UAE onboarding, explained from both sides.

Free-zone vs mainland hiring in the UAE: who issues the visa and which employment law governs

Where you license your company decides who sponsors the visa and which employment regime governs the contract. Mainland hires get a MOHRE work permit and a GDRFA/ICP residence visa under Federal Decree-Law No. 33 of 2021; general free-zone hires (JAFZA, DMCC, Dubai South, etc.) are sponsored by the free-zone authority, which issues the establishment card and permit while residence visas still come from GDRFA/ICP, and their employment is, on the prevailing position since Federal Decree-Law No. 33 of 2021 took effect, governed by the federal labour law - though some zones keep their own supplementary employment rules, so confirm per zone. The two financial free zones, DIFC and ADGM, sit outside federal labour law entirely, each running its own common-law employment regulations and its own courts.

1. 1Identify where the hiring entity is licensed. The employer's licence location, not the employee's nationality, sets the regime: mainland (onshore), a general/economic free zone, or one of the two financial free zones (DIFC or ADGM).
2. 2Mainland hire: MOHRE work permit + GDRFA/ICP residence visa. A mainland company applies to MOHRE for the work permit and labour contract; the residence visa and Emirates ID are then issued by GDRFA (Dubai) or ICP (other emirates). Employment is governed by Federal Decree-Law No. 33 of 2021 and disputes go through MOHRE mediation and the UAE labour courts.
3. 3General free-zone hire: free-zone authority sponsors, GDRFA/ICP issues the visa. The free-zone authority (e.g. JAFZA, DMCC, Dubai South, DAFZA) is the sponsor: it holds the establishment/immigration card and processes the entry permit and work permit, while final residence-visa issuance still rests with GDRFA or ICP. Per u.ae, free-zone employees are sponsored by the free-zone authority rather than directly by the employer, and each authority runs its own administrative rules. Since Federal Decree-Law No. 33 of 2021 took effect (2 February 2022), the prevailing position is that this federal labour law governs employment in the general free zones - though some zones retain their own supplementary employment rules, and the u.ae 'Working in free zones' page still states free-zone workers are 'generally not governed by the UAE Labour Law', which appears outdated on this point. Confirm the applicable regime with your specific zone.
4. 4Financial free-zone hire (DIFC / ADGM): the zone's own regime governs. DIFC applies DIFC Employment Law No. 2 of 2019 (as amended) and ADGM applies its Employment Regulations 2024 (in force 1 April 2025, replacing the 2019 version). Federal civil and commercial law - including federal labour law - does not apply inside these zones; UAE criminal law still does. Disputes are heard in the DIFC Courts or ADGM Courts under English common law. You cannot contract out of these minimums for staff based in the zone.
5. 5Check end-of-service and savings obligations for the chosen regime. Mainland and general free zones follow federal end-of-service gratuity rules. DIFC mandates the funded DIFC Employee Workplace Savings (DEWS) scheme in place of traditional gratuity; ADGM retains a gratuity model updated under its 2024 Regulations. Confirm the current contribution/accrual figures with the relevant authority before budgeting.

Fees and timelines vary by emirate, free zone and nationality - confirm the current figure with the regulator before you rely on it.