet paid it may still qualify for a waiver, provided they submit their returns within 7 months of the financial year-end.

Scenario 2

This scenario deals with businesses that registered late and have not paid their penalties or filed their returns. These businesses have to file their returns within 7 months from the end of their first tax period to become eligible for the waiver. 

Scenario 3

In this case, businesses that have paid their penalties but not the tax returns can get their money back. To do that, they need to file their returns within the required time and apply for a refund of the penalty paid.

Scenario 4

In this case, a business that registered late has already paid the penalties and filed its returns. The tax account of such businesses will receive a refund of the penalty amount for showing good faith.

Scenario 5

In this scenario, the business has neither registered on time nor filed its returns before the deadline. If such businesses get registered and file their returns within seven months, their penalty will be waived.

corporate tax uae

Actions That FTA Will Take to Waive the Fines

If you meet the conditions for the waiver and your case is similar to one of the above-mentioned scenarios, the FTA will take the following actions to issue the late corporate tax registration fine waiver:

  • For unpaid penalties, the fine will be waived, and it will not appear as payable on the EmaraTax Corporate Tax account of the taxable person.
  • If the penalties are paid, AED 10,000 will automatically be refunded to the EmaraTax Corporate Tax account of the business.
  • If FTA receives a reconsideration request for the late registration penalty, the request will be considered null and void, as the penalty is already waived.
  • If the reconsideration request was already received and approved, that business will not be eligible for further waivers.

Important Points to Keep in Mind

The following are some key points that you need to keep in mind when it comes to the UAE Corporate Tax Fine Waiver.

  • This waiver applies only to the first tax period, whether it is in the past or the future.
  • This initiative doesn’t affect the deadline for filing Corporate Tax Payable, which is 9 months following the end of the first tax period.
  • If you belong to a tax group and the group files its returns within 7 months from the end of the first tax period, all members will have their penalties waived, even if they individually are subject to the late registration penalty.

How To Receive the Corporate Tax Late Registration Penalty Waiver

Here are some steps that you need to follow to claim your corporate tax late registration penalty waiver:

  • Visit the official EmaraTax platform and register for corporate tax.
  • File your tax return within 7 months following the end of your first tax period.
  • Ensure that all your financial records and documents are updated, accurate, and according to the standards set forth by the International Financial Reporting Standards (IFRS).
  • Apply for the penalty refund by submitting proof of timely filing via the EmaraTax portal.

Conclusion

The corporate tax fine waiver for late registration is an incredible initiative that highlights the UAE’s commitment to creating a business-friendly environment where every entity is encouraged to fulfill their tax obligations without being subject to financial or administrative burdens.

This waiver allows businesses to adapt to the evolving tax landscape of the UAE and avoid or reclaim penalties that they might have incurred due to late tax registration.

Businesses can now submit their corporate tax returns within the prescribed 7-month grace period to avoid a fine of up to AED 10,000 or receive a refund if already paid. This gives much-needed relief to SMEs to familiarize themselves with the current corporate tax laws of the UAE.

You can visit us at HRSG to get comprehensive corporate tax services, including registration, filing, reporting, and more. Our dedicated team of experts will ensure you stay compliant with every UAE tax law and face no financial liabilities. 

Frequently Asked Questions on VAT in UAE

Frequently Asked Questions on VAT in UAE
Frequently Asked Questions on VAT in UAE 800 500 HRSG

VAT or value-added tax is an indirect tax that the government of the UAE collects on goods and services at each step of the supply chain. This tax was introduced in the UAE in January 2018 at a fixed rate and with some exemptions. This tax is called an indirect tax as it is not directly collected by the government from the taxpayer.

It is the supplier of goods and services who invoices the VAT and then collects it from the consumer. The supplier will then report and submit the taxable income to the tax authorities.

As a business operating in the UAE, it is imperative that you familiarize yourself with every aspect of VAT to make sure you file your returns timely and accurately. To facilitate that, this blog lists some of the most common FAQs that most people have about VAT in the UAE.

These FAQs will help you carry out your VAT duties and show full compliance in the UAE, so keep on reading till the end.

What is VAT?

VAT, or value-added tax, is a tax levied on goods and services at all stages of the supply chain from production to distribution. This tax was introduced in the UAE in January 2018. 

This tax is ultimately paid by the consumer, and the businesses act as intermediaries who add this tax to the cost of the product and then collect and pay it to the Federal Tax Authority (FTA).

What are the VAT Rates?

The FTA has specified a fixed VAT rate of 5% for goods and services that are sold in the UAE. This standard rate is applicable to all goods and services that do not belong to the zero-rated or VAT-exempt categories.

Who is a Taxable Person?

Any person, i.e., natural, legal, or corporate entity that conducts business in the UAE and generates income that exceeds a threshold of AED 375,000 annually, is considered a taxable person under the VAT Decree-Law No. 8 of 2017. Under this law, such persons or entities must register for VAT to avoid legal or financial issues. 

What are Taxable Supplies? 

These are all goods and services that don’t belong to the exempt or Zero-rated supply categories. The general VAT rate for these supplies is 5%. This means if a supplier sells an item that costs him 100 AED, he must add 5% VAT to it. This will bring the total cost of the item to AED 105 that the consumer will have to pay in this case.

What are the Limits for Mandatory and Voluntary VAT Registration?

There are two main types of VAT registration in the UAE, i.e., Mandatory and Voluntary registration. Both of these types have different minimum annual income thresholds.

All businesses whose taxable supplies exceed the limit of AED 375,000 in the last year, or they expect them to increase this threshold in the next 30 days, must mandatorily register for VAT within the preceding 12 months.

Those businesses whose taxable supplies are less than AED 375,000 but more than AED 187,500 can voluntarily register for VAT. This registration is advantageous for such businesses as it allows them to claim input VAT.

VAT 2025

How Does the Government Collect VAT?

It is the job of every business that makes taxable supplies to record their business expenses, revenue, and the VAT charges they collect from the consumer on each product. A business pays VAT to its supplier (input VAT) and then adds this cost to the cost of the product that it then sells to the consumer (output VAT). The difference between the two figures is either reclaimed or paid to the government. 

When is a Registered Business Required to File VAT Returns?

Every business that makes taxable supplies and is registered for VAT must file the returns with the FTA on a quarterly basis. According to the law, every business must submit its returns within 28 days from the end of the tax period.

For example, if an entity has to pay VAT returns from January to March, they must file them before the 28th of April.

What is Input and Output VAT?

Input VAT is the VAT that a business pays at the time of purchase of goods or services from its supplier. It is also known as the tax charged by the supplier to the business or consumer on goods sold. Businesses registered for VAT can deduct the amount of VAT paid (input VAT) from the settlement with the tax authorities of the UAE.

On the other hand, Output VAT is the VAT that a tax-registered business calculates and charges on the sales of its own goods and services to its consumers. This tax is charged both to ordinary consumers and businesses on every sale.

How Can Business Owners Calculate Their VAT?

The tax that a business must pay is equal to 

VAT TAX = tax collected on output (sales) – tax paid on input (purchases)

Suppose you buy raw materials to make a product for AED 100,000. Now you need to apply the input VAT rate of 5% to this number. 5% of 100,000 is about AED 5000. This is the input tax that you must pay.

Let’s say, after selling the product, you make a total of AED 200,000. Now you need to charge 5% VAT on the sales. The output VAT will be 5% of AED 200,000, i.e., AED 10,000.

Now you can easily find the net VAT using the formula given above.

VAT = AED 10,000 – AED 5,000 = AED 5,000

This is the resulting amount that you will have to report to the Federal Tax Authority (FTA). 

Is VAT Applicable to The Real Estate Sector?

VAT is only applicable to this sector in the case of commercial units. All leases, sales, or purchases of commercial properties are subject to standard 5% VAT in the UAE. Residential properties are exempt from VAT, and the Real Estate Developer Businesses are in the zero-rated category for a period of 3 years of residential property construction.

What are Zero-Rated VAT Supplies?

These are supplies on which the VAT is charged at a 0% rate. The supplies from this category are a part of the taxable supplies, which means they are declared in the VAT returns. In this case, businesses can recover their input VAT.

Zero-rated supplies include:

  • Basic Educational Services
  • Basic Healthcare Services
  • Goods and Services Exported Other Than GCC
  • Gold, Silver, and Platinum for Investment Purposes
  • International Transport of Passengers
  • First Sale of New Residential Property within 3 Years from Completion
  • Certain supplies in the oil and gas sector are zero-rated, depending on their nature and end use, as per FTA guidelines.

What are VAT Exempt Supplies?

These are supplies for which no output tax is due and no input tax is paid. In other words, this category includes supplies on which no VAT is applicable. The businesses that deal with exempt supplies cannot reclaim input VAT.

These supplies include

  • Supply of bare land
  • Supply of Local Passenger Transport
  • Specified Financial Services, Such as Credit Card Annual Fees, late payment fees, etc.
  • Supply of Residential property, except for the first supply within 3 years of its completion

What are the Penalties for VAT Non-Compliance in the UAE?

Failure to register for VAT leads to a fine of AED 20,000. Late submission of the VAT returns will lead to a fine of AED 1,000 for the first offence and AED 2,000 for the second offence. Not maintaining proper records can lead to fines of AED 5,000 to AED 50,000.

Conclusion

Keeping up with your VAT registration, returns, and associated responsibilities is extremely important if you wish to run a successful business in the UAE. Value-added tax is a must for businesses with taxable supplies that exceed the AED 375,000 threshold. Not adhering to VAT laws will result in hefty fines and other penalties, like business license suspension and, in severe cases of fraud, legal prosecution or imprisonment.

To make sure you stay ahead of the VAT laws, you need a trusted financial advisor by your side. You can visit us at HRSG to get the best VAT services and solutions for your business operating in the UAE. Our dedicated team will help you file your VAT returns accurately and on time to ensure minimal disruptions in your operations.

Termination of Employment in UAE

Termination of Employment in UAE: What the Law Really Says in 2025
Termination of Employment in UAE: What the Law Really Says in 2025 800 500 HRSG

The UAE government works tirelessly to ensure fair working conditions for everyone. They regularly revise policies and frameworks and keep employers and employees under strict scrutiny for their conduct. 

The government lays down that either party can terminate an employment contract given that they serve notice and comply with other legal consequences that arise from termination. Today, we will be shedding light on the following:

  • When can termination happen
  • What happens if the contract is terminated without notice 
  • What is arbitrary dismissal
  • Opportunities for changing jobs after termination

Straight to the point now. 

When Can Termination Happen

The first question to arise is under which circumstances can the employer or the employee terminate the employment contract. 

Article 42 of the UAE Labor Law, otherwise titled the ‘Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations in the Private Sector,’ allows for termination on the following nine grounds:

  • The employment contract has expired and has not been renewed or extended. 
  • On mutual account 
  • If either party wishes to terminate it, the terminating party follows the provisions for termination mentioned in the contract and the notice period mentioned in it.
  • If the employer is dead (on the account that the contract’s subject is related to the entity)
  • On account of an employee’s death or permanent inability to work, proven by a medical certificate issued by a medical entity 
  • If the worker is facing a freedom-restricting penalty resulting from the court’s final judgments for three months or more. 
  • The establishment closed permanently in accordance with the UAE legislation.
  • The project cannot be continued in the event of the employer’s bankruptcy, insolvency, or economic or exceptional reasons.
  • The worker is unable to fulfill the requirements for renewing the work permit for reasons beyond the employer’s control.

Employment Termination

What the Law Has to Say About Notice Period 

Article 43 also provides information on the notice period and process of termination. According to the article, either party can terminate the employment contract for a legitimate reason. In order to terminate, they:

  • Must give a written notice to the other party 
  • Serve a notice period of 1 month to 3 months, as mentioned in the employment contract.

Some of the other aspects that need to be followed are:

  • Both parties should perform the work as outlined in the employment contract during the notice period. 
  • The worker will receive full pay during the period.
  • In case a party fails to serve the notice period, they will have to pay a ‘notice period allowance’ to the other party. This allowance is equal to the worker’s wage for the notice period or in proportion to the remaining period. It is calculated based on the last drawn wage. 
  • If the employer terminates the contract, the worker is allowed one day of unpaid leave per week to search for another job. 

What Happens If The Contract Is Terminated Without Notice 

In some instances, you may want to terminate the contract without notice. The UAE government recognizes it and allows it to. However, for either party to terminate the contract without notice, there are some grounds to be met. Take a look below.

For Employers

Article 44 allows employers to terminate the employee’s contract without notice in case of:

  • False identity 
  • Submission of forged documents and certificates 
  • Causing an error leading to substantial loss
  • Deliberate attempt to damage the employer’s property and acknowledge it. In this case, the employer has to report the incident to MOHRE within seven working days from the date of knowing about it.
  • Violation of safety instructions (provided that these instructions were made clear to the employee either via writing or verbally informed to an illiterate employee)
  • Failure to perform basic duties as per contract and violation of duties after two warnings of dismissal
  • Divulging secrets which led to losses, missed opportunities, or personal benefit.
  • Found drunk or under the influence of a prohibited substance
  • Engaged in an act that breaches public morals
  • Assaults anyone at the workplace 
  • Absenteeism without lawful excuse for 20+ intermittent days or 7+ successive days in a year 
  • Exploits their position for personal gains
  • Joins another organization without following the regulations laid down in this regard 

The employer has to conduct a written investigation of the worker. Only after completing this process can the employer lawfully terminate the contract without notice. Additionally, the dismissal notice has to be written, justified, and duly handed to the employee. 

For Employees

Similarly, Article 45 allows employees to terminate without notice on predetermined grounds. There are:

  • Employers fail to meet contractual or legal obligations. In this case, the employee has to notify the MOHRE 14 days in advance from the date of quitting. If the employer fails to rectify the breach despite MOHRE’s notice, the employee can be terminated. 
  • Employees experience assault or harassment. Again, the employee has to inform a competent authority and MOHRE within 5 days of the date of the report. 
  • Instructed the worker to perform tasks not specific in the contract without the worker’s written consent. This ground does not apply to situations where the task is fundamentally required. 
  • The employer has failed to remove factors that threaten the employee’s safety and health despite being aware of them. 

Employee Terminated

What Is Arbitrary Dismissal

In some cases, the employers may also terminate employees for filing a complaint to the MOHRE or a lawsuit against them. In such cases, if the validity of the complaint is established, the termination is illegal as per Article 47 of the labor law.

Moreover, if the employees feel that they have been dismissed illegally, they can file a complaint to the MOHRE. The MOHRE will then try to solve the matter amicably. If there is no conclusion, they will refer it to a competent court. In such cases, if the arbitrary dismissal, meaning termination without a valid reason, is established, the court orders the employer to compensate the employee.

The compensation is determined after factoring in multiple elements like:

  • Type of work
  • Extent of damage
  • Employment duration

Regardless of this, the compensation cannot exceed the employee’s total wage for 3 months. Additionally, the employee can claim gratuity benefits, notice period dues, or any other unpaid dues for which they are eligible. 

Opportunities For Changing Jobs After Termination

The contract was terminated. The pending process was completed. Dues were paid off. What’s next? Another role, maybe. Here’s what the law has to say. 

Article 27 states that you are free to work for another employer or get a new work permit after the termination of the contract or expiry and non-extension of the employer contract if:

  • Your contract has expired and is not renewed
  • The termination has taken place as per Articles 42 and 45 of the UAE Labor Law

If the contract gets terminated or expires, you get a grace period after cancellation, during which you can either:

  • Obtain a new work permit and residency
  • Leave the country 

The UAE is very strict with its laws for illegal residents. 

However, you may not be eligible for a new work permit for one year from your departure date under Article 8 of Ministerial Resolution No. 47 of 2022 Regarding the Settlement of Labour Disputes and Complaints Procedures. There are two conditions for this:

  • Employee terminated the contract during the probation period, and the employer has not breached their contractual obligation. 

OR

  • The ‘work abandonment’ report against the employee was found true. 

Conclusion

There’s all you need to know about termination of employment in the UAE. The laws are clear, straightforward, and easy to understand. As long as you are operating within them, there should be no consequences. 

HRSG supports organizations with workforce administration, payroll & compliance services, attendance & leave management, benefits administration, travel & expense management, and other tasks. We ensure complete alignment between employers and employees to avoid any miscommunication and misunderstanding, which may lead to penalties or legal consequences. 

Connect with us today and transform your organization to a new, more connected model.

Resolving Labor Disputes in the UAE

Resolving Labor Disputes in the UAE: Key to a Healthier, Stronger Workplace Culture
Resolving Labor Disputes in the UAE: Key to a Healthier, Stronger Workplace Culture 800 500 HRSG

UAE is touted for its highly skilled labor. According to the Global Labour Resilience Index (GLRI) 2024, the UAE has the highest labor resilience of all Arab countries. Not only that, it is one of the top choices for working professionals.

When you are attracting immense global talent, you are also responsible for the quality of the work environment. The UAE recognizes it and takes it very seriously. The Federal Decree-Law No. 33 of 2021 (Regarding the Regulation of Employment Relationship and its amendments), also known as the UAE Labor Law, governs the rights of employees in the private sector. It applies to all the employees working in the UAE, regardless of whether they are UAE nationals or expatriates. 

These laws also help the company, employees, and officials resolve labor disputes. How? We will tell you all about it in this blog. 

UAE Labor Law

The UAE Labor Law came into effect on 2nd February 2022, repealing the previous Federal Law No. 8 of 1980. It governs the employer-employee relationship in the private sector, protecting both the parties. The law covers matters relating to the following:

  • Working hours
  • Overtime
  • Leaves
  • Vacation and public holidays
  • Employing juveniles
  • Employee records
  • Safety standards
  • Minimum wage
  • Termination of employment
  • End-of-service gratuity payments
  • Work injuries and more

Significant Changes to the Labor Law You Need to Know

The new labor laws have brought about significant changes. Below is a brief overview of the same:

  • Employers may continue to give the employee up to 2 months’ salary during employment disputes. 
  • If the dispute is not resolved within 14 days, the Ministry of Human Resources and Emiratisation (MOHRE) can refer the matter to a competent court.
  • Employers can now hire employees for remote work with a mandatory written agreement.
  • If the claim value is under Dh 50,000, MOHRE has the power to make binding decisions. If it exceeds, the body will act as a mediator or refer the case to a competent court.
  • Employees have a 2-year period post their termination to file labor claims. 
  • The penalty for violations by employers has increased.
  • Female employees now have 60 days of maternity leave.
  • Emiratization has increased for companies.
  • Employee non-compete clauses now must be necessary and limited in scope as well as duration. 

There are some more changes to the labor law. For more detailed insight, read our blog UAE Labor Laws 2025: All the Key Details You Need to Know. 

Resolving Disputes

Despite the best efforts from the government, it is quite natural for disputes to occur between both employers and employees. The question we should be asking is: How do you resolve labor disputes in the UAE?

There are three laws governing labor disputes in the UAE. They are:

  • Federal Decree-Law No. 33 of 2021 — Regulation of Labour Relations in the Private Sector
  • Cabinet Resolution No. 1 of 2022 on the Implementation of Federal Decree-Law No. 33 of 2021 — Regulation of Labour Relations
  • Ministerial Resolution No. 47 of 2022 — Settlement of Labor Disputes and Complaints Procedures.

Let’s take a closer look at what the process looks like. 

To begin with, both parties have an equal chance to file a labor complaint with the Ministry of Human Resources and Emiratisation (MOHRE). These complaints are then settled amicably or referred to a competent court by the MOHRE.

Federal Decree-Law No. 33 of 2021

According to Article 54 of this decree-law, the following guidelines are set:

  • During a dispute, if any of the parties is entitled to the resulting result, they must submit a request to the Ministry. 
  • If an amicable (friendly) settlement is not achieved within 14 days, the Ministry will refer it to a competent court. Along with it, the Ministry will provide a memorandum that will state the following things — [a] a dispute summary, [b] arguments of both parties, and [c] the Ministry’s recommendation. 
  • The court is required to fix a hearing and notify the parties within 3 days from the date of receiving the complaint.
  • Penalties or any relevant action against the employer will only be taken after the dispute is settled or resolved by law. 
  • If the dispute leads to the suspension of the employee’s wages as per the regulations, the Ministry may not use its power to direct the employer to pay the wage for a maximum of 2 months.
  • The Ministry has the power to implement other administrative measures on the establishment to avoid the individual dispute turning into a collective labor dispute.

Additionally, Article 55 exempts the workers or their heirs from paying a judiciary fee for litigation and execution at all levels if the dispute claim is under AED 100,000.

labor dispute Resolved in UAE

Ministerial Resolution No. 47 of 2022

Ministerial Resolution No. 47 of 2022 guides workers who have submitted a labor complaint to the labor court. Here’s what it states:

  • Once the MOHRE approves the referral to the judiciary, the worker must register the labor complaint with the court within 14 days. 
  • Workers need to refrain from working for another employer unless they have a temporary work permit from the Ministry
  • If the labor lawsuit results in the termination of the working relationship, the worker needs to submit a request to cancel the original work permit within 14 days from the date the final judgment is passed.
  • If the final judgment results in cessation of work, the worker’s work permit will be canceled after 6 months from the date of complaint referral to the court.

Filing Labor Complaints  

There are three ways the employee or the employer can file a complaint and track it. 

Via Website

  • Visit the official MOHRE website. 
  • On the menu tab, find ‘Services.’ 
  • From the dropdown menu, click on ‘Add Complaint.’
  • The Add Complaint screen will open. 
  • Fill in the relevant details. Choose wisely from the dropdown list that appears for ‘Complaint type.’
  • Submit the form

If you wish to use the mobile app, you can do that as well by following the same process. When you submit the complaint, a Twa-fouq Centre legal advisor will contact you within 72 hours. 

You will receive the transaction number as well. Use it to track the status of your complaint in the MOHRE Inquiry Services section. 

Call Centre

Alternatively, you can get assistance from the MOHRE call center. Dial 600-5900-00 to file a complaint. Here, a customer care representative will guide you and help resolve your complaint. They may forward it to the Department of Complaints and Advice if they are unable to resolve it. You will be assisted in filing an official complaint for legal action. 

Twa-fouq Service Centres

As we said, the UAE government takes great care of its employers and employees. The Twa-fouq Service Centres are evidence. These centers are licensed by the MOHRE and function under its direct supervision. Their primary role is to help the parties reach an amicable solution, investigate the complaint, and make suggestions to the Ministry for approval. Additionally, they offer legal advice if you’re unaware of your rights. The good part is that they deliver these services in Arabic, Urdu, and English. 

Conclusion 

UAE has established a very strategic and convenient system for employers and employees to register complaints and resolve labor disputes. They have also provided additional support in the form of Twa-fouq Service Centres to make the entire process easier. 

Furthermore, the deadlines for resolving disputes for all parties involved and MOHRE’s powers in case of dispute settlements are aimed at finding a solution as soon as possible.

That being said, there’s a chance to avoid disputes by following all the protocols laid down by the government, designing fair policies, and having strong HR operations in place. 

We at HRSG support companies with powerful HR processes. These include support for tasks such as workforce administration, payroll & compliance services, attendance & leave management, benefits administration, travel & expense management, HR helpdesk, talent management services, recruitment, performance, onboarding, compensation, and more.

We help you rewire your organization with a new, more connected model that leaves no space for miscommunication or misalignment. Connect with us today for actionable results.

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