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The Contract For Commission Based Employment is designed for use in the United Arab Emirates when engaging employees whose compensation is primarily or partially tied to their performance through commission structures. This agreement is essential for businesses operating in the UAE who wish to implement performance-based compensation while ensuring compliance with local labor laws, particularly UAE Federal Decree-Law No. 33 of 2021. The document provides a comprehensive framework for establishing clear commission structures, performance metrics, and payment terms while incorporating all mandatory employment provisions required under UAE law. It is particularly suited for sales-oriented roles or positions where performance can be quantifiably measured and rewarded through commission payments. The agreement includes provisions for commission calculations, payment schedules, potential clawback scenarios, and protections for both employer and employee interests.

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Brief context of the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the agreement, including commission-related terminology

4. Appointment and Term: Details of the position, employment status, and duration (fixed/unlimited term)

5. Probationary Period: Length and terms of the probationary period (up to 6 months as per UAE law)

6. Duties and Responsibilities: Detailed description of the employee's role, reporting lines, and performance expectations

7. Commission Structure: Core commission calculation methodology and payment terms

8. Base Salary and Benefits: Any fixed salary component and statutory benefits as per UAE law

9. Working Hours and Location: Standard working hours, workplace location, and any flexibility arrangements

10. Leave Entitlements: Annual leave, sick leave, and other statutory leave entitlements

11. Confidentiality: Protection of employer's confidential information and trade secrets

12. Non-Competition and Non-Solicitation: Post-employment restrictions in line with UAE law

13. Termination: Grounds for termination and notice periods as per UAE law

14. End of Service Benefits: Calculation and payment of gratuity and other end of service entitlements

15. Governing Law: Confirmation of UAE law application and dispute resolution mechanisms