UAE launches awareness toolkit for employers on labour rights and obligations

The United Arab Emirates is keen on regulating labour relations and defining the rights and obligations of the parties in a balanced manner, in line with Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations. This law ensures protection for both employers and workers, enabling them to obtain their guaranteed rights under the Decree-Law, its Executive Regulations, and the resolutions issued by the Ministry of Human Resources and Emiratisation (MoHRE).

The Ministry of Human Resources and Emiratisation (MoHRE) is committed to fulfilling the objectives assigned to it within the vision and strategic goals of the UAE Government, which embraces the world’s cultures on its soil under the rule of law and with respect for human dignity.

In this context, and to achieve this goal, the Ministry announced the launch of an Awareness Toolkit for Employers. The toolkit aims to introduce employers to the key legal rights and obligations that enhance contractual relationships with their employees, contributing to the creation of a stable and balanced work environment. The Ministry emphasized its commitment to realizing the national vision of providing a safe and stable workplace that supports professional development, enhances productivity, and facilitates business operations through balance in contractual relations.

The Ministry identified seven types of leave available to private-sector workers under Federal Decree-Law No. 33 of 2021. These include annual leave, sick leave, study leave, parental leave, bereavement leave, national service leave, and maternity leave for female workers.

As clarified in the toolkit materials:

      •     A worker is entitled to full-paid annual leave of not less than 30 days for each year of service (or two days per month if service exceeds six months but is less than one year). If service ends before annual leave is used, the worker is entitled to payment for the balance.

      •     A female worker is entitled to 60 days of maternity leave (45 days with full pay and the following 15 days with half pay).

 If a worker suffers from a non-work-related illness, they must notify the employer (or their representative) within three working days and provide a medical report issued by an authorized medical body. After the probationary period, a worker is entitled to sick leave of up to 90 days per year, consecutive or intermittent:

      •     The first 15 days with full pay

      •     The next 30 days with half pay

      •     Any remaining days without pay

 No sick leave pay is due if the illness results from the worker’s misconduct.

Workers are entitled to bereavement leave of five days in the event of the death of a spouse, and three days in the event of the death of a parent, child, sibling, grandchild, or grandparent, starting from the date of death.

Either parent is entitled to five working days of parental leave, to be taken consecutively or intermittently within six months of the child’s birth.

Workers enrolled in accredited educational institutions in the UAE may be granted 10 working days of study leave per year to sit for exams, provided they have completed at least two years of service with the employer.

UAE national workers are entitled to fully paid leave to perform compulsory national service, in accordance with applicable legislation. Proof from the competent authorities is required.

Under Federal Decree-Law No. 33, workers are entitled to full-paid leave on official public holidays designated by Cabinet resolution.

If work circumstances require a worker to work during a public holiday, the employer must either compensate them with another rest day or pay them for that day at the normal wage plus a minimum supplement of 50% of the basic wage.

Employers and workers must agree on the monthly wage and specify it in the employment contract. Employers are obligated to pay wages on time in accordance with applicable regulations. Wages must be paid in UAE dirhams unless otherwise agreed.

      •     Expatriate workers are entitled to end-of-service gratuity after one year of continuous service:

      •     21 days’ basic wage for each of the first five years of service

      •     30 days’ basic wage for each subsequent year

      •     Gratuity is calculated on the worker’s last basic wage.

      •     UAE national workers are entitled to end-of-service benefits in accordance with the applicable national systems.