UAE: Can an employee take 60 days of annual leave?

A reader asks if the country's labour law allows a two-month long leave.

Question: I work for a private company in Dubai. I have accumulated leave of over 50 days. I want to take two-month leave next year to build a house in my country. Does the UAE labour law allow employees to take two-month leave at a stretch?

Answer: Pursuant to your queries, it is assumed that you are a full-time employee in a private company in mainland Dubai. Therefore, the provisions of Federal Decree Law No. 33 of 2021 on the Regulation of Employment Relations and Cabinet Resolution No. 1 of 2022 on the implementation of Federal Decree Law No. 33 of 2021 regarding the Regulation of Employment Relations are applicable.

In the UAE, an employee is entitled to avail 30 calendar days of annual leave for each year of service. This is in accordance with Article 29(1) (a) of the Employment Law, which states,

“Without prejudice to the rights accruing to the employee prior to the entry into force of this Decree-Law, the employee shall be entitled to a paid annual leave of not less than: (30) thirty days a year for each year of service.”

Moreover, an employer may schedule the annual leave of an employee when it is due based on the work requirements and should inform the employee at least one month in advance for the approval of the annual leave of its employee. This is in accordance with Article 29(4) of the Employment Law, which states,

“The employee shall use his leave in the year of entitlement. The employer may fix the dates of leave according to the work requirements and in agreement with the employee, or rotate leaves among employees for the smooth progress of work and shall notify the employee of the date of his leave at least (1) one month before the same.”

If an employer does not grant annual leave to an employer in a current year, then it is obligated to grant annual leave to an employee at least once in two years unless the employee wishes to carry forward the leave or avail cash in lieu of leave. This is in accordance with Article 29(8) of the Employment Law, which states,

“The Employer may not prevent the employee from using his accrued annual leave for more than two years unless the employee wants to carry it over or be paid in lieu of leave according to the Establishment bylaws and as specified by the Executive Regulations of this Decree-Law.”

However, if an employee voluntarily decides not to avail of annual leave in a current year, he or she may carry forward only 15 days of his or her current year’s annual leave to the following year or may agree with the employer to receive cash in lieu of annual leave based on the number of annual leave days not availed in the current year. This is in accordance with Article 19(1) of Cabinet Resolution No.1 of 2022, which states,

“Subject to the provisions of Clauses (8) and (9) of Article (29) of the Decree-Law:

The employee may carry forward not more than half of the annual leave to the following year, or he may agree with the employer to receive a cash allowance thereof, according to the salary he receives at the time of his entitlement to the leave.”

Based on the aforementioned provisions of law, you as an employee may avail only up to 45 days of annual leave in the following year and not 60 days as desired by you. The calculation of your proposed annual leave for next year will be:

(i) 30 days of annual which you are entitled for next year and (ii) a maximum of 15 days of annual leave for the current (this) year which is carried forward to the next year. However, if your employer has not granted you annual leave this year, then you may avail up to 60 days of annual leave next year which is a combination of 30 days each for the current year and the following year respectively.

News Source: Khaleej Times