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Navigating the full employment lifecycle across civil law, common law and Sharia-influenced jurisdictions — from executive hiring and workforce structuring to termination, redundancy and cross-border mobility.
For multinational companies operating across Europe and the Middle East, employment law is not a back-office compliance function — it is a strategic risk area that affects every aspect of business operations. The differences between the French Code du Travail (one of the most employee-protective regimes in the world), the UAE Labour Law (Federal Decree-Law No. 33 of 2021), the DIFC Employment Law (a separate common-law regime), and Saudi Arabia's Labour Law and Saudisation framework create a compliance landscape where a policy that is standard in one jurisdiction is unlawful in another.
GSDA Legal Consultants advises multinational employers, GCC-based enterprises, and senior executives on the full spectrum of employment and labour law matters. Our employment practice covers workforce planning, employment contract drafting, executive service agreements, non-compete and restrictive covenant strategy, workplace policies and handbooks, performance management, disciplinary processes, termination and redundancy programmes, end-of-service gratuity calculations, Emiratisation and Saudisation compliance, workforce restructuring and collective consultation, and employment tribunal litigation.
We bring particular depth to the employment law challenges that CEOs and CHROs face in cross-border operations: harmonising employment terms across jurisdictions while respecting mandatory local law provisions, structuring redundancy programmes that comply with French consultation obligations and UAE notice requirements simultaneously, managing executive departures with enforceable non-compete arrangements, and implementing workforce nationalisation strategies that satisfy Emiratisation and Nitaqat quotas without compromising operational capability.
Our team includes lawyers qualified in French labour law, UAE employment law and DIFC employment law, enabling us to advise on the full regulatory landscape without relying on external local counsel. For Saudi Arabia, Bahrain, Kuwait, Oman and Qatar, we coordinate with our regional offices to deliver integrated, jurisdictionally consistent advice.
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The challenges you face
Companies that miss Emiratisation targets (2% annual increase for 50+ employee companies) face AED 7,000-8,000 monthly fines per unfilled position — and in Saudi Arabia, Red-band Nitaqat classification blocks visa issuance, work permit renewals and government contract eligibility.
Terminating employees without following jurisdiction-specific procedures — French economic redundancy consultation requirements, UAE Labour Law valid-reason requirements, DIFC at-will notice provisions — triggers arbitrary dismissal claims, compensation awards and reputational damage.
Non-compete clauses that are standard in English-law contracts are frequently struck down by UAE courts (maximum 2 years, geographic and activity limitations required) and French courts (must include financial compensation during the restriction period) — leaving companies without the restrictive covenant protection they assumed they had.
Multinational employers conducting workforce reductions across France, the UAE and Saudi Arabia simultaneously must navigate three completely different procedural frameworks — French CSE consultation, UAE MOHRE notification, Saudi Nitaqat implications — with no harmonised process.
Miscalculating UAE end-of-service gratuity — 21 days per year for the first five years, 30 days thereafter, capped at two years' salary — is one of the most common employment disputes in the region, particularly where allowances, commissions and benefits-in-kind are incorrectly excluded from basic salary calculations.
Senior executives leaving to competitors with client relationships, strategic information and team connections create immediate commercial damage — yet garden leave provisions, non-solicitation clauses and confidentiality obligations are frequently unenforceable because they were drafted under the wrong legal framework.
We draft and negotiate executive service agreements, C-suite employment contracts, long-term incentive plans, deferred compensation arrangements, golden parachute provisions and severance packages — calibrated to the governing law and tax jurisdiction to maximise enforceability and retention effectiveness.
We advise on the full range of employment termination scenarios — individual dismissals, collective redundancies, site closures, outsourcing transitions and RIF programmes — navigating French CSE consultation obligations, UAE MOHRE procedures, DIFC notice-period mechanics and Saudi Labour Law termination grounds.
We help employers develop compliant workforce nationalisation strategies — Emiratisation target planning, Nafis programme integration, Nitaqat band optimisation, Saudisation recruitment pipelines and MOHRE/HRSD engagement — that satisfy regulatory requirements while maintaining operational capability.
We draft and enforce non-compete, non-solicitation, non-dealing and confidentiality clauses that are tailored to each jurisdiction's enforceability requirements — including the French requirement for financial compensation during restriction, UAE Labour Law Article 10 limitations, and DIFC reasonableness standards.
We design and harmonise employee handbooks, workplace policies, disciplinary procedures, grievance mechanisms and flexible working frameworks across multiple jurisdictions — ensuring compliance with French Code du Travail mandatory provisions, UAE Labour Law requirements and GCC-specific cultural and regulatory norms.
We represent employers and senior executives before French Conseils de Prud'hommes, UAE Labour Courts, DIFC Small Claims Tribunal (up to USD 500,000 for employment claims), MOHRE conciliation proceedings and Saudi Labour Committees — with track records of successful outcomes in wrongful dismissal, discrimination, restrictive covenant enforcement and gratuity disputes.
We advise on work permit strategies, visa sponsorship, secondment arrangements, posted-worker compliance (French detached worker rules), Saudi iqama requirements, UAE Golden Visa eligibility, and the employment tax implications of cross-border assignments between France, the UAE and Saudi Arabia.
We conduct workplace investigations into allegations of harassment, discrimination, fraud, whistleblower complaints and code-of-conduct breaches — applying investigation methodologies that satisfy French, UAE and Saudi procedural requirements and producing reports that withstand tribunal scrutiny.
Under Federal Decree-Law No. 33 of 2021, an employee with over one year of service is entitled to end-of-service gratuity: 21 days' basic salary for each of the first five years, and 30 days' for each subsequent year. The total gratuity cannot exceed two years' salary. Crucially, the new law applies to all employment contracts (no more unlimited vs limited distinction for gratuity purposes) and employees who resign are entitled to full gratuity if they have served more than one year. Deductions for unpaid notice periods are permitted. GSDA advises employers on accurate gratuity calculations and disputes over final settlement amounts.
Under Ministerial Resolution No. 279 of 2022, private sector companies with 50+ employees must increase their Emirati workforce by 2% annually in skilled roles. Non-compliant companies face a monthly fine of AED 7,000 per unfilled Emirati position (increasing to AED 8,000 in 2025). Companies must also meet Emiratisation targets to access government contracts and certain licensing benefits. The government has introduced the Nafis programme to subsidise Emirati salaries and training. GSDA advises employers on compliance strategies, Emirati recruitment programmes, and defending against MOHRE enforcement actions.
No. Under UAE Labour Law Article 25, any amendment to the employment contract (including salary reduction) requires the employee's written consent. Unilateral salary cuts constitute a constructive dismissal, entitling the employee to claim arbitrary dismissal compensation of up to three months' wages plus end-of-service gratuity. During the COVID-19 period, MOHRE introduced temporary measures allowing salary reductions with employee agreement and government notification, but these were time-limited. Employers facing financial difficulty should pursue consensual restructuring, temporary leave arrangements, or redundancy processes. GSDA advises on lawful workforce cost reduction strategies.
Nitaqat is Saudi Arabia's workforce nationalisation programme administered by the Ministry of Human Resources and Social Development. Companies are classified into colour bands — Platinum, Green (High/Medium/Low), Yellow, and Red — based on their Saudisation percentage relative to their size and sector. Companies in Red and Yellow bands face restrictions on visa issuance, work permit renewals, and government contract eligibility. Quotas vary by sector: retail requires 70%+ Saudisation for certain activities, while construction has lower thresholds. GSDA advises employers on Nitaqat compliance strategies, restructuring to improve band classification, and challenging HRSD enforcement decisions.
The DIFC Employment Law (DIFC Law No. 2 of 2019) is a separate common-law regime that applies exclusively within the DIFC. Key differences include: the DIFC permits 'at-will' termination with notice (no requirement to show cause), non-compete clauses are enforceable if reasonable in scope and duration (up to 12 months post-termination), and the DIFC Small Claims Tribunal handles employment claims up to USD 500,000. UAE mainland Labour Law requires a valid reason for termination, limits non-compete to 2 years, and routes disputes through MOHRE then UAE courts. GSDA advises employers operating across both the DIFC and mainland on harmonising employment terms.
Federal Decree-Law No. 33 of 2021 introduced six employment models: full-time, part-time, temporary, flexible, remote, and job-sharing. Part-time employees accrue leave and gratuity pro rata. Flexible work allows employees to work variable hours across different days. The law also permits employees to work for multiple employers simultaneously, subject to non-compete restrictions and employer notification. Ministerial decisions have provided further detail on work permit categories for each model. GSDA advises companies on implementing flexible work policies, drafting multi-employer agreements, and managing associated compliance obligations.
Under the French Labour Code, economic redundancy (licenciement économique) requires a genuine economic cause — such as financial difficulty, technological change, or business reorganisation — and the employer must follow a strict procedural framework including consultation with the CSE (works council), individual notification, reclassification efforts within the group, and priority rehiring obligations. Severance pay is a minimum of one-quarter of a month's salary per year of service for the first 10 years and one-third thereafter. Employees with 8+ months' tenure are entitled to statutory severance. GSDA advises multinational employers on conducting French redundancy processes in compliance with the Code du Travail.
Foreign employees in Saudi Arabia require an iqama (residence permit) sponsored by their employer through the Qiwa platform. The Ministry of Human Resources issues work permits subject to Nitaqat compliance and available visa allocation. Premium residency (Saudi Green Card) allows foreign nationals to live and work independently without employer sponsorship. The SAGIA (now Ministry of Investment) investor visa enables foreign business owners to obtain residency. Recent reforms have simplified job mobility, allowing employees to transfer between employers without the previous employer's consent under certain conditions. GSDA advises employers on visa strategies, premium residency applications, and workforce compliance.
GSDA managed a 200-person restructuring across our Paris, Dubai and Riyadh offices simultaneously. They navigated French works council consultation, UAE MOHRE procedures and Saudi Nitaqat implications in parallel — completing the entire programme in four months with zero litigation.
CHRO — Global Professional Services Firm, Dubai Regional Hub
The GSDA advantage
Multi-system employment expertise — our lawyers are qualified in French labour law, UAE employment law and DIFC employment law, enabling us to advise across all three systems without external referrals, ensuring consistency and eliminating coordination risk.
Workforce nationalisation depth — we have designed Emiratisation and Saudisation compliance programmes for companies with 50 to 5,000+ employees, achieving and maintaining Green-band Nitaqat classification and Emiratisation targets while preserving operational effectiveness.
Executive-level sensitivity — we handle C-suite exits, board disputes, non-compete enforcement and reputational management with the discretion and commercial awareness that senior appointments require.
Redundancy programme execution — we have managed multi-jurisdictional redundancy programmes across France, the UAE and Saudi Arabia simultaneously, coordinating the different procedural timelines, consultation requirements and documentation to execute workforce reductions cleanly.
Integrated with every practice area — employment issues arise in M&A transactions (TUPE/employee transfer), corporate restructurings (redundancy), construction (subcontractor labour compliance) and regulatory matters (whistleblower protection) — our employment lawyers work across all of these contexts.
