The UAE is a business hub around the world due to its solid infrastructure and stable business plan that has been in place for the last few decades, one of the reasons why manpower supply in Dubai has been one of the important business activities. There are manpower agencies that hire full-time employees under their sponsorship and second them to third-party companies.
So, how can a manpower agency in Dubai, UAE, help?
To start a manpower supply business in the UAE, you must first obtain a manpower supply license, which is a type of commercial license. Obtaining this license allows you to conduct labor supply business in Dubai and act as a middleman between employers and employees.
PROCEDURE TO OBTAIN MANPOWER LICENSE
First, apply for a company name reservation after ensuring that the name you suggest is not already in use in the Register, and then apply for registration.
Request for notarization of the company's Memorandum of Association (MOA) at the Department of Economic Development (DED) for the manpower supply license in the UAE after the name has been approved.
Organize the company's records and submit them for final approval.
After obtaining a license, the next move is to apply to the Ministry of Labor for a labor card and an establishment card.
Register the workers with the Ministry of Labor
Finally, notify the General Authority for Pensions and Social Security about the jobs.
DOCUMENTS REQUIRED
Copies of a valid passport(s) of the company’s shareholder(s)
Copy of the applicant’s family book
Copy of the ID card, for nationals
A statement of good conduct
Copy of the trade name application with the Trade Register
The shareholders’ written statements on the opening of the company
A blueprint of the employment agency's location
In Dubai, a manpower supply license must be renewed every year.
TERMS AND CONDITIONS WHILE APPLYING FOR MANPOWER LICENSE
All shareholders must be UAE nationals with a minimum age of 21 years and maximum financial capability.
The partners should not be accused of any obscene crime, fraud, breach of confidence, human trafficking, or any other criminal offense. If he or she is rehabilitated after the issuance of a judgment restricting his or her freedom or after the expiration of one year from the date of the issuance of a judgment imposing a fine on him or her, the situation is different.
During the license's validity period, the applicant must apply to the Ministry a bank guarantee for AED 300,000 (in the case of brokerage activities) or AED 1,000,000 (in the case of other activities) (in case of temporary recruitment activities).
The bank guarantee must be immediately renewed. The Ministry may use all or part of this guarantee to pay any sums that the agency is obligated to pay as a result of its failure to comply with the provisions of this law and the instructions and decrees given thereunder.
The applicant must have a main office with a distinct address where the agency will conduct business. This type of head office must be approved for that role and meet the requirements outlined in the executive orders and procedures provided under this decree. The organization is only allowed to operate if it has a head office like this.
The applicant must request a written promise that no changes to partners will be made, either by addition or removal until the Ministry has given its written consent.
The agency needs to recruit a sufficient number of administrative staff and managers with relevant work experience.
An agency manager must be a UAE national with at least a high school diploma. Individuals applying for a license will be agency managers if they have a high school diploma and are licensed as managers with the Ministry of Labor, the General Pensions Authority, or the Abu Dhabi Pensions Fund.
The same requirements apply to the agency-approved signatory as they do to the agency manager.
If the application for a license to practice the requested operation has been accepted, the applicant must pay the legally mandated fees.
PROTECTION OF WORKERS
Apart from the deposit money, the Dubai government is very strict about protecting employees who are hired through manpower or other labor recruitment agencies. For each employee brought to Dubai, the organization must deposit AED 2,000. The law on the Licensing and Regulation of Private Employee Agencies specifies that if an employment agency fails to meet its obligations to its employees, it will be held liable. The Labor Ministry has also placed a cap on the amount of money that agencies will ask for as payments from potential clients. Before signing a contract, agencies must include all of the company's terms and conditions, as well as an employee's responsibilities to the company. They will have to keep track of the workers who were hired by the department.
The new UAE law also stipulates that organizations must notify the Ministry of any internal changes. The Dubai government is committed to promoting a transparent job intermediary sector in the UAE and ensuring greater security for employees hired by manpower supply, recruiting, or labor agencies. A rise in Dubai's market suggests an increase in manpower availability. Starting such an organization is the way to move forward for an entrepreneur.
Comments