Abu Dhabi Introduces New Law Allowing ADGM Firms to Hire Remote Workers

New employment regulations in Abu Dhabi have paved the way for companies in the Abu Dhabi Global Market (ADGM) to hire remote and part-time workers. The updated laws, issued by the ADGM’s Registration Authority (RA), aim to enhance clarity regarding the rights and responsibilities of employers and employees.

One of the most significant changes is the revised definition of an ‘employee,’ which now includes remote and part-time workers. These new rules apply to ADGM-regulated companies and allow remote employees to work from within or outside the UAE, provided their primary place of work is not the employer’s premises in the ADGM.

The regulations, which will come into effect on April 1, 2025, provide employers ample time to update internal policies, employment contracts, and related procedures to comply with the new requirements.

Key Provisions

• Employers are required to supply and maintain the technical equipment necessary for remote employees to perform their roles effectively.

• Employment contracts must explicitly state whether the employee is remote.

• Companies must bear the cost of work permits, residency visas, and ID cards for all employees, including remote workers.

For part-time employees, the contract must specify working hours of fewer than eight hours per day, less than five working days per week, or other arrangements that differ from standard full-time practices.

These changes are expected to bring greater flexibility to the workforce, benefiting both employers and employees in the international financial center of Abu Dhabi.

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