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Payroll & HR Outsourcing Services in Dubai, UAE

Running a business in Dubai comes with its fair share of challenges, and managing payroll shouldn’t be one of them. At Farahat & Co., we’re here to make things easier.

With over 35 years of experience, we offer this outsourcing solutions that are built around your business needs, not just numbers.

We know how important your people are to your success. That’s why we handle everything from salary processing and WPS compliance to employee records and leave tracking, accurately, efficiently, and always on time.

No more late payments, no more compliance worries, and no more headaches.

Let us take care of the back-end, so you can focus on building a stronger team and a better business.

What Are Payroll Services in Dubai?

Managing employee salaries in the UAE requires precision, legal compliance, and confidentiality. Payroll services in Dubai simplify these processes by automating salary management, ensuring Wage Protection System (WPS) compliance, and reducing administrative burden for businesses of all sizes.

Payroll services in Dubai are professional solutions that manage all employee salary processes for businesses.
These include payroll calculation, pay slip generation, and salary distribution — all while ensuring compliance with UAE labor laws and regulations.

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How Payroll Services Ensure Compliance with UAE Labor Laws

Adherence to labor law in the UAE is among the priorities of any business. The payroll service providers in Dubai assist the companies of the city to keep their legal and regulatory standards in various ways:

  • Wage Protection System (WPS): A mandatory electronic salary transfer system managed by the UAE Central Bank and MOHRE to ensure employees are paid on time through authorized financial institutions.
  • Contract and Service Level Agreements (SLAs): Providers operate under transparent agreements specifying scope, timelines, and confidentiality terms.
  • Payroll departments handle employee registration where applicable, including GPSSA registration for Emirati and GCC nationals.
  • While individuals are exempt from income tax, corporate tax may apply to mainland companies as per UAE Federal Tax Authority regulations
  • Labour Standard Compliance: Periodic audits are used to ensure compliance with recent standards set by the UAE Ministry of Human Resources and Emiratisation (MOHRE).
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Why Businesses in Dubai Need Payroll Services

Wage management  in the UAE is another area that can be outsourced to enable a company to save the administrative overheads and concentrate on the growth of the business. Providers offer:

  • ERP-integrated payroll systems hosted on secure cloud platforms.
  • More transparency through automated Reporting Tools.
  • Payroll specialists coordinate between HR and accounting departments to ensure seamless salary processing.
  • Individual SLAs of flexible delivery frequency: weekly, bi-weekly, or monthly.

The most common form of outsourcing that most organizations in Dubai use is partial outsourcing, which entails retaining employee data but using the outsourced services to do calculations and other forms of compliance auditing.
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Businesses in Dubai should invest in Payroll Services because of these reasons.

  • Wage Protection System (WPS): Guarantees timely payment by using a controlled system that is monitored by the UAE authorities.
  • Sophisticated Rules on Labor: There are frequent changes that make staying on the right track by the in-house HR hard.
  • Core Business Processes: wage is a service that leaders can outsource to concentrate on income generating processes.
  • Reduced Errors: Payroll automation minimizes human errors in salary and deduction calculations.
  • Data Security: This is an encrypted system employed by professional firms to protect information of employees.
  • Regulatory Compliance: Evade fines and audits through compliance with the laws of the UAE.
  • Time and Resource Efficiency: Automatizes business processes and reduces manual labor.
  • Risk Mitigation: Minimizes the risk of fraud or unpaid transfers of salaries.
  • Automated Reporting: Provides management level details.
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Payroll and Employee Compensation Management

Full employee compensation management is all about calculation of salary to end-of-service benefits (EOSB).

    • Calculation of Salary: makes sure that gross and net pay is taken care of according to the UAE labor law.
    • Pension Deductions: Applies mandatory GPSSA pension contributions for Emirati and GCC employees
    • Benefits Management: Covers reimbursements, allowances and incentives.
    • End-of-Service / Gratuity Management: It is calculated to determine EOSB and Gratuity benefits in the UAE based on the type of contract and the years of service.
    • Labor Remuneration for Emirati and GCC Nationals: Manages GPSSA registration and ensures 5% employee and 15% employer pension contributions are accurately processed.
    • Leave and Absence Management: Monitors maternity, sick leave among other statutory leaves as required by the law.
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What are the Sectors that commonly need payroll service providers in Dubai ?

  • Restaurant: Automated payroll is a necessity due to high turnover of employees.
  • Retail & E-commerce: Seasonal hiring regularly needs the dynamism of a payroll.
  • Hospitality & Tourism: Multi-shifts, multi-workforce can only be handled with precise attendance-based salary calculations.
  • Healthcare / Pharmaceuticals: Requires strict MOHRE and DHA/MOH compliance for medical staff salaries and benefits.
  • Construction: WPS regulation, on-site labor necessitate the third-party services.
  • Oil, Gas, and Energy: Multifaceted multi-currency remuneration of expatriates and engineers has to be dealt with by professionals.

Establishing a Business and Payroll in UAE Free Zones

When establishing a company in UAE free zones, payroll processes must comply with the respective free zone authority’s WPS and employment regulations.

Some UAE free zones follow their own WPS or internal wage systems, aligned with MOHRE or Central Bank standards.

The free zones serve wage providers that are supportive:

  • 100% Capital and Profit Repatriation.
  • Most free zones offer exemptions from corporate tax and import/export duties, subject to zone-specific regulations.
  • Effective Organization with electronic records.

Adoption of the Modern Infrastructure to reach international markets and to have the transparent system of payment to the employees.
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Top Payroll Service Providers in UAE

Startup Companies Service Providers.

  • Farahat & Co: Known for scalable payroll outsourcing services for small businesses.
  • TASC Outsourcing: Provides payroll support, staffing, and HR consulting for entry-level and mid-tier companies.
  • Emirates HR: Cloud-based HR and payroll software for startups and SMEs.
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How to Choose the Right Payroll Service Provider in Dubai

  • Knowledge of Compliance and Local Knowledge: The providers must understand the UAE Labour Law and WPS systems.
  • Technology and Features: Look for automated cloud systems with features like analytics and data backup.
  • Reliability and Support: Reliability and consistent customer support provide the company with a regular payroll cycle.
  • Scalability and flexibility: The system must grow with your staff.
  • Adherence to UAE Labor Laws and WPS: Any failure to comply may result in fines or delayed payments.
  • Data Protection and Confidentiality: Robust encryption and access control systems ensure data integrity
  • Reputation: Make a list of companies known for good reviews and with prior business records in the UAE market.

What are the benefits of payroll services in Dubai?

1.Risk Mitigation: Avoid penalties and ensure full legal compliance.

  1. Time and Cost Efficiency: Reduces HR workload and operational costs.
  2. Data Security and Accuracy: Minimizes human error through secure automation.
  3. Better Employee Experience: On-time salary and transparent pay-slips instill trust.
  4. Accurate Salary Processing: Consistency in precision enhances workforce satisfaction.
  5. Cost Savings: It saves them from maintaining the teams in-house.
  6. 100% Compliance with UAE Laws: Ensures compliance with WPS and labor laws.
  7. Increased Employee Satisfaction: Regular timely payments mean higher employee retention.
  8. Multi-Currency & Expat Payroll: This makes it easier to pay employees working all over the world.

Scope of Outsourcing Payroll and HR Departments:

  • Initial setup of the payroll components.
  • Set up holiday records for each employee.
  • Adequate pay and deduction components on the system to meet your requirements.
  • Fine-tuning of the system to ensure a smooth running of the payroll.
  • Advising or drafting local labor contracts.
  • Updating of compulsory elements according to the potential modifications/evolutions.
  • Transmission and insertion of possible modifications of payroll elements.

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HR Outsourcing Companies in Dubai, UAE

HR duties are a huge responsibility that requires not only time but an effort in creating strategies, recruiting, inducting, and retaining manpower in a company. These are not easily done and may be difficult to handle by one person. This is where HR outsourcing services in Dubai come in. This ensures that the demands of a business about HR duties are met and even exceeded.

Having an HR outsourcing Dubai company to provide you with HR solutions, aiding you in employing a qualified and experienced workforce, is an actual boon for your business. With this, you can keep the quality of your business at the highest standards. It is indeed advisable to keep your eyes on the expansion of your business while we help you in this non-revenue-producing area of your organization. We will fill the roles that seem to be missing in your company, meeting your goals and demands.


Payroll Services in Dubai and HR Solutions

As an HR and Payroll Outsourcing Company, we are keen to always present and provide clients with the best quality that we have in our sleeves.

However, we always keep ourselves updated when it comes to discovering new technologies in payroll and HR solutions that can help us to better serve you. Now and again, we improve our system and strategies. With this in mind, we can always be prepared to deter problems or avoid them in the first place for the smooth running of your company.

Also, we always value better management services and simplification of processes to better strengthen your business in dealing with payroll and HR duties.

We are eager to give you the top outsourced solutions that you can find with our system, hence making the process easier. We have state-of-the-art payroll software that is more up-to-date than most software in Dubai. On the side of HR solutions, we have a team that is capable of handling any HR duties that you have, regardless of the complications that you are facing.


Why Outsource to FAR – Farhat Office & Co.?

Farahat & Co., being one of the most experienced HR and payroll outsourcing companies in Dubai, provides excellent solutions that can cater to your needs. Our accountants who manage this service also take care of other services that we offer, such as our consultation and processing about the upcoming implementation of VAT in UAE, and consultation and taking care of your accounting needs with our bookkeeping and accounting services in Dubai.

They also partner with our auditors for Owners Associations in Dubai for auditing services and team up in project developers’ audits because we are also one of the top auditing firms in Dubai. We also take care of trademark registration in Dubai and renewals of it as well. Aside from these, we are a certified fraud examiner and handle the affairs of an organization when it comes to the deregistration of a company.

With our genuine concern to provide you with the best quality service all the time, we always upgrade our HR solutions to better accommodate you, as well as our latest payroll software in Dubai, to make the payroll process. In this way, we can aid you in being more efficient and profitable.

We work with a high level of involvement, depending on the necessities of the business. No matter what the size of your firm is and what industry it functions in, we have a solution for you.

Our firm offers a complete package as listed below:

  • Hiring candidates and placing them on local residency status.
  • Place your own/chosen candidates or employees on a local legal work permit in Dubai and Abu Dhabi.
  • Headcount restrictions, recruitment freezes, and budget restraints.
  • Expansion of your existing team or recruitment of a new workforce.
  • Recruitment of experienced individuals on a temporary or full-time basis.
  • Facilitation of unlimited numbers of employee work permits and legal work permits, including legal residency status.
  • Drafting local Labour Contract in Dubai and Abu Dhabi, and drafting other legal documents.
  • The opening of local bank accounts for your employees in Dubai, Abu Dhabi, and Sharjah, and also the transfer of their wages.

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Payroll Outsourcing Services:

  • Services in Dubai:
    At Farahat & Co., we provide comprehensive outsourcing services customized to the specific needs of businesses in the region. In Dubai, our outsourcing solutions streamline processes, ensuring compliance with local regulations and boosting efficiency.
  • Services in Saudi Arabia:
    In Saudi Arabia, we offer expert support to handle complexities, allowing companies to concentrate on their core operations.
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Frequently Asked Questions

What Do Payroll Services Include?

Payroll and HR services allow business owners to focus on more important tasks instead of spending valuable time ensuring employees are paid on time and accurately. Apart from setting up payment systems, a payroll service provider can include the following for a payroll service in the UAE:

  • Monitor employee attendance
  • Set up and make adjustments to deposit accounts
  • Calculate payroll taxes
  • Ensure correct deductions
  • Integrate benefits plans
  • Ensure compliance with legislation governing payroll
  • Provide electronic payroll records (to employers and employees)

Why is compliance expertise important when choosing a payroll service provider in Dubai?

Because UAE labor laws evolve frequently, providers with compliance knowledge help avoid costly violations and maintain seamless operations.

What is the Wage Protection System (WPS) and why does it matter?

WPS ensures salaries are transferred through UAE-approved banks, promoting transparency and protecting workers’ rights.

How should a payroll provider handle end-of-service benefits (EOSB)?

They should calculate gratuity and EOSB as per MOHRE guidelines and ensure prompt, documented settlements.

What technology features should a payroll provider have?

Cloud integration, automation, encrypted data storage, and analytics dashboards are essential.

Why is data security important for payroll services?

This data contains sensitive employee information that must be protected from unauthorized access.

What makes pricing transparent in payroll services?

Clear quotations without hidden costs for processing, revisions, or WPS submissions ensure transparency.

How should you approach your search for a payroll service provider?

Evaluate compliance track record, technology stack, customer testimonials, and scalability before committing.

What Is the System Used by the Company?

FAR Consulting Middle East makes use of an in-house system and support in collecting, managing, and organizing data to process payroll both accurately and efficiently. The firm’s payroll service is tailored to meet the different needs of businesses and to help ensure full compliance with state laws regarding employee compensation.


How Do I Choose a Payroll Provider?

Not all payroll service providers offer the same level or quality of service. When choosing who to hire, the most important factor to take into consideration is what the payroll service entails. Ask for features as you would want to have multiple payment options, such as direct deposit, prepaid debit cards, or paper checks. You may also want to check whether the firm offers several wage rates, paid time-off management, garnishment payments, and detailed payroll reports, to ensure you get the most bang for your buck

Partner with a Reliable Payroll Service Provider in Dubai

Managing this internally can drain your HR resources and expose your business to compliance risks. Outsourcing to a trusted payroll service provider in Dubai ensures accuracy, confidentiality, and 100% legal compliance under UAE labor law.

If you’re looking to streamline payroll operations, ensure WPS compliance, and improve workforce satisfaction — consult with our team of payroll experts today.

For quick answer to your question, please send a WhatsApp message to:
+971 52 6922588 | Tel: +971 4 2500251 | E-mail: sales@farahatco.com