Employment Agreement / Offer Letter (DIFC)
A full employment contract for a DIFC employee, compliant with DIFC Employment Law No. 2 of 2019 and covering end-of-service gratuity, DEWS, statutory leave, notice, and vacation.
What is an Employment Agreement / Offer Letter?
An Employment Agreement / Offer Letter (DIFC) is a full employment contract for a DIFC employee, compliant with DIFC Employment Law No. 2 of 2019 and covering end-of-service gratuity, DEWS, statutory leave, notice, and vacation.
Any DIFC employer hiring staff, who must issue a written contract that meets DIFC Employment Law No. 2 of 2019, including its terms on gratuity/DEWS, statutory minimum leave, notice periods, and working hours. It is not for onshore UAE (MOHRE) employment.
Employment Agreement / Offer Letter template, current for 2026
Reflects DEWS (DIFC Employee Workplace Savings), which replaces accruing gratuity from Feb 2020, the statutory minimum of 20 working days' annual leave, the sick-leave sliding scale, notice-period minimums, and probation caps.
How HDAi does this differently
Unlike a static form, HDAi runs a guided interview and assembles your Employment Agreement / Offer Letter live as you answer. When you want it finished, a licensed Hart David Carson attorney reviews it before you sign and coordinates sign-off by locally admitted counsel where the governing law requires it. The interview and the first draft are automated. The judgment belongs to an attorney.
What you’ll be asked
- Employer (DIFC entity) The DIFC-registered company that will employ the individual. Its legal name and registered DIFC address appear in the title block and signature panel.
- Employer's DIFC registration / commercial licence number Identifies the employer on the DIFC Registrar of Companies and confirms it is a DIFC establishment governed by DIFC Employment Law No. 2 of 2019.
- Employee The individual being hired. Full legal name and address as they should appear on the contract and for statutory notices.
- Employee's nationality Relevant to UAE visa sponsorship and immigration formalities that the employer must arrange for a DIFC role.
- Employee's passport number Used for the UAE residence visa and work permit the employer sponsors; identifies the employee for immigration purposes.
- Job title / position The role the employee is engaged to perform; sets the scope of duties clause.
- Reports to (title of manager) Establishes the reporting line and to whom the employee is accountable.
- Department / practice group Locates the role within the organisation; used in the duties clause.
- Primary work location DIFC Employment Law applies to employees based in or ordinarily working from the DIFC; this fixes the normal place of work.
- Date of this agreement The date the parties sign. Anchors notice, probation and gratuity/service calculations.
- Employment start date The date continuous employment begins. Drives probation end, statutory leave accrual, notice tiers and end-of-service entitlements.
- Type of employment DIFC contracts may be indefinite (open-ended) or for a fixed term; the term clause and end-of-service mechanics differ.
- Fixed-term end date The date a fixed-term contract expires unless renewed. Only needed for fixed-term engagements.
- Probation period (months) DIFC law permits a probation period; during it either party may terminate on shorter notice. It cannot exceed 6 months.
- Is this a full-time role? Distinguishes full-time from part-time; affects hours, leave accrual and pro-rating.
- Ordinary working hours per week DIFC law caps average weekly hours at 48 (including overtime) over a reference period; this sets the baseline schedule.
- Working days / pattern Sets the normal working week. The DIFC does not mandate particular days, and the pattern must still be stated.
- How are additional / overtime hours treated? The DIFC does not mandate overtime pay for most roles. Many DIFC contracts make the salary inclusive of reasonable additional hours (subject to the 48-hour cap). Choose that, or elect separate compensation for overtime.
- Annual base salary (figure) Gross annual basic wage before allowances. Basic wage drives DEWS/gratuity and end-of-service calculations.
- Annual base salary as it should read in the contract Enter the base salary formatted with thousands separators as it should appear in the document, without the currency code (that is added automatically). For example, enter 420,000 to render 'AED 420,000'. Leave blank to use the plain figure above.
- Salary currency DIFC salaries are commonly quoted in AED or USD; fixes the currency for pay and statutory calculations.
- Pay frequency DIFC law requires wages to be paid at least monthly and within a set period after they fall due.
- Housing allowance (annual figure, if any) Optional allowance paid on top of basic salary. Allowances are generally excluded from the gratuity/DEWS basic-wage base.
- Housing allowance as it should read in the contract Enter the housing allowance formatted with thousands separators, without the currency code (added automatically). For example, 120,000 renders 'AED 120,000'. Leave blank to use the plain figure above.
- Transport allowance (annual figure, if any) Optional commuting allowance. Stated separately so the basic-wage base for end-of-service is clear.
- Transport allowance as it should read in the contract Enter the transport allowance formatted with thousands separators, without the currency code (added automatically). For example, 24,000 renders 'AED 24,000'. Leave blank to use the plain figure above.
- Any other allowances or benefits Captures remaining cash allowances or in-kind benefits (insurance, schooling, flights) so the package is fully described.
- Is there an annual flight / repatriation allowance? Many DIFC packages include an annual return airfare to the employee's country of origin, or a cash equivalent. Determines whether to include a flight/repatriation clause.
- Flight / repatriation allowance details Describe the entitlement (e.g. class of travel, frequency, whether for dependants, cash-alternative). Leave blank to use a standard one economy-class return airfare per year.
- Does the employer provide health insurance for the employee's sponsored dependants? UAE law requires the employer to provide mandatory health insurance for the employee. Confirm whether the employer also covers sponsored dependants (some emirates require the sponsor to insure dependants).
- Is there a discretionary bonus scheme? Determines whether to include bonus language and to state clearly that it is discretionary and not a guaranteed entitlement.
- Bonus scheme details Describes eligibility and mechanics while preserving the employer's discretion.
- End-of-service provision method Since Feb 2020, DIFC employers must enrol employees in a qualifying scheme (DEWS or an approved alternative) for the defined-contribution portion of end-of-service; otherwise the statutory gratuity applies.
- Name of the alternative qualifying scheme Identifies the DFSA-approved alternative to DEWS the employer uses for core end-of-service contributions.
- Annual (vacation) leave entitlement (working days) DIFC law guarantees a minimum of 20 working days of paid vacation per year for full-time employees; you may offer more.
- Notice period after probation DIFC law sets statutory minimum notice by length of service (7 days if <3 months, 30 days if <5 years, 90 days if 5+ years). You may agree longer.
- Notice during probation (days) During probation DIFC law allows shorter notice (as little as 7 days); this sets the probationary notice each party must give.
- Will the employer sponsor the employee's UAE visa/work permit? DIFC employers typically sponsor the residence visa and DIFC work permit; confirms the employer's immigration obligations and cost-bearing.
- Include confidentiality obligations? Protects the employer's confidential and proprietary information during and after employment. Standard for most roles.
- Include intellectual property assignment? Assigns to the employer inventions and works created in the course of employment; important where the employee produces IP.
- Does the employee have any continuing restrictive covenant or obligation to a former employer? The employee warrants they are free to take the role. If they carry a non-compete, non-solicit, confidentiality, or notice obligation to a prior employer, disclose it so the parties can manage it and avoid inducing a breach.
- Describe the disclosed prior obligations Set out the nature, scope, and duration of any continuing obligation the employee owes a former employer or third party, so the agreement can record how it will be managed.
- Include post-termination restrictive covenants? Non-compete / non-solicitation for a period after employment. DIFC courts enforce these only if reasonable in scope and duration.
- Duration of post-termination restrictions (months) How long non-compete and non-solicit obligations last after employment ends. Shorter, narrowly drawn periods are more enforceable.
- Scope of restrictions (activities / clients / geography) Defines what the employee may not do. A narrow, reasonable scope is essential for enforceability.
- Employer signatory name The person signing on behalf of the DIFC employer; appears in the signature block.
- Employer signatory title Confirms the signatory's authority to bind the employer.
Frequently asked
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