Key takeaways
- Cancelling an employee's UAE visa is normally two filings: the employer cancels the work permit with the Ministry of Human Resources and Emiratisation (MOHRE) for mainland staff, then cancels the residence permit and linked Emirates ID with the Federal Authority for Identity, Citizenship, Customs and Port Security (ICP).
- The MOHRE work permit cancellation requires the employer to settle any fines for late permit issuance or renewal and to confirm that the employee has received all entitlements, according to u.ae.
- ICP lists the residence cancellation service at about 2 days, with an AED 50 application fee and an AED 100 Smart Services fee, as checked on 18 October 2026.
- A former employee who stays in the UAE after the grace period pays an overstay fine of AED 50 per day; the grace period is 30 days for most categories and 90 days for skilled workers in levels 1 to 3.
- Free zone companies file through their licensing authority, whose portal, fees and timelines differ, so a free zone company should confirm its own route in writing before filing.
How do you cancel an employee's visa in the UAE?
The employer cancels the work permit first, then the residence permit, and each step is filed with a different authority. The sequence below is for a mainland company; free zone companies follow their licensing authority's route.
- Pay the employee's final wages and end of service dues, and prepare a written confirmation that all entitlements have been received. u.ae lists this declaration as a condition of work permit cancellation.
- Clear any MOHRE fines for late issuance or non-renewal of the work permit; u.ae says these must be settled before the cancellation is processed.
- Submit the work permit and employment contract cancellation request through MOHRE's service channels, completing all data and attachments.
- Once MOHRE has cancelled the permit, apply for the residence cancellation on the ICP Smart Services website or ICP Smart App (UAE Pass login), or at a Customer Happiness Centre.
- Attach the employee's passport, pay the ICP fees and wait for confirmation that the residence permit and the Emirates ID linked to it are cancelled.
- Make sure the employee leaves the UAE or moves to a new status before the grace period ends.
MOHRE's own page covers the work permit only and says nothing about residence, and ICP runs the residence cancellation as a separate service. Treat them as two filings, not one.
What do you need and what does it cost?
ICP lists a handful of fees for residence cancellation, and the base cost for an ordinary case is small; what varies is whether guarantees or fines apply. The amounts below are as listed on the ICP service page, checked on 18 October 2026.
| ICP charge | Amount | When it applies |
|---|---|---|
| Application fee | AED 50 | Residence cancellation application |
| Smart Services fee | AED 100 | Filing through ICP Smart Services |
| Exceptional cancellation fee | AED 100 | Exceptional cases, such as disputes or a guarantor's death |
| Financial guarantee deposit | AED 20 | Listed for certain categories only |
| Guarantee fee | AED 5,000 | A sponsor's permit cancelled without cancelling family permits |
| Overstay fine | AED 50 per day | Staying after the grace period ends |
Say a mainland trading company cancels one ordinary employee residence and only the first two ICP fees apply: that's AED 150 before any typing centre or PRO charges. This is an illustration, not a quote. The only document ICP names for every applicant is the passport; investors and partners also need a certificate of cancellation or waiver of the commercial licence. MOHRE's page lists no cancellation fee, and Qawi has not verified any service-centre charge from an official source, so ask the centre you use for a written fee.
AED 50 per day: ICP's overstay fine for staying in the UAE after a visa expires or is cancelled, counted from the day after the grace period ends. Source: ICP, Cancellation of Residency Permits, checked 18 October 2026.
How long can an employee stay after the visa is cancelled?
The employee gets a grace period that depends on the residence category, and for most employees it is 30 days. ICP lists the periods below, and the AED 50 daily fine starts the day after the period ends.
| Residence category (ICP) | Grace period |
|---|---|
| Golden, Green and Blue Residence holders and their family members | 180 days |
| Skilled workers in levels 1 to 3, and property owners | 90 days |
| Permits issued with a guarantor or host | 60 days |
| All other categories | 30 days |
Accurate as of 18 October 2026. Which category your employee falls into depends on the permit they hold, so check the residence record before telling anyone how long they have.
Is the process different for free zone employees?
Yes, the filing route can differ, because free zone companies usually deal with their licensing authority instead of MOHRE. ICP lists government entities, private entities and free zone establishments among the applicants for employee residence cancellation, so the ICP residence step applies in both cases.
The work permit step is the part that changes: a free zone company usually cancels through its own free zone portal or PRO desk rather than the MOHRE service. Qawi has not verified each free zone's current process, fees or turnaround, so get the cancellation fee and timeline in writing from yours before you promise an exit date to the employee.
What most guides don't tell you
Family visas come first. ICP says permits for family members under a worker's sponsorship must be cancelled before the worker's own residence is cancelled, or placed on hold for a limited period with applicable fees. An employee who sponsors a spouse and children turns a one-visa cancellation into several, and a AED 5,000 guarantee fee applies when a sponsor's permit is cancelled without cancelling the family permits.
Unpaid dues block the work permit step. The employer's declaration that all entitlements were paid is a listed condition, so a disputed gratuity or leave balance can hold up the whole cancellation. Settle or document the figures before you file, not after MOHRE asks.
An owner's own visa is a different case. ICP asks investors and partners for a certificate of cancellation or waiver of the commercial licence, so cancelling your own residence is tied to your status in the company. MOHRE also lists a separate service for cancelling the work permit of an employee with a labour court case, so don't use the standard route if a case is open.
The clock runs on the employee, not the paperwork. A cancelled residence gives the employee a fixed grace period, and ICP's fine is AED 50 per day after it. If a new employer needs time to issue a permit, agree a date with the employee before cancelling.
Which deadlines apply to your company?
Your own cancellation, renewal and permit deadlines depend on your emirate, licence and headcount, and a missed visa step can cost AED 50 a day in overstay fines. If you'd rather not track these dates by hand, the free UAE compliance calendar lists them for your company: a free calendar of your company's UAE tax and compliance deadlines, personalised from a few questions, as a PDF and calendar file.
Frequently asked questions
What happens if I don't cancel a visa after an employee leaves? The residence stays active on your company's sponsorship until it expires or is cancelled, so the company remains the sponsor on record. Qawi has not verified a published employer penalty for late residence cancellation from an official source, so ask your authority what applies to your file.
What are overstay fines in the UAE? ICP applies a fine of AED 50 per day for staying in the UAE after a visa expires or is cancelled, starting the day after the grace period ends. The grace period is 30 days for most categories, 60 days for permits issued with a guarantor or host, 90 days for skilled workers in levels 1 to 3 and property owners, and 180 days for Golden, Green and Blue Residence holders.
How do I sponsor my family on a company visa? For the family-of-a-foreign-resident category, ICP requires the sponsor to hold a valid UAE residence permit and to earn at least AED 3,000 a month plus employer-provided housing, or AED 4,000 if housing isn't provided. Proof of kinship and adequate housing are also required, and free zones and emirates may add steps of their own.
How much does a UAE employee visa cost in 2026? ICP's listed fees for a new residence permit are an AED 100 application fee, AED 100 per year of issuance, an AED 100 smart service fee and an AED 20 financial security deposit, from a page updated 11 December 2024. Medical tests, insurance, typing and any entry or work permit fees come on top and vary by authority.
What is the medical test and Emirates ID process for new employees? The employee takes a medical fitness test, and the residence permit application then runs through ICP, which issues the Emirates ID after the residence is issued and delivers it by authorised courier. ICP says the whole residence process must be finished within 60 days of the employee entering the UAE.
About Qawi · Qawi is a corporate services firm licensed in the Sharjah Media City (SHAMS) free zone, handling company formation, visas and PRO, bookkeeping, VAT and corporate tax for UAE businesses. Guides are researched from FTA, Ministry of Finance and free zone sources. Qawi on LinkedIn
Sources
- ICP: Cancellation of Residency Permits
- ICP: Issuing Residency Permit
- u.ae: Work permits (private sector employment)
- MOHRE: Cancellation of Work Permits and Employment Contracts
- MOHRE: Cancellation of Work Permit for an Employee With a Labour Court Case
Last checked: 18 October 2026
This is general information, not tax or legal advice for your specific situation.