UAE Labour Law 2023 – Leaves, Wages and Shifts

Whether you’re just starting your job in the UAE, have recently begun, or have been working for a while, it’s important to understand the UAE Labour Laws. Knowing these laws will not only help you protect your rights but also prevent you from making mistakes.

Remember, not knowing the rules can lead to problems! You should be aware of the number of hours you’re supposed to work, the leaves you’re entitled to, and other important aspects of your job.

If you’re employed in a private company in the UAE, your rights are governed by Federal Law No. 8 of 1980 (also known as the Labour Law) under the Ministry of Human Resources and Emiratisation. This ministry oversees all the relationships between employers and employees, ensuring that labour rights are upheld in the private sector.

Key Provisions of the Labour Law in the UAE

1. Work Hours

Labour Laws in the UAE deem 8 hours a day, or 48 hours a week as the normal duration in the private sector. In the hospitality industry though, these hours are stretchable up to 9 hours a day upon approval from the Ministry. Government organisations and departments, on the other hand, operate for 7 hours on all weekdays. Shifts of over 7 hours in taxing or unfit conditions are also illegal. During the holy month of Ramadan, work-hours are slashed by two hours each day.

2. Overtime

Employees are entitled to up to a 25% addition in remuneration for work they may put in over and above regular work hours on a per diem basis. If the overtime is put in during the wee hours, that is between 9 pm and 4 am, this could double to 50%. That said, your organisation needs to justify the need to make you work the extra hours in order for it to be able to pay the extra remuneration.

3. Leave

Fridays are UAE’s Sundays so you’ll need to change your weekly off expectation, except daily-wage workers. In special cases, if you’re expected to work on a Friday, you’re also entitled to an overtime of at least 50% in addition to a regular day’s pay.

4. Compensatory Off

If you’ve worked during a holiday or your approved vacation, you’re entitled to take other days as rest days and a 50% add on upon your basic wage for the day. If your employer can’t give you that, then they must extend a 150% overtime as compensation as per Article 81 of the Labour Law.

5. Public Holidays

Here’s an indicative list of holidays so that you can plan your year, travel and personal time: 

6. Annual Leave

As an employee in the UAE, you earn 2 days off each month if you’ve served the organisation for over six months, but less than a year. Upon completion of the first year, you will be entitled to a full month – or 30 days off. It includes public holidays and weekends, and also sickness.

You’re entitled to your basic wage and housing allowance. However, you can’t carry forward leave beyond once in two straight years. You’re entitled to being paid your salary for leave before you avail it. You can also encase your leave against the notice period if you choose to resign without having claimed your full annual leave.

7. Sick Leave

Only if you’re a permanent employee of an organisation, you can avail 90 days of sick leave. However, only the first 15 are fully paid. You will receive half pay for the next 30 days and must claim the rest of the 45 unpaid.

As per the UAE Labour Laws, you must intimate your employer about your illness within the first two days of your absence and should pass your employer’s medical exam should your HR feel the need to verify the legitimacy of your claim.

You cannot be dismissed or given termination notice during your sick leave. But this clause only holds true for the duration of the 90 days.

On the other hand, if your illness renders you incapable of returning to work, you may resign within the first 45 days of your leave with a certificate from the employer’s medical physician. Your employer would have to pay you the remaining wages due to you for the first 45 days.

8. Hajj leave

You’re entitled to 30 days of unpaid leave without risking termination of your job if you intend to perform Hajj, once throughout your service period.

9. Maternity Leave

Working women can claim 45 days of fully paid maternity leave if you’ve served the company for at least a year already. You are only entitled to receiving half pay if your period of service is not over a year. You can extend this leave to up to 10 days – however, unpaid. You are also allowed two paid rest intervals of 30 minutes each day for the next 18 months if you’re nursing.

10. WPS

Under the Wages Protection System (WPS) you can only receive your wages or salaries through a wire transfer to your bank or other financial institution accounts. These institutions have to be Central Bank of UAE authorised. In the case of complaints about salary, you should get in touch with the MoHRE or submit your complaint via eNetwasal.

Gratuity

You are entitled to gratuity for a fraction of a minimum of one year of continuous service. Gratuity is calculated based on your basic pay and none of your allowances are considered or included. Whether you’re under limited or unlimited contract, you are entitled to 21 days’ full salary per year as gratuity for serving between one and five years, and 30 days’ salary per year for more than five years of work.

FAQ on UAE Labour Law 2023

Q1: What is the UAE Labour Law 2023?

A: The UAE Labour Law 2023 refers to the set of regulations and provisions that govern employment practices and rights in the United Arab Emirates. It outlines the legal framework for matters such as working hours, leaves, contracts, termination, and employee benefits.

Q2: What are some key changes in the UAE Labour Law for 2023?

A: While there may be updates and amendments to the UAE Labour Law, as of my knowledge cutoff in September 2021, I do not have specific information regarding changes in the UAE Labour Law for 2023. It is advisable to consult the official sources or legal experts for the most up-to-date information.

Q3: What are the working hour requirements under the UAE Labour Law?

A: According to the UAE Labour Law, the maximum number of working hours for employees in the UAE is 48 hours per week, with a maximum of 8 hours per day. However, certain industries or jobs may have different working hour requirements, so it’s essential to check the specific regulations for your sector.

Q4: How many annual leave days are employees entitled to under the UAE Labour Law?

A: As per the UAE Labour Law, employees are entitled to annual leave after completing one year of continuous service. The number of annual leave days depends on the length of employment, with a minimum of 30 calendar days for employees who have served for more than one year.

Q5: What rights and protections does the UAE Labour Law provide to employees?

A: The UAE Labour Law ensures various rights and protections for employees, including provisions for minimum wages, timely payment of salaries, workplace safety, maternity leave, sick leave, end-of-service benefits, and protection against unfair termination. These rights aim to safeguard employees’ interests and promote a fair and secure work environment.

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