Table of Contents

Frequently Asked Questions

What is activity code 9700 and what does it cover

Activity code 9700 — Households as Employers of Domestic Personnel is a recognised UAE business licence activity that formalises the relationship between an employing household or entity and the domestic staff it hires directly. It covers roles such as housekeepers, drivers, nannies, cooks, and gardeners.

This activity is not a staffing agency licence. It does not permit the licence holder to supply workers to third parties. Its sole purpose is to register the direct employment relationship between the employer and their household staff.

Who is the Households as Employers of Domestic Personnel licence designed for

The licence is particularly relevant for three types of principals: high-net-worth individuals managing staff across multiple properties, family offices that centralise household administration, and property management entities overseeing residential staff in corporate or villa communities.

Any individual or entity that employs domestic workers in the UAE without the correct employer registration creates legal exposure under UAE labour law, making this licence essential for anyone operating at scale.

What is Federal Law No. 10 of 2017 on Domestic Workers and why does it matter

Federal Law No. 10 of 2017 on Domestic Workers sets binding obligations on all registered employers of household staff in the UAE. It covers written contract requirements, worker protections, accommodation standards, medical insurance, annual leave, and end-of-service gratuity entitlements.

Compliance is not optional. Enforcement by the Ministry of Human Resources and Emiratisation (MOHRE) has increased steadily in recent years, meaning employers who fail to meet these standards face genuine legal and financial consequences.

What are the key obligations an employer must meet under UAE domestic worker law

Registered employers of domestic personnel must fulfil several core obligations under UAE law. These include:

  • Issuing a written employment contract in the worker's own language
  • Providing medical insurance cover
  • Paying end-of-service gratuity after one year of qualifying continuous service
  • Providing suitable accommodation and meals, or a cash allowance in lieu
  • Granting annual leave and a weekly rest day
  • Never confiscating a worker's passport — this is a criminal offence under UAE law

These requirements align with the MOHRE domestic worker framework and apply to all qualifying household employees.

How are domestic worker visas processed and who can sponsor them

Domestic worker visas are processed through the Immigration and Citizenship Authority (ICP). The sponsoring employer must hold valid UAE residency or a recognised legal entity status at the point of sponsorship.

Free zone licence holders, including those registered through Meydan Free Zone, can sponsor domestic staff subject to MOHRE and immigration authority approvals. Because sponsorship quotas and conditions are periodically updated, it is important to confirm current requirements directly with the relevant authorities before proceeding.

Can a free zone company in Dubai act as an employer of domestic personnel

Yes. Free zone licence holders — including entities registered through Meydan Free Zone — are able to sponsor domestic staff under activity code 9700, provided they obtain the necessary approvals from MOHRE and the immigration authority at the time of application.

However, sponsorship quotas and eligibility conditions are subject to periodic revision. Prospective employers should verify the current rules with the relevant authorities rather than relying solely on historical precedent. The Ministry of Economy and Tourism, Establishing companies provides consolidated regulatory guidance.

Why does operating without the correct employer registration create legal risk in the UAE

UAE labour law and the domestic worker framework under Federal Law No. 10 of 2017 impose obligations specifically on registered employers. Operating outside this framework — for example, employing domestic staff without a valid licence or recognised entity status — leaves the individual or entity without a compliant legal basis for the employment relationship.

This creates exposure to penalties, visa and sponsorship complications, and potential liability if a worker raises a complaint with MOHRE. As enforcement has increased in recent years, the risk of remaining unregistered has grown correspondingly.

Where can employers find official regulatory guidance on domestic worker employment in Dubai

The primary sources of official guidance are MOHRE, which governs employment contracts, worker protections, and employer obligations, and the Immigration and Citizenship Authority (ICP), which handles domestic worker visa processing.

The Ministry of Economy and Tourism, Establishing companies provides consolidated regulatory information covering both federal and emirate-level requirements. The Dubai Statistics Center also publishes data on household expenditure and domestic service employment trends across the emirate.

How to Start a Domestic Personnel Employer Business in Dubai

Dubai's household sector employs hundreds of thousands of domestic workers. The businesses that place and employ them operate under a tightly regulated framework that rewards those who get the setup right from the start.

This guide covers the license, structure, compliance duties, and practical steps you need to run a domestic personnel employer business in Dubai.

Key Stats at a Glance

Governing law Federal Law No. 10 of 2017 (Domestic Workers Law)
Regulatory body Ministry of Human Resources and Emiratisation (MOHRE)
Mainland license authority Dubai Department of Economy and Tourism (DET)
Foreign ownership 100% permitted on mainland under UAE commercial law reforms – Invest in Dubai
Workers covered Housemaids, nannies, drivers, cooks, household helpers
Payroll compliance Wage Protection System (WPS) enrollment required

What a Domestic Personnel Employer Business Actually Does

Infographic: How to Start a Domestic Personnel Employer Business in Dubai

A domestic personnel employer business employs domestic workers and supplies them to UAE households under a regulated model. The business is the legal employer of record. It handles contracts, insurance, payroll, and welfare duties for each worker it places.

This is different from a standard manpower or staffing agency. A manpower agency typically supplies workers to commercial clients, factories, or offices. A domestic personnel employer specifically serves private households, and that distinction matters because it triggers a separate legal framework under the Domestic Workers Law.

Workers covered under this activity include housemaids, nannies, drivers, cooks, and general household helpers. The license falls under a specific activity code within the DET system for mainland businesses, or under the approved activity list for free zone businesses. Before you commit to a jurisdiction, confirm the exact code is available and active there.

You can browse the Meydan Free Zone business activities list to check which codes are available before you start the setup process.

Mainland vs Free Zone: Which Structure Works Here

This is the biggest choice you will make when setting up. Let the nature of your clients decide it, not the cost.

A mainland license from DET lets you work directly with UAE households and government contracts. Because your clients are private residents inside the UAE, a mainland license is the natural fit for an active domestic placement business. You can sign contracts, employ workers, and operate across Dubai without restriction on who you serve.

A free zone setup through Meydan Free Zone suits a holding or consultancy model. If you are setting up a management entity that supports a mainland operating company, or if you want to handle the commercial and administrative side of the business from a free zone, that structure can work. But a free zone company cannot directly place domestic workers with UAE households without a mainland presence. Be clear on this before you commit.

MOHRE registration is a requirement for any business employing domestic workers on the mainland. There is no way around this. You need to be on their system before you place a single worker.

Factor Mainland (DET) Free Zone (Meydan Free Zone)
Client access UAE households and government contracts Mainly international or holding model
MOHRE registration Required Not applicable for direct placement
Foreign ownership 100% permitted 100% permitted
Office requirement Physical office required Flexi-desk options available
Best suited for Active domestic placement operations Holding, management, or consultancy

100% foreign ownership is now available on the mainland for this activity under UAE commercial law reforms. You do not need a local partner or sponsor to run this business.

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How to Set Up: Step-by-Step

The process is straightforward if you follow it in order. Skipping steps or running them out of sequence creates delays that are hard to fix later.

  • Step 1, book your trade name: Use the DET e-Services portal for a mainland company, or the Meydan Free Zone portal for a free zone one. The name must comply with UAE naming rules. You can check your company name availability before you submit.
  • Step 2, pick your activity code: Confirm the domestic personnel employer code is approved in your chosen jurisdiction before you go further. Using the wrong code causes problems at the MOHRE registration stage.
  • Step 3, submit your setup documents and get initial approval: For a mainland company, submit to DET. Documents typically include passport copies, proposed trade name, and your business plan or activity description. Initial approval is issued before the license is finalised.
  • Step 4, register with MOHRE and get your domestic worker recruitment permit: This is a separate process from the trade license. MOHRE needs to approve your business before you can legally employ or place domestic workers. Apply as soon as you have initial DET approval.
  • Step 5, open a corporate bank account: Some banks need to see your trade license and MOHRE registration before they open an account. If you need support with this, mCore includes business banking support for free zone companies.
  • Step 6, meet any required capital deposit: Check the current minimum share capital requirement for your activity with DET or your free zone. This can change, so confirm it at the time of your application.
  • Step 7, secure your office space: A mainland license needs a physical office address. A free zone setup can use a flexi-desk. Either way, you need a confirmed address before your license is issued.
  • Step 8, enroll in the Wage Protection System: WPS enrollment is a requirement for domestic worker payroll. Set this up before your first worker starts.

If you want to handle the setup without being in Dubai, Meydan Free Zone supports remote business setup for eligible structures.

Compliance: What You Must Have in Place Before You Start

This sector has real compliance weight. The Domestic Workers Law sets out clear duties for employers, and MOHRE enforces them. Get these in place before you place your first worker.

MOHRE registration

You must be registered with MOHRE as a domestic worker employer before you start operations. This is not optional and it is not something you can sort out after the fact. The registration process runs in parallel with your trade license application, so start it early.

Employment contracts

Every domestic worker you employ needs a written contract. The contract must cover working hours, duties, salary, leave entitlements, and notice periods. MOHRE has standard contract templates. Use them. Deviating from the required format creates legal risk.

Worker insurance

You must provide health insurance and personal accident cover for every worker you employ. This is a legal duty under the Domestic Workers Law, not an optional benefit. Make sure your insurance policy covers the categories of worker you place.

End-of-service entitlements

Domestic workers are entitled to end-of-service gratuity under Federal Law No. 10 of 2017. You need to account for this from day one. Build it into your cost model before you price your services.

Accommodation standards

If you are providing or arranging accommodation for workers, MOHRE sets minimum standards for space, safety, and facilities. Check the current requirements directly with MOHRE before you sign any accommodation contracts.

Wage Protection System (WPS)

WPS enrollment means your payroll is processed through a system that MOHRE can monitor. Payments must be made on time and in full. Late or short payments are flagged automatically and can trigger penalties.

Penalties for breaking the rules

Work without the right license or MOHRE registration and you risk fines, suspended operations, and damage to your name. The UAE takes domestic worker welfare seriously. Enforcement has increased in recent years, and the penalties are not minor.

For ongoing payroll and financial compliance, accounting services in Dubai through mAccounting can help you keep your books in order and stay on top of your WPS duties.

Market Opportunity and Who Your Clients Will Be

Dubai has one of the highest concentrations of high-income households in the world. A large expat population, a culture of household staffing, and strong inward migration mean demand for domestic workers is consistent and growing.

Your clients will mainly be private households, high-net-worth families, and corporate relocation packages that include household staffing as part of an executive move. Some clients come through property management firms or concierge services that refer trusted domestic staffing providers to their clients.

This sector runs on reputation. Most new business comes from referrals, not advertising. A household that trusts you will refer you to neighbours, colleagues, and family members. A single bad placement, on the other hand, travels fast. Invest in worker quality and client communication from the start. The returns are long-term and compounding.

Pricing in this market varies by worker category, placement model, and contract length. Drivers and specialist household managers command higher fees than general helpers. Some businesses operate on a placement fee model, others on a managed employment model where they remain the employer of record. The managed model carries more compliance weight but also more recurring revenue.

If you are structuring a holding or management entity to support a mainland operating company, Meydan Free Zone is a practical base. You can use it to hold intellectual property, manage contracts, or run the commercial side of the business while the mainland entity handles direct employment and placement.

Conclusion

A domestic personnel employer business in Dubai is workable and in steady demand. But it sits inside a strict regulatory framework covering MOHRE, worker welfare, and licensing. The businesses that do well here are the ones that get the structure right from day one, not the ones that patch it together after the first complaint or inspection.

Set up the right license for your model, register with MOHRE before you place anyone, meet your duties under the Domestic Workers Law, and build your reputation on reliable placements and clean employment practices. The market will follow.

Use the business cost calculator to get a clear picture of your setup costs before you commit, then speak to the Meydan Free Zone team to confirm the right license structure for your model.

References

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