Obligations of the employer and rights of the employee under UAE law explained

Question: I own a private company. What are the disciplinary sanctions can I as employer impose on a worker? Do I have the right to give the worker leave without pay for a period of three months because the company is going through a financial crisis?
Answer: According to Article 39 of the Labour Law, an employer or his representative may impose any of the following sanctions on a worker who violates the provisions of this decree by law, its executive regulation and the resolutions issued in implementation thereof:
a. Written caution.
b. Written warning.
c. Deduction from the wage not exceeding the wages of five days per month.
d. Suspension from work for a period not exceeding 14 days, and non-payment of wages for the days of suspension.
e. Deprivation of the periodic raise for a period not exceeding one year, for establishments that adopt the system of periodic raises, which the worker is entitled to in accordance with the terms of the employment contract or the provisions of the establishment's regulations.
f. Deprivation from promotion in establishments where there is a promotion system for a period not exceeding two years.
g. Dismissal from service while preserving the worker's right to end-of-service gratuity.
Regarding leave without pay, the employer doesn’t have the right to give the worker leave without pay for a period of three months because the company is going through a financial crisis unless the worker accepts this in writing.
Sign up for the Daily Briefing
Get the latest news and updates straight to your inbox
Network Links
GN StoreDownload our app
© Al Nisr Publishing LLC 2026. All rights reserved.