Working in the UAE Without an SIRA License: Understanding the Rules and Fines

Introduction

Expats living and working in the United Arab Emirates (UAE) often have a myriad of questions regarding various rules and regulations. One of the commonly asked questions is whether it is permissible to work in the UAE without an SIRA (Supreme Isaac Revenue Authority) license. This article aims to demystify the regulations surrounding SIRA licenses and outline the potential fines if such a rule is breached.

Can You Work in the UAE Without an SIRA License?

Yes, it is possible to work in the UAE without an SIRA license. The UAE does not enforce a blanket requirement for every employee to hold a SIRA license for them to legally work within the country. However, it is crucial to understand the specifics of this.

Employment Regulations in the UAE

According to the UAE's Federal Law No. 8 of 1980 regarding the Regulation of the Employment of Expatriate Workers, there is a distinction between the requirements for employment permits and SIRA licenses. An employment permit is mandatory for expatriate workers, and without it, employment is illegal. However, the SIRA license, which is necessary for employees engaged in certain professions, is not mandatory for all workers.

Professions Requiring SIRA Licenses

Various professions, such as accounting, finance, real estate, and others, may require a SIRA license for legal employment. However, not all jobs fall under this category, and employees in these professions without a SIRA license may still be working legally, provided they have the appropriate employment permit.

Potential Fines for Working Without an SIRA License

While it is possible to work in the UAE without a SIRA license, non-compliance with the necessary regulations can lead to penalties. If it is discovered that an employee has been working without the appropriate employment documents, such as a SIRA license, they may face fines.

Consequences of Non-Compliance

The specific amount of the fine can vary, and it is currently around 5,000 UAE dirhams (dhs). This fine applies to both the employer and the employee, as both parties are responsible for ensuring compliance with the UAE's labor laws. Employers may also face additional penalties, as they are ultimately responsible for their employees' compliance with these regulations.

Guidelines for Compliance

To avoid potential fines and legal issues, employers and employees should ensure that they are in compliance with the UAE's employment laws. Here are some key guidelines:

Employers

Issue employment permits to all expatriate workers. Obtain SIRA licenses for employees in professions that require them. Ensure all documents are up to date and in compliance with the Ministry of Human Resources and Emiratisation (MOHRE).

Employees

Obtain and verify the authenticity of employment permits. Inquire if a SIRA license is required for the role and obtain it if necessary. Keep all documentation updated and accessible in the event of an inspection.

Conclusion

While it is permissible to work in the UAE without a SIRA license, it is essential to understand the specific requirements and potential consequences. Ensuring compliance with the UAE's regulations can help avoid fines and legal issues. Employers and employees alike should be proactive in checking and maintaining the necessary documentation.

For further guidance, you may refer to the Ministry of Human Resources and Emiratisation (MOHRE) website or consult with a legal or employment advisor.