Simply, one can get into the business of establishing a manpower recruitment agency in Dubai and that alone has the potential of being a money maker. As your company grows, you will require other personnel to be hired to ensure that the company meets its demand and income expansion accrued by new knowledge. But even if a person is an experienced businessman, the latter doesn’t make him or her an expert on how to select the most fitting candidates or connect them to shortages.
This is why having making the new hire, the majority of business owners turn to professionals with recruiters’ assistance. Especially in the case of Dubai, the employment laws are rigid and the contacts are formulaized, which makes the process even more complicated.
Out here, with the constantly expanding and diverse business population, recruitment services are always a commodity that is needed. Thus, if talent is to be matched to the job roles, there is a great opportunity in Dubai, UAE.
Dubai recruitment consultancy license types
A recruitment company established in Dubai can obtain two types of recruitment licenses.
Brokerage License
Organizations that engage in activities such as mediation or hiring UAE and foreign individuals or UAE foreign companies, must acquire a brokerage license. In other words, a brokerage license will enable the recruitment firm to:
Process employment applications from foreign and UAE nationals
Receive requests from businesses looking to hire employees from the UAE or elsewhere.
Create a database of available jobs and post new ones as they become available.
Maintained a database of candidates and employers and exchanged information as needed.
Temporary recruitment license
A temporary recruitment license grants the power to the recruitment agency to shortlist, interview, and submit the employer’s number of sought positions. Here the employer can have specific conditions that he or she wants to employ workers from other countries specifically from UAE.
This requirement enables the recruitment agency to source for and employ employees locally or internationally. In such cases, the Dubai recruitment agency will act or support the status of the foreign workers as a sponsor.
Different types of Dubai job recruitment agencies
The following are the various types of Dubai job recruitment agencies:
Traditional recruitment firms
These businesses also concentrate on meeting various general skill requirements.
Executive search firms
These organizations exist to fill higher-level positions in companies with higher-paying jobs.
Expert organizations
They also provide subject matter experts from their database.
Labor recruiters on a large scale
Basically, they provide employers with a workforce.
Temporary recruitment agencies
Agencies that act as an employer in the hiring and placement of candidates.
How to start a recruitment agency in Dubai
A recruitment license holder company in Dubai primarily recruits ex-pats. However, a recruitment license allows you to place employees in permanent positions in businesses.
The Dubai MR1283 has strict guidelines for the protection of workers who seek employment through an employment business or a recruitment agency.
- Deposit Requirement: Employment agencies must deposit 2,000 Dirhams for each employee brought to Dubai as a guarantee.
- Accountability: Agencies are held accountable for their obligations to workers, ensuring transparency.
- Qualified Staff: Recruitment agencies must employ qualified employees and experienced managers.
- Fee Restrictions: The Labour Ministry has set limits on the fees that recruitment agencies can charge potential clients.
- Contract Clarity: Agencies must clearly outline the contract terms and conditions, along with employees’ responsibilities.
- Record Keeping: Agencies are required to maintain employee records for the past three years.
- Freezone Option: Expatriates can establish recruitment agencies in the Dubai Freezone, with Ministry approval for hiring foreign professionals who must have a clean criminal record.
- Licensing Law: According to the 2011 Law MR1283 issued by the Ministry of Labour, the government allows licensing for Private Employment Agencies, enabling foreign outsourcing companies to operate in Dubai.
Steps to start a recruitment agency in Dubai
The following steps are required to start a recruitment agency in Dubai
1. Select a company name to start a recruitment agency in Dubai
Specifically, choosing a trading name that complies with the UAE’s naming criteria.
2. Submit the documents required start a recruitment agency in Dubai
To obtain a license to open a recruiting agency in Dubai, apply for a recruitment license and submit the following documents to the Ministry of Human Resources and Emiratization:
Copies of the company’s shareholder’s passport(s).
A photocopy of the applicant’s family tree.
Copies of the nationals’ ID cards.
A code of ethics statement.
The Trade Register should receive a copy following the trade name application.
The shareholders’ written statements on the company’s formation.
A layout of the location of the employment agency.
3. Apply for a visa
After submitting your license application meanwhile you can apply for a visa through our Dubai visa services.
4. Cost to start a recruitment agency in Dubai
Because every business is unique, it is difficult to provide a definitive answer. The price can be influenced by your company’s size, setup, and location. Generally speaking, the cost of business setup in freezone starts 17,900* and cost of business setup in mainland starts 18,500*.
5. Establish a business bank account
Finally, you can apply for a corporate banking account.
Conclusion
A commercial license is usually required to start a recruitment agency in Dubai and the UAE. You can also apply for a recruitment agency license directly to the Department of Economic Development (DED) or to one of the UAE’s many free zones.
Plus UAE Business Setup can assist you in establishing a manpower recruitment agency in Dubai. Be it the right location and jurisdiction for your recruitment agency’s office setup, acquiring the appropriate recruitment licenses, or our experts can answer all questions about business setup services. Please contact us if you have any questions about starting a business in Dubai; we will gladly assist you. Reach out to us on call at +97124919050, send us a WhatsApp message at +971561033299, or send us an email at marketing@plusuae.com