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Laws For Recruitment Agencies

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Recruitment Agency License

  • The Ministry of Labor over there has issued MR1283 in 2011 in regards to enabling the license and regulation of Private Employment Agencies Law. This further boosts a recruitment agency to operate their business with throttle and utilise the facilities provisioned to businesses set up in Dubai. The law allows establishment of companies performing foreign outsourcing which enhances the operations of a recruitment agency.

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Types of a Recruitment Agency License

  • There are two types of recruitment licenses which can be obtained by recruitment agencies in Dubai.

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  • Brokerage License

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  • Temporary Recruitment License

Brokerage License

  • The brokerage license must be obtained by companies completing activities related to the mediation or employment relations between UAE and foreign nationals and UAE and foreign companies. In other words, a brokerage license will allow the recruitment agency to:

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  1. Processes applications from foreign and UAE nationals looking for employment

  2. Receiving requests from companies seeking to hire employees from the UAE or abroad

  3. Create a database of available jobs and post new jobs as they appear

  4. Maintain the database of candidates and employers and exchange on based on requirements

Temporary Recruitment License

  • A temporary recruitment license grants the recruitment agency the entire responsibility of shortlisting, interviewing and placing employees for the required number of job openings for the employer. The employer, in this case, may have requirements to outsource the workforce from outside the UAE as well. The requirement entitles the recruitment agency to recruit and hire workers from the UAE or outside the UAE. The Dubai recruitment agency, in such case, will act as a sponsor for foreign employees.

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  • Further, there are the following types of different recruitment agencies:

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       1. Traditional Recruitment Firms - Focuses on sufficing for various                  general skills requirement

       2. Executive Search Agencies - Agencies operating to fill the                             leadership positions of companies with higher end salary and                       positions.

       3. Specialist Agencies - They provide the experts of a field from their               database

       4. Large-Scale Labor Recruiters - Who provides a mass workforce for              employers

       5. Temporary Recruitment Agencies - Agencies that act as an                           employer for hiring and placing candidates

Documents Required For Recruitment Agency

  • The following documents are to be submitted to the Ministry of Human Resources and Emiratisation in order to obtain the license for opening recruiting agency in Dubai:

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  1. Copies of passport(s) of the company’s shareholder(s)

  2. Copy of the applicant’s family book

  3. Copies of the ID cards of the nationals

  4. A statement of good conduct

  5. Copy after the trade name application with the Trade Register

  6. The shareholders’ written statements on the opening of the company

  7. A blueprint of the employment agency’s location

Guidelines to Set Up A Recruitment Agency

  • The Dubai MR1283 has strict guidelines of the protection of workers appealing to an employment business or a recruitment agency to find a job.

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  • Apart from the guarantee deposited, employment businesses are also required to deposit 2,000 Dirhams for every employee brought in Dubai. For transparency purposes, the law on Licensing and Regulation of Private Employment Agencies states that employment businesses will be held accountable for the obligations a company has towards the worker. Also, employment business and recruitment agencies are required to hire qualified personnel and have an experienced manager.

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