25Apr

UAE Recruitment Agency Licensing: The Ministry of Human Resources and Emiratisation (MOHRE) has officially introduced six key regulatory conditions for recruitment agencies in the UAE. This update marks a significant shift in how employment intermediation and temporary staffing agencies are licensed and operated across the country.

With these new UAE Recruitment Agency Licensing guidelines, the UAE aims to enhance transparency, enforce ethical recruitment practices, and protect both employers and job seekers from exploitation and malpractice.

If you’re planning to open or renew a recruitment agency licence in the UAE in 2025, here’s everything you need to know to stay compliant under the updated regulations.

UAE Recruitment Agency Licensing: New 2025 Guidelines

Why New Recruitment Licensing Rules?

UAE Recruitment Agency Licensing: Recruitment agencies in the UAE play a vital role in facilitating job placements and supplying temporary labour. However, the increasing complexity of the job market and global mobility has led to rising concerns over illegal practices, worker exploitation, and unqualified agents.

To address this, MOHRE has tightened licensing procedures to ensure that only reputable, financially sound, and legally compliant agencies operate in the country. These new rules are part of the UAE’s broader strategy to improve the labour market and align with international recruitment standards.

Types of Recruitment Agencies Affected

UAE Recruitment Agency Licensing: The updated guidelines apply to agencies involved in:

  • Employment intermediation: Facilitating job matches between employers and job seekers.

  • Temporary employment or outsourcing: Hiring workers directly to deploy them to third-party businesses under the agency’s sponsorship.

Whether you are offering full-time recruitment, part-time placements, or short-term labour supply services, you must comply with the new licensing framework.

MOHRE’s Six Mandatory Licensing Conditions

UAE Recruitment Agency Licensing: Here are the six core requirements every agency must meet before obtaining a recruitment licence in the UAE:

1. Criminal Record Clearance

Requirement:
The applicant and, in the case of legal entities, any partners—must not have prior convictions for:

  • Crimes involving dishonesty

  • Human trafficking

  • Labor-related violations

Eligibility clause:
Applicants are eligible if they’ve been legally rehabilitated or at least one year has passed since being convicted and fined.

Why it matters:
This ensures only trustworthy individuals run recruitment agencies, strengthening ethical standards in the hiring ecosystem.

2. Mandatory Bank Guarantee

Requirement:
Agencies must submit a bank guarantee, depending on the type of licence:

  • AED 300,000 for employment intermediation agencies

  • AED 1,000,000 for temporary staffing agencies or combined licenses

Purpose:
This financial security protects workers’ rights and ensures agencies can meet contractual obligations.

3. Submission of a Credit Report

Requirement:
Applicants must provide a credit report from a recognised UAE authority.

Objective:
To confirm that the agency is financially stable and capable of operating in a reliable and sustainable manner.

4. Conflict of Interest Declaration

Requirement:
Applicants or partners must not be current MOHRE employees or closely related (spouse or second-degree relative) to anyone employed by the ministry.

A signed declaration must accompany the licence application.

Rationale:
This prevents conflicts of interest and promotes impartial regulation within the recruitment sector.

5. Dedicated Business Premises

Requirement:
Applicants must maintain a clear and specific physical address that is suitable for recruitment operations.

Conditions:

  • Shared or virtual offices are not accepted.

  • The location must be registered under the applicant’s name and approved by local authorities.

Why it’s required:
A physical location increases agency traceability, professionalism, and accessibility for inspections or client visits.

6. Accurate Documentation

Requirement:
All supporting documents must be

  • Up-to-date

  • Valid

  • Free of errors or misinformation

Documents include:

  • Emirates ID and passport copies

  • Trade name reservation

  • MoA (Memorandum of Association)

  • Ejari (tenancy contract)

  • Academic qualifications of managerial staff

Submitting inaccurate or fraudulent documents can lead to rejection or blacklisting.

Steps to Apply for a UAE Recruitment Agency Licence

Steps to Apply for a UAE Recruitment Agency License

UAE Recruitment Agency Licensing: If you meet the six conditions outlined above, here’s how to apply for your licence under the new guidelines:

Step-by-Step Process

  1. Log in to the official MOHRE portal using your UAE Digital Identity (UAE PASS).

  2. Submit a service request for recruitment agency licensing.

  3. Upload all required documents, including:

    • Trade name reservation

    • Office lease (Ejari)

    • Bank guarantee

    • Credit report

    • Criminal clearance certificate

    • Educational documents

  4. Wait for feedback from MOHRE and respond to any requests for missing documents or clarifications.

  5. Once approved, pay the licensing fees and submit your bank guarantee or insurance.

  6. Receive your licence and begin legally operating as a recruitment agency.

Additional Guidelines for Agencies

UAE Recruitment Agency Licensing: To maintain your licence and remain in good standing, MOHRE expects agencies to:

  • Adhere to fair recruitment practices

  • Never charge job seekers placement fees

  • Maintain transparent employment contracts

  • Submit timely financial reports and renewals

Benefits of the New Licensing System

UAE Recruitment Agency Licensing:

For Job Seekers:

  • Reduced risk of scams and illegal charges

  • Transparent employment terms

  • Better agency accountability

For Employers:

  • Access to verified recruitment partners

  • Greater protection from fraudulent hires

  • Legal peace of mind

For the Industry:

  • Stronger professional standards

  • Increased trust in UAE’s recruitment sector

  • Improved international partnerships

Penalties for Non-Compliance

UAE Recruitment Agency Licensing: Agencies that violate licensing conditions or operate without approval may face:

  • Fines of up to AED 100,000

  • License suspension or cancellation

  • Blacklist from operating in the UAE

  • Legal action and criminal charges

MOHRE also conducts random inspections, so ongoing compliance is crucial.

License Validity and Renewal

  • UAE recruitment licences are typically valid for one year.

  • Renewal must be initiated at least 30 days before expiration.

  • Delays in renewal or document lapses may result in penalties or suspension.

Licensing Costs
Fee ItemEstimated Cost
Trade Name ReservationAED 620
Initial ApprovalAED 1,200
Licensing FeeAED 7,000–15,000
Bank GuaranteeAED 300,000–1,000,000
Ejari (Tenancy)AED 3,000–5,000
Insurance & Labor FileAED 2,000–4,000

Note: Costs may vary slightly depending on the emirate (Dubai, Abu Dhabi, Sharjah, etc.) and the type of licence.

Final Thoughts

UAE Recruitment Agency Licensing: The UAE’s new recruitment agency licensing rules in 2025 reflect the government’s commitment to ethical, transparent, and efficient employment practices. These six conditions are designed to filter out unqualified operators and provide both employers and workers with safe, reliable hiring pathways.

If you’re in the recruitment business or planning to start one in the UAE, staying informed and compliant with MOHRE’s guidelines is no longer optional; it’s essential.

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