UAE tops global labour dispute index: MoHRE resolves 98% of complaints

Dubai: The Ministry of Human Resources and Emiratization (MoHRE) successfully resolved around 98% of labour complaints filed with the Ministry without the need to refer them to the courts during the first half of 2024. Over this period, the Ministry received more than 175,000 labour complaints from workers in the private sector and domestic workers.

MoHRE emphasised that these results represent significant progress in a key competitiveness indicator of the UAE labour market. The achievement reflects the Ministry’s efforts to simplify complaint procedures, ensure transparency and impartiality through specialised legal researchers, and reach amicable settlements to save time and effort for complainants.

The UAE ranked first globally in the index measuring the lowest rate of labor disputes, according to the 2024 IMD World Competitiveness Yearbook. The country also secured top positions in several other labor market competitiveness indicators.

This outcome follows MoHRE’s assumption, effective January 1, 2024, of jurisdiction over disputes arising between parties in the private sector, domestic workers, and recruitment agencies.

The Ministry explained that this applies to labour disputes where the claim does not exceed Dh50,000 or where either party fails to file a lawsuit before the competent Court of First Instance within 15 days of notification of the Ministry’s decision.

MoHRE noted that these measures have significantly reduced litigation time and effort, expediting access to rightful claims. The Ministry operates an effective labour complaints system, with an average of only three complaints per 100 workers in the UAE labour market.

MoHRE reaffirmed its commitment to maintaining strict confidentiality in handling labour complaints. Recent legislations and procedural updates have accelerated the resolution of disputes referred to the judiciary, reinforcing the UAE’s global competitiveness by reducing labor disputes, expediting their resolution, and protecting the rights of all parties within a fair and transparent legal framework.

The Ministry is committed to safeguarding the rights of both employers and employees in a balanced manner, consolidating the UAE’s position as a leading destination for living, investing, and working.

To this end, MoHRE facilitates complaint submission procedures handled transparently and impartially by specialised legal researchers, in accordance with Federal Decree-Law No. 33 of 2021 on the Regulation of Employment Relations, its amendments, executive regulations, and ministerial resolutions. Legal researchers work to resolve complaints amicably whenever possible, saving time and easing the caseload of labour courts.

Recently, the Ministry streamlined procedures for individual labour complaints. Workers, domestic workers, employers, or legal representatives may file a complaint within 30 days of a breach of contractual or legal obligations using approved channels outlined in the official procedural guide.

The Ministry is required to resolve individual labor complaints within 14 days of submission—either by reaching an amicable settlement, issuing a final decision, or referring the case to court.

Clear rules also apply where the dispute does not exceed Dh50,000, or an amicable settlement is reached, in which case MoHRE issues a binding decision.

The Ministry’s decision becomes executive upon issuance. Either party may appeal to the Court of Appeal within 15 working days, which suspends the Ministry’s decision until a court ruling is issued.