Executive Summary: This guide introduces Canadians to life and business in the UAE, covering key requirements for foreign professionals including document authentication, health certifications, and cultural etiquette. It explains the UAE’s attractive business environment with 0% personal income tax, improved labor protections from the 2022-2023 reforms, and diverse visa options. The guide details the country’s exceptional safety standards, modern infrastructure, and opportunities across high-growth sectors like technology, real estate, and finance.
Introduction
Before starting to look for a job in Dubai or other emirates, it is worth familiarizing yourself with the rules of employment in the UAE. The Middle Eastern country offers wide opportunities for career growth in various industries. The average salary for a specialist exceeds $3,500, and the Sharia laws in place in the country contribute to a high level of safety.
At GenZone, we’ve assisted over 300 Canadian entrepreneurs in transitioning from Canada to the UAE, helping them navigate the process of establishing companies, obtaining residency visas, and embracing the endless opportunities that the UAE offers.
Why Canadians Choose Dubai: Key Advantages
1. Tax Advantages
The decision to move from Canada to the UAE is significantly influenced by the financial landscape. In Canada, the highest tax bracket reaches approximately 53.5%, and when considering corporate and sales taxes, the overall tax rate can be considerably higher. In contrast, the UAE boasts a substantially lower tax burden with 0% income tax, a modest 9% corporate tax (on profits above AED 375,000), and a 5% sales tax. This favorable tax environment in the UAE empowers entrepreneurs to retain a more substantial portion of their earnings, fostering an environment conducive to business growth and wealth accumulation.
2. Safety and Security
For high net worth individuals, prioritizing safety is non-negotiable. The UAE, especially Dubai, consistently ranks among the safest places globally. Unlike experiences in Canada, where concerns for personal safety were prevalent, Dubai provides a secure environment, allowing residents to enjoy their wealth without constant fears of crime. Stringent penalties for criminal activities act as a robust deterrent, creating an atmosphere where individuals can thrive without compromising their safety.
Check out our complete Canada to Dubai relocation guide here
3. Fantastic Weather
Beyond financial considerations, the weather in Dubai plays a pivotal role in the decision-making process. While the summer months can be warm, the majority of the year enjoys fantastic weather with consistent sunshine. This predictability contrasts with the unpredictable weather conditions in Canada, where even summers can be affected by rain and cold temperatures, not to mention the harsh winters.
4. Hustle Community
Dubai thrives on entrepreneurship, and at the heart of it is the hustle community. The UAE boasts a dynamic and vibrant community of entrepreneurs striving for financial success. This stands in stark contrast to the Canadian landscape, where many individuals work in government positions or traditional 9-to-5 jobs. Dubai’s entrepreneurial spirit fosters a network of like-minded individuals eager to collaborate, elevating each other to new heights of success.
5. Activities, Entertainment, and Culture
Renowned for its world-class facilities, entertainment options, and rich cultural experiences, the UAE, particularly Dubai, offers an unparalleled lifestyle. From the largest mall to the tallest building globally, the country caters to the desires of high net worth individuals. Luxurious shopping experiences, cultural events, and a thriving nightlife contribute to a well-rounded and enriching environment for those seeking a superior quality of life.
6. Ease of Residency
In contrast to other countries with prolonged residency processes, the UAE stands out for its efficiency. Gaining residency can be achieved in as little as 30 days, with some cases obtaining residency within an impressive 16 days. This streamlined process facilitates a smooth transition for individuals seeking to move from countries like Canada, the UK, Spain, or elsewhere.
Requirements for Foreigners
To find a well-paying job, a foreign specialist must meet the following requirements:
Compliance of qualifications and work experience with the job requirements
One of the mandatory requirements is to submit a resume and portfolio in English. Diplomas and certificates must also be translated into English, authenticated, notarized, and stamped by the UAE embassy.
Confirmation of health status
To obtain a work permit in the UAE, one must undergo a medical examination. This includes blood tests for HIV, hepatitis B and C, chest X-rays, and biometric identification to obtain the Emirates ID.
Age and appearance
The average age of a specialist in the UAE is 40-45 years. Young people aged 18-30 are predominantly hired in the service sector.
Proficiency in the English language
A foreign specialist must have sufficient language skills to perform professional duties and communicate with colleagues. As English proficiency increases, so does the range of job opportunities. Knowledge of the Arabic language is an additional advantage.
The company wishing to hire a foreign specialist must provide evidence of the need for foreign employment, as well as proof of its financial stability.
Cultural Nuances
One of the important aspects of employing foreign specialists in the UAE is the cultural nuances that should be taken into account when job searching and staying in the country. These factors can significantly influence the process of obtaining a work visa and successful adaptation to the new environment.
In the UAE, there are certain norms of behavior and etiquette that must be observed both in the workplace and beyond:
- When interacting with colleagues and superiors, it is important to show respect for the traditions and beliefs of the local population. For example, women are advised to behave modestly and avoid open physical contact with men.
- Punctuality and fulfilling all obligations precisely are valued in the UAE. Violating these rules can negatively affect the specialist’s reputation.
- Taking photos, audio, and video recordings of people without their consent (even on the street) is prohibited. The same applies to governmental and strategic objects such as airplanes, airports, and administrations.
- Being intoxicated in public places is punishable by a fine at best and two months’ imprisonment at worst.
- Criticizing the government or spreading negative information about the UAE, including online, can result in a fine or deportation from the country.
Additionally, to ensure successful employment, attention should be paid to formalities and bureaucratic processes. Some companies may require additional documents or recommendations, so it is important to be prepared to provide all necessary certificates and confirmations.
It is also worth considering the peculiarities of work visas for foreign specialists. In the UAE, there is a quota system that limits the number of work visas for various sectors of the economy. This may affect the possibility of obtaining a visa in a specific field and may require additional efforts in the job search.
Adhering to etiquette rules, punctuality, and knowledge of the specifics of obtaining a work visa will help foreign specialists succeed in their new workplace.
Work Nuances
The work of foreign specialists in the United Arab Emirates has its own peculiarities. For example, to obtain a work visa for employment in the UAE, one must have an invitation from the employer, as well as relevant qualifications and work experience.
Another important aspect is the working hours. This is especially relevant for the service sector. The working day in the UAE usually starts early in the morning and ends late in the evening, which may require foreign employees to adapt to a new work schedule. It is also important to remember Muslim sacred days and holidays, which may affect the work schedule.
As for formalities, a specialist coming to the country should know the following:
- All employees are entitled to leave. By law, this is 30 days, which are paid by the companies. Leave can be skipped, but then in the following year, the company must grant the specialist a break for no less than 60 days. Skipping leave two years in a row is not allowed.
- Most companies use the right to appoint a probationary period for a new employee. Its duration is six months.
- Termination of the employment contract can be initiated by both the employee and the employer. The latter must notify the employee at least 2 weeks before the probationary period and within a month after the probationary period. If the employee has been employed for more than five years, the company must notify them of termination no later than three months in advance.
- An employee can terminate the employment contract themselves but will be required to work for one month.
- All labor disputes are considered by the Main Department of Residents and Foreign Affairs (there are no trade unions in the country).
- Another important aspect is Wage Protection System (WPS). This means that a foreign worker will receive their salary regardless, even if the company that invited them declares bankruptcy.
There are various communities and clubs for foreign specialists in the UAE, where support can be found and new contacts can be established. Participation in such events contributes to a quick adaptation to the new environment.
Labor Reform in 2022–2023
In 2022–2023, labor reform was carried out in the UAE aimed at improving the system of labor relations and protecting workers’ rights. Its main goal was declared to create a fairer and more flexible work environment that would promote foreign investment and the country’s economic development.
Key factors of the reform were as follows:
- Working hours in government structures have been reduced (from 48 to 40 hours) as well as the working week (to 4.5 days).
- Indefinite employment contracts have been abolished. The maximum term of an employment contract today is three years with the possibility of extension. An efficient online registration system for employment contracts has also been introduced.
- After termination, an employee has the right to stay in the country for six months to find a new job. Previously, this period was 30 days.
- Since 2023, unemployment insurance has become mandatory. However, the program does not work if an employee is dismissed due to disciplinary action, resignation, changing jobs, or deportation.
- The introduction of new regulations aims to combat unjustified dismissals and illegal restriction of workers’ rights.
Job Search
You can search for a job in the UAE through recruitment agencies, websites, or internships.
Recruitment Agency
Recruitment agencies provide professional assistance to job seekers, helping them find suitable vacancies and facilitating the job search process.
One of the advantages of working with recruitment agencies is that they have a wide database of employers and up-to-date information on current vacancies. This allows for quickly finding suitable offers and contacting employers on behalf of candidates.
Recruitment agencies also provide professional consultations and assistance in resume writing. Another advantage of working with agencies is the opportunity to access information about hidden vacancies. Some companies do not publicly advertise their vacancies, but through agencies, they can offer them to potential candidates.
Websites with Job Vacancies
One of the most popular and effective ways to search for job vacancies in the UAE is to use specialized websites.
One such resource is Bayt.com – an online platform for job searching in the Middle East region, including the UAE. Here, you can find thousands of current vacancies from local and international companies. The website allows you to create a profile with your resume and receive notifications about new vacancies.
Another popular site is Indeed.ae, a global platform for job searching. Here, there are thousands of job postings of various levels of difficulty and industries. Using filters, you can refine search parameters to quickly find suitable offers.
Dubizzle.com – is a classifieds resource in the UAE, including a section for job vacancies. Here, there are official offers from both companies and individuals. The site provides the opportunity to contact employers directly and submit your resume to them.
Visas
Visas are a key aspect of employing foreign professionals in the United Arab Emirates (UAE). To work in the country, you need to obtain a work visa issued by the UAE Ministry of Labor.
The work visa has a limited validity period. In case of continued employment, the employer must submit a request for its extension several months before the document expires.
There is a special visa for job hunting, issued for two months, and a visa for freelancers. The condition for obtaining the latter is having an employment contract with a salary of at least $5,000.
In-Demand Professions
One of the most in-demand professions in the UAE is a construction engineer. The country is actively developing, new projects are being built, hence the demand for professionals in this field is immense.
IT specialists are also in high demand, especially software developers and data analysts (front-end developers, back-end developers, blockchain developers). Due to the digitization of many industries, companies need highly skilled professionals to manage information systems.
Another popular field for foreign professionals is tourism and hospitality. The UAE attracts millions of tourists every year, and the demand for workers in this industry is constantly growing.
Another in-demand field for foreign professionals is finance and banking. With the development of the UAE economy, companies need professionals capable of managing finances and investments.
Realtors, product designers, sales representatives, and marketers are also worth mentioning.
Salary and Expenses
The average salary in the UAE is $3,500 to $4,000. When signing an employment contract, the employer must specify the salary amount, its structure (base salary, allowances, bonuses), and frequency of payment. Employers are obligated to pay salaries on time according to the contract. Dubai ranks first in terms of average salary, while the Emirate of Umm Al-Quwain ranks last.
However, one should not forget about the cost of living in this Middle Eastern country. For example, monthly expenses including rent for a one-bedroom apartment will range from $1,700 to $1,900. Some specialists have their apartment rent paid by the employer, or the employer provides free accommodation for the duration of their stay and work in the UAE. However, such cases are not so common.
Taxes
The UAE has one of the most lenient tax regimes for individuals. There is no personal income tax for foreign professionals, no tax on interest, dividends, inheritance, or gift transfers.
Most companies are also exempt from traditional tax payments (except for the banking and oil and gas sectors, tourism). There is no corporate taxation here.
Conclusion
At GenZone, we are committed to empowering Canadian entrepreneurs and professionals to experience the myriad benefits that the UAE has to offer. Whether you’re a high net worth individual or someone seeking a better quality of life, the UAE presents an unparalleled opportunity.
Our specialists will assist with the preparation of all necessary documents, including work visas, and provide advice on temporary and permanent residency issues. We’ll guide you through CRA non-residency requirements, Form NR73 filing, departure tax considerations, and utilizing the Canada-UAE Double Taxation Agreement to minimize your tax obligations.
Our experts will explain in detail all the employment rules in the UAE. We will tell you about the necessary steps when looking for a business setup in Dubai or other emirates, requirements for employment contracts, and the procedure for obtaining a work permit. This information will be useful for anyone who wants to start their business in the UAE and take it to a new level.
Book a call with GenZone, and let us guide you through the process of setting up your company, obtaining residency visas, and embarking on a new chapter of success in the UAE. We eagerly anticipate being part of your transformative journey!
