TGS Innovised—UAE HR and Payroll
Operating in the UAE

UAE HR and Payroll: Practical Support to Hire, Pay and Manage Your Team

UAE HR and payroll support by TGS Innovised

UAE HR and payroll can become complex as soon as you hire your first employees. Expanding into a new market is exciting, but managing people across borders brings its own challenges. A strong people and payroll strategy keeps your team aligned, compliant and ready to grow your business. That is why our UAE team helps you plan ahead, hire the right people and pay them correctly, so you can focus on growth with confidence.

Taxonomy Business is now part of TGS Innovised All activities relating to “Taxonomy Global Business Advisory” have been merged into TGS Innovised as of November 2026.

Why workforce planning matters

When you expand abroad, hiring people is not enough. You also need a people strategy that fits each market, because every country has its own labour laws, culture and expectations. Without a clear plan, you risk fines, gaps in talent and wasted time.

Attract and keep talent

Competitive packages help you hire and keep good people.

Meet local law

Your contracts and practices follow UAE labour law from day one.

Accurate payroll

Salaries go out on time and correctly, without extra admin.

One aligned team

Your local team works towards the same goals as your head office.


UAE HR and payroll rules you need to know

The UAE labour law sets clear rules for employers on the mainland and in most free zones. These are the main points for your planning.

Fixed-term contracts

Employment contracts must have a fixed term, and you register them with the authorities.

Wage Protection System

Mainland companies pay salaries through WPS, an electronic system that records each payment.

End-of-service gratuity

Employees earn a gratuity based on their basic salary and years of service.

Insurance

Health insurance for staff and job-loss insurance (ILOE) for most employees.

Emiratisation

Larger mainland companies must hire a growing share of UAE nationals.

Pension for nationals

For UAE and GCC nationals, employers pay pension contributions.

However, some free zones, such as DIFC and ADGM, have their own employment rules. So we always check which rules apply to your company. The Ministry of Human Resources and Emiratisation publishes the official mainland rules.


Our UAE HR and payroll services

We tailor our support to your stage, whether you are a startup in a new market, a growing SME or a multinational that wants to fine-tune its presence.

HR strategy and planning

  • International HR strategy and workforce planning
  • Salary and benefits benchmarks for the UAE market

Contracts and compliance

  • Drafting employment contracts and offer letters
  • Compliance checks against UAE labour law
  • HR policies and an employee handbook

Payroll

  • Payroll setup, monthly processing and payslips
  • Salary payments through WPS
  • Gratuity and leave calculations, and payroll reports

Ongoing HR support

  • Benefits advice and local best practices
  • Help with onboarding and exits
  • HR advice as your business grows

New employees also need visas and work permits. Our PRO services team handles these for you, and for salaries you first need a business bank account.


Our approach: local know-how, one contact

Success in a new market often depends on local knowledge. In the UAE, we give you practical guidance on labour law from day one and payroll that meets regional and international standards. In addition, our network in Europe, the Middle East and Asia coordinates local support wherever you expand next. As a result, you get one point of contact for your UAE HR and payroll and for your other markets.

With the right support, a cross-border team can become one of your biggest advantages. We also help with accounting and international tax, so your payroll fits into your wider finance setup.


Frequently asked questions

Is there income tax on salaries in the UAE?
No. The UAE has no personal income tax on salaries. However, employers still have duties, such as WPS payments, insurance and, for UAE and GCC nationals, pension contributions.
What is the Wage Protection System (WPS)?
WPS is an electronic salary system. Mainland employers pay salaries through approved banks or exchange houses, so the authorities can check that staff get paid on time. Many free zones have similar rules.
How is end-of-service gratuity calculated?
Under the mainland labour law, an employee usually earns 21 days of basic salary for each of the first five years and 30 days for each year after that. We calculate this for you, because the details depend on the contract and the reason for leaving.
Can you run payroll for a free zone company?
Yes. We support both mainland and free zone companies, and we follow the rules of your zone. Read more about free zone companies.
Can I outsource only payroll and keep HR in-house?
Yes. You can use our UAE HR and payroll services as a full package or choose only the parts you need.

Get started with UAE HR and payroll support

Let us work together to build the team you need for success. Tell us about your plans, and our UAE team will advise on the next steps. We usually reply within 24 hours. Contact us for a first conversation, or go back to the UAE business setup overview.

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