Dr. Ali Bin Abdullah Al Ka'abi, Minister of labour and Social Affairs, has issued ministerial decision No. 826 of 2005 setting the new rules and fees of the labour sponsorship transfer.

Sponsor Change
The decision was made after reviewing Federal Law No. 1 of 1972 regarding the jurisdictions of ministries and the amended decisions thereof, Federal Law No. 6 of 1973 regarding expatriates' entry and residence and amended laws thereof, and Federal Law No. 3 of 1977 regarding the recruitment of expatriate workers.

The decision was also issued after reviewing Federal Law No. 8 of 1980 regarding the regulation of labour relations and amended laws thereof, and Cabinet decision No. 18 of 2005 regarding sponsorship transfer and renting of sponsored workers and payable fees.

Transaction fee
Category A
Category B
Category C
Approval of internal work permit for PhD and MA holders
Dh1, 500
Dh2, 500
Dh3, 500
Approval for internal work permit for holders of BA or equivalent
Dh3, 000
Dh 3,500
Dh4, 000
Approval for internal work permit for other labour categories
Dh5, 000
Dh5, 500
Dh6, 000
Approval for internal work permit for workers above 60 years
Dh5, 000
Dh5, 000
Dh5, 000
Approval for internal work permit for workers moving from an establishment to another one owned by the same sponsor
Dh500
Dh500
Dh500

Article 1 of the decision states that the transfer of sponsorship will be in compliance with conditions, rules and procedures stipulated in this decision.

Article 2 says that expatriate workers can change their sponsorship under the following conditions:

  • The worker must have a valid residence visa stamped in his passports.
  • The worker must have valid labour card
  • It should be insured that the job for which the change of sponsorship is required, cannot not be filled by UAE national or GCC jobseekers registered with the competent authorities.
  • Workers must have spent a specific period of time with their current sponsors before changing jobs.

The period is calculated from the date the worker's labour card was is issued, and is to be calculated for all categories as follows:

  • Professionals with Masters and PhD degrees must have spent at least one year with their current sponsors. They are allowed to transfer their sponsorship for unlimited number of times during their tenure in the UAE.
  • Workers with a Bachelors degree or its equivalent must have spent at least two years with their present sponsors before changing jobs. They are allowed to change their sponsorship twice during their tenure in the country.
  • Other categories with lower qualifications must have spent at least three years with their current sponsors. They are allowed to transfer their sponsorship once during their stay in the country.
  • It should be insured that the job for which the change of sponsorship is required, comply with the qualifications and experiences of the worker as well as with the establishment's activity.
  • The worker must first get the approval of his present sponsor and the new sponsor's consent as well.

Article 3 specifies fees for sponsorship transfer as follows:

Article 4 says that other categories except holders of PhD and MA degrees can be exempted from the condition of service period with their current sponsors after spending one year at least in their jobs, if they pay Dh3, 000, in addition to fees payable for sponsorship transfer.

Article 5 says that all labour categories can be exempted from the condition of service period if they pay Dh3,000, in addition to fees payable for sponsorship transfer, and without the need to serve one year with their current sponsors as stipulated in article 4, under the following conditions:

  • If the company is closed down or announced its bankruptcy upon a court ruling.
  • If the Labour Ministry cancels the establishment's card.
  • If the ownership of a company has been transferred to another owner.
  • If a company has been merged or incorporated within another company.
  • If their company's owner dies, leading to the closure of the company.
  • If the company has been divided to heirs of the owner after his death.
  • In case a stake of the company has been sold to another company.

Article 6 states that the Labour Ministry is allowed to transfer sponsorships of all labour categories without referring to the current sponsor or taking his consent, upon a request from the new sponsor with the exemption of the service period, provided that fees payable for sponsorship transfer and exemption are fully paid, under six circumstances.

Under this article, the ministry has allowed the conditional transfer of sponsorships for all labour categories without referring to the current sponsor, or taking his approval under the following six circumstances:

  • The current company fails to pay salaries for more than three months. This must be approved by the Labour Inspection Department at the ministry.
  • If ownership of a company has been transferred to another owner. This must be proved by documents showing the change of ownership.
  • If their company is closed down administratively, by a court ruling, or upon a report by the Labour Inspect Department.
  • If Their Company's owner dies, leading to the closure of the company. This must be proved by the ministry.
  • If workers file a complaint against their employers at the ministry and their complaint is then referred to the courts, it is then up to the courts to grant workers permission al