VoxxArrive · Jurisdiction
Hiring & onboarding in RAKEZ (Ras Al Khaimah Economic Zone): visas, contracts, gratuity
RAKEZ is a non-financial free zone: it issues your trade licence, establishment card and sponsors work/entry permits itself, but the residence visa, medical and Emirates ID run through the federal ICP (Ras Al Khaimah has no separate emirate-level GDRFA, unlike Dubai). Substantive employment terms follow the same Federal Decree-Law 33/2021 as onshore - RAKEZ has no standalone code like DIFC/ADGM - so gratuity, leave and notice are federal-standard. The main onboarding differences are administrative: visas are quota-capped by your facility size, the process is managed by RAKEZ rather than MOHRE, and free-zone entities sit outside MOHRE's Nafis Emiratisation targets.
What's different
- Two-authority split: RAKEZ (the free-zone authority) issues the establishment card and sponsors the entry/work permit; the residence-visa stamping, medical fitness and Emirates ID are handled by the FEDERAL ICP through its Ras Al Khaimah General Directorate of Identity and Foreigners Affairs. RAK has no standalone emirate GDRFA, so onboarding routes through ICP rather than Dubai's GDRFA.
- Employment law is Federal Decree-Law 33/2021 - identical substantive rules to mainland (gratuity 21/30 days, notice, leave). RAKEZ is NOT a financial free zone, so unlike DIFC/ADGM there is no separate employment code or DIFC-courts jurisdiction. The practical difference from mainland is the administering body: permits and contracts are processed by RAKEZ, not MOHRE.
- Visa quota is tied to the FACILITY, not headcount: a flexi-desk/shared-desk supports only a handful of visas, while private offices, warehouses and industrial land scale the allocation with floor area. Plan the facility around the team size - you cannot simply buy extra visas onto a flexi-desk package.
- End-of-service is standard federal gratuity - there is NO mandatory workplace-savings scheme (no DIFC-style DEWS). RAKEZ has endorsed a VOLUNTARY scheme (MEWSS, via Praxis/Equevu) that lets employers fund gratuity in a segregated trust, but it is optional and does not replace the statutory lump-sum default.
- Free-zone entities fall OUTSIDE MOHRE's Nafis private-sector Emiratisation quota (which targets mainland companies with 50+ skilled staff), so RAKEZ employers face no mandatory Emirati-hire percentage - a genuine divergence from mainland onboarding.
- RAKEZ is one of the UAE's largest industrial/SME hubs (23,000+ companies, 50+ sectors) centred on manufacturing, trading, logistics, e-commerce, media, education and consultancy, with dedicated industrial zones (Al Hamra, Al Ghail, Al Hulaila). It also offers both free-zone and non-free-zone (mainland) licences from the same authority.
Which onboarding steps this affects
This affects 35 of the 57 onboarding tasks, concentrated in the Pre-boarding, Day 1, Week 1, Month 1, Month 3+ phases. Work through them in the live demo to see the compliance-readiness score respond as each is ticked off.
Your task slice
35 of the 57 onboarding tasks apply here.
Verify MOHRE establishment card is active and labour quota is available for the role
Establishment card / labour quota confirmation
Assess Emiratisation/Nitaqat impact of the hire before proceeding (skilled-role headcount)
Issue MOHRE-standard job offer letter and obtain the employee's signed copy
MOHRE job offer letter (signed)
Apply for the MOHRE work permit (labour card) via Tasheel/MOHRE portal
Work permit approval
Apply for entry permit (e-visa) or initiate in-country status change
Entry permit (60-day validity)
Collect and attest pre-boarding documents (passport, photos, degree/qualification attestation)
Attested document pack
Prepare fixed-term employment contract aligned to the signed offer
Employment contract (draft)
Set probation period in the contract (must not exceed 6 months, FDL 33/2021)
Define working hours, overtime, and weekly rest-day terms in the contract
Register the new joiner in payroll with a WPS-compliant salary structure
Confirm the employee holds a WPS-eligible UAE bank account or salary card
Employee signs the employment contract on Day 1
Signed employment contract
Collect original passport and entry permit for residence visa processing
Issue employee handbook and code of conduct; capture acknowledgement (incl. gross-misconduct grounds)
Handbook acknowledgement
Collect employee bank/IBAN details for WPS payroll set-up
Book and complete medical fitness test at an approved centre (communicable-disease screening)
Medical fitness certificate
Complete ICP Emirates ID biometrics (fingerprints, iris scan, photo)
Emirates ID application receipt
Submit residence visa application to GDRFA/ICP after medical and EID biometrics
Complete residence visa stamping / e-visa linking to the passport
Residence visa
Register the signed employment contract with MOHRE within the statutory deadline
MOHRE-registered labour contract
Activate WPS salary registration with MOHRE and the bank/agent
Confirm health insurance activation is linked to the residency file
Collect the issued Emirates ID card once produced by ICP
Emirates ID card
Register UAE/GCC national with GPSSA (within one month of joining)
GPSSA registration
Verify residence visa and Emirates ID are fully issued (post-entry chain within 60 days)
Run the first WPS payroll and confirm on-time salary transfer
WPS SIF file
Update Emiratisation/Nitaqat headcount records with MOHRE (if Emirati; counts only if GPSSA + WPS)
Confirm gratuity/end-of-service accrual tracking has started in payroll
Assemble audit-ready employee compliance file (contract, visa, EID, insurance)
Employee compliance file
File original Emirates ID and residence visa copies in the personnel record
Issue confirmation-of-employment letter on passing probation
Confirmation letter
Reset and communicate post-probation notice-period terms (30-90 days)
Verify ongoing WPS compliance across the first pay cycles
Confirm health insurance validity aligns with residency expiry
Reassess Emiratisation target contribution and Nafis eligibility
Some figures on this page vary by jurisdiction, zone or nationality, or could not be independently confirmed from a public source at time of writing - confirm the current figure with the regulator before relying on it.
Sources
- ICP - Ras Al Khaimah General Directorate of Identity and Foreigners Affairs (federal immigration/residency/Emirates ID authority for RAK)
- RFS - Recruiting in RAKEZ (employment governed by Federal Decree-Law 33/2021; gratuity, free-zone visa handling)
- RAKEZ visa process explained (entry permit, medical, Emirates ID, stamping steps)
- Compass by RAKEZ - end-of-service / MEWSS workplace-savings scheme webinar (RAKEZ-endorsed, voluntary)
Frequently asked
Who issues a RAKEZ employee's residence visa and Emirates ID?
RAKEZ sponsors and processes the establishment card and entry/work permit as the free-zone authority, but the residence visa, medical fitness test and Emirates ID are issued by the federal ICP (Federal Authority for Identity, Citizenship, Customs and Port Security) via its Ras Al Khaimah directorate. Ras Al Khaimah has no separate emirate-level GDRFA, so immigration routes through ICP.
Does RAKEZ have its own labour law like DIFC or ADGM?
No. RAKEZ is a non-financial free zone, so employment is governed by the same Federal Decree-Law 33/2021 that applies onshore - the same gratuity, notice, leave and probation rules. Only the financial free zones (DIFC, ADGM) run standalone employment codes and their own courts. The practical difference for RAKEZ is that the free-zone authority, not MOHRE, administers the contract and permit.
How many visas can a RAKEZ company get?
The quota is set by your facility, not your headcount. A flexi/shared desk supports only a small number of visas; larger private offices, warehouses and industrial plots increase the allocation with floor area. If you need to onboard a bigger team, size the facility accordingly before applying - you can't add visas beyond what the space allows.
Is end-of-service in RAKEZ a lump-sum gratuity or a savings scheme like DEWS?
It is the standard federal lump-sum gratuity (21 days' basic pay per year for the first five years, 30 days thereafter). There is no mandatory savings scheme. RAKEZ has endorsed a voluntary workplace-savings option (MEWSS) that lets employers fund gratuity in a trust, but it is optional - unlike DIFC, where DEWS is compulsory.
Do RAKEZ employers have Emiratisation (Nafis) targets?
No. MOHRE's Nafis private-sector Emiratisation quota applies to mainland companies with 50 or more skilled employees. Free-zone entities such as RAKEZ companies sit outside that quota, so there is no mandatory Emirati-hire percentage - a key divergence from mainland onboarding.