The UAE Labor Law provides an outline that balances the rights and obligations of both employees and employers. By understanding these rights and fulfilling their obligations, employees can confirm a fair and productive work environment, while employers can maintain compliance and additional positive workplace relations. Parties are urged to familiarize themselves with the law to avoid disputes and make certain mutual respect and cooperation in the workplace.  

Disambiguation: This article discusses UAE Federal employment laws. For ADGM labour laws, please refer to ADGM Employment Laws. For DIFC labour laws, please refer to DIFC Employment Laws.

Wage Safeguards 

Employees possess the right to receive apt compensation for their labor. The legislature insists that wages must be paid punctually, in the agreed-upon currency (usually AED), and without unjustified deductions. The Wage Protection System (WPS) serves to guarantee that wages are paid in compliance with legal standards, thereby offering an extra layer of protection for employees.   

Equal Pay 

The law ensures that men and women engaged in the same roles or roles of comparable value receive equal pay. Any form of wage discrimination based on gender, race, religion, or nationality is firmly forbidden.   

Right to Acceptable Working Hours and Overtime Remuneration   

Standard Working Hours

Employees can work within the established standard working hours, generally comprising 8 hours per day or 48 hours per week. Any hours worked beyond this period are classified as overtime and must be compensated appropriately.   

Overtime Remuneration

Employees have the right to receive overtime pay at a rate of 25% above their standard hourly wage for regular overtime and 50% above for night shifts or work performed on rest days. This provision ensures that employees are justly compensated for any additional hours worked. 

Annual Leave

A staff member shall be entitled to 30 calendar days paid annual leave upon completion of one year of service. For an employee who has completed less than one year but more than six months’ work, two days are earned for every month worked. 

Sick Leave

 In case of sickness, an employee may possibly be given up to 90 days of sick leave. The first 15 days are entitled with full pay, next 30 days on half pay, and then no pay.  

Maternity and Parental Leave

 Female employees are entitled to a total of 60 days maternity leave, the first 45 days of which are spent with full pay while the next 15 days will be on half pay. Both male and female employees are entitled to five working days paid parental leave. 

Occupational Health and Safety

 Occupiers are required to provide and maintain a safe and healthy work environment, with risks reduced to a minimum and compliance with health and safe standards. Workers have the right to refuse to perform work that is likely to expose them to pending and danger to their health or safety.  

Medical Insurance

 The employer shall have to provide medical insurance to an employee. Every employee shall be provided with basic health needs coverage, and the employee shall be able to take care of his or her medical needs without being burdened by their cost. 

Termination Benefits

Notice Period: 30 days to be given on prior notice, however it may differ depending upon the company/ employer to their employees, and in this period, they continue to receive their wages. 

Unlawful Termination

 It can be protected and referred to the MOHRE to clarify queries or seek further clarification.  

Employers Obligation 

Employment of minor children is prohibited

 The law prohibits any employment of minors who are under the age of 15. A minor aged 15-18 years can be employed under certain circumstances such as getting written consent from their authorized representative/ legal guardian, assuring the work environment is a healthy, safe place and not hazardous. Furthermore, it is also important to check their working hours and make sure it is limited, and lastly, ensuring minors are not put at work during night hours. The minors’ work permits will be issued by the MOHRE Department and once approved they will be eligible to work, again making sure the above criteria are met.  

According to Article 13 of the Labor Law, it is required by the employer that the employee documents and reports are maintained well also followed by the correct format, along with the employee being aware that the documents are not kept with the employer after the tenure of employment has ended.  

Ensuring the employee knows the basic rules & regulations of the work, penalties, increment according to the UAE law standards.  

The employer must provide the worker with accommodation governed by the authorities and follows the state’s rules and conditions, or the employer must pay the employee accommodation allowance in cash or include it in the salary/wage.  

To invest in the development of employee training, there are required tools and programs keeping in mind the UAE labor law. Employers are required to help prevent any risks or injuries that could occur during the work and to ensure the employees are aware of the regulations. It would also fall upon the employer to cover the costs of insurance in any case for the employee’s medical care.  

Once the employee has completed the tenure, a certificate of experience will be provided, mentioning date of commencement, expiry, complete service term, position of work, the salary received, and the reason for removal.  

It is the duty of the employer to bear the repatriation cost of its worker to the place of joining or any other country/place wherein both the parties have agreed to.  

Lastly, any other rule or obligation covered by this provision of this given Decree-Law must be followed by both the parties.  

Employment Contract

 It’s a basic unsaid rule that employees must diligently perform tasks given to them, while also following the employment contract. During the tenure of work, employees must keep in mind to preserve confidentiality and any details with respect to the employer or the management, and it cannot be disclosed.  

Rights during Labor Disputes

Employees have full right to file a complaint with the MOHRE Department in case they undergo any labor rules being violated during their tenure with the company/employer. Employees going through any legal process will be completely protected from any actions by their employer.  

Absence/ Sick Leaves

Employers must be well informed about employees taking sick leave and should be kept informed. In cases of leave that are known to be taken and are decided prior, approval and consent from the employer is necessary. If an employee is sick and takes leave, a medical certificate from the health authorities must be validated from the medical department so the employee can have verified leave.   

It is important that one maintains the rules, regulations and compliance to protect the rights of the employers and employees in UAE. It is beneficial to have a thorough clear understanding of the country’s employment law and have a proper understanding of the same.