The UAE’s labour laws are designed to protect employees while ensuring a balanced work environment. From working hours to termination policies, understanding these laws helps employees and employers navigate the workplace efficiently.
Here’s a breakdown of key provisions for private sector workers in the UAE under Federal Decree-Law No. 33 of 2021.
Working Hours & Breaks
- Standard Work Hours: As per Article 65, the UAE Labour Law stipulates a maximum of 8 hours per day or 48 hours per week for private-sector employees.
- Arduous or Hazardous Work: Employees engaged in physically demanding or hazardous jobs are restricted to a maximum of 7 hours per day.
- Workweek Structure:
- The UAE follows a Monday to Friday workweek for most sectors.
- Government employees in Sharjah benefit from a 4-day workweek (Monday to Thursday), with a 3-day weekend.
- Breaks & Rest Periods:
- Lunch breaks are not included in working hours.
- Employees are entitled to one or more breaks totaling at least one hour after five consecutive hours of work.
- Work must not exceed five consecutive hours without a break.
Overtime & Compensation
- Employees working beyond normal hours are entitled to overtime pay as follows:
- Overtime Pay: Additional 25% of basic salary for hours worked beyond standard duty.
- Overtime at Night (Between 10:00 PM and 4:00 AM): Employees receive an additional 50% of basic salary, except for those in shift-based jobs.
- Maximum Overtime: Limited to two extra hours per day, unless necessary for business continuity.
Leave Policies
- Annual Leave (Article 29):
- Employees who have completed one year of service are entitled to 30 calendar days of paid leave per year.
- For employees with 6 months to 1 year of service, leave entitlement is two days per month.
- Sick Leave (Article 31):
- Employees are entitled to 45 days of sick leave per year, structured as:
- First 15 days: Fully paid.
- Next 30 days: Half pay.
- Beyond 45 days: Unpaid leave.
- Sick leave cannot be availed during the probation period unless granted by the employer.
- Employees are entitled to 45 days of sick leave per year, structured as:
- Maternity & Paternity Leave (Article 30):
- Female employees are entitled to 60 days of maternity leave (45 days at full pay and 15 days at half pay).
- Fathers are entitled to five days of paternity leave, which can be used within six months of childbirth.
Notice Period & Termination
- Notice Period Requirement (Article 43):
- Employees and employers must provide a notice period between 30 to 90 days when terminating a contract.
- If the notice period is not served, the party at fault must compensate the other with an amount equivalent to the notice period's wages.
- Unlawful Termination (Article 47):
- If a court deems an employee’s dismissal unlawful, they may receive up to three months’ salary as compensation.
- End-of-Service Benefits & Gratuity (Article 51):
- Employees who have completed one year of continuous service are entitled to gratuity as follows:
- For the first five years: 21 days’ wage per year of service.
- Beyond five years: 30 days’ wage per year of service.
- Gratuity is not applicable if the employee is dismissed for misconduct under Article 44.
- Employees who have completed one year of continuous service are entitled to gratuity as follows:
Salary & Wages
- Minimum Wage:
- The UAE Labour Law does not specify a minimum wage. However, Cabinet resolutions may introduce minimum wage standards for specific industries.
- Salary Payment & Deadlines (Wages Protection System - WPS):
- Employers must pay salaries via the Wages Protection System (WPS).
- Delayed salary payments beyond 15 days from the due date may result in penalties for the employer.
Key Takeaways
- The UAE enforces strict labour laws to protect both employers and employees.
- Employees should be aware of their rights regarding work hours, overtime, and leave.
- Gratuity and end-of-service benefits are granted based on the length of service.
- Employers must provide timely salary payments and comply with UAE labour laws.
By understanding these regulations, employees can better navigate workplace policies and ensure their rights are upheld.
News Source: Khaleej Times