United Arab Emirates Labour Law

2025

The United Arab Emirates (UAE) is renowned for its thriving economy and diverse workforce, supported by the stringent UAE labour law that protects the rights of both workers and employers alike. These laws form the cornerstone of the country’s labour framework, ensuring fair treatment, workplace safety, and contractual obligations in the employment landscape.

UAE labour law covers a wide range of aspects, including employment contracts, working hours, wages, leave entitlements, safety regulations, and labour dispute settlements. These regulations are designed to foster a conducive environment for businesses to thrive while safeguarding the rights and welfare of employees.

This Article Covers:

Labour Contract in the UAE

The labour contract in the UAE is a legally binding agreement between an employer and an employee that outlines the terms and conditions of employment. In this contract, the employee agrees to work for the employer, to be under his supervision, and to follow his instructions.

The employer, in turn, is responsible of paying the employee his wage according to the contract models specified in the Ministry of Human Resources & Emiratisation (MoHRE) regulations. There should be two copies of the contract, one given to the employee and the other is retained by the employer.

The labour contract in the UAE has to be written in Arabic as well as another language that’s understood by the employee who does not speak Arabic. The Arabic copy should be the base in case of any discrepancies between the Arabic text and the other language.

Key Components of a labour contract in the UAE

  • Basic Information: The contract typically includes basic details such as the signing date, employment start date, contract type, place of work, contract duration (if it’s a fixed-term contract), and the wage amount.
  • Employment Terms: Terms outlined in the labour contract define the nature of the employment, whether it’s a fixed-term contract or an indefinite-term contract. A fixed-term contract has a specific duration, while an indefinite-term contract continues until terminated by one of the parties.
  • Wages and Benefits: The contract should specify the wage, allowances, bonuses, and other benefits due to the employee. It may also include specific points as overtime calculation, annual leave, and other statutory entitlements as per the UAE labour law.
  • Working Hours and Conditions: Contracts have to specify standard working hours in the UAE, rest days, and any specific conditions related to the job role or workplace.
  • Termination Terms: The labour contract in the UAE has to specify the conditions and procedures for termination, mandatory notice periods from both parties and any penalties or compensations due in case of early termination.

Importance of the Labour Contract in the UAE

The labour contract in the UAE plays a pivotal role in safeguarding the rights and interests of both employers and employees in accordance with MoHRE labour laws and regulations. These contracts provide clarity and transparency, reducing the likelihood of disputes and misunderstandings during employment.

Furthermore, as per the UAE labour law, the labour contract is legally mandatory and must be in writing. Failure to provide a written contract can have legal ramifications for employers. Therefore, it is imperative for employers to ensure that the labour contract adheres to the provisions stipulated in the UAE labour law.

Read more: Labour Contracts in the UAE

Working Hours, Leave Entitlements, and Rest Hours in the UAE

Effective time management inside the workplace is fundamental to increasing productivity and employee well-being. The regulations of working hours in the UAE, leave entitlements, and rest hours are pivotal aspects of UAE labour law that ensure fair and balanced working conditions for employees across various industries.

Standard Working Hours in the UAE

According to the working hours regulations in the UAE, The standard workweek consists of four and a half days. Employees have to work eight hours a day from Monday to Thursday, and four and a half hours on Fridays.

This system is applicable to all emirates except Sharjah, where employees have to only work four days a week (Monday to Thursday). However, there may be some exceptions for specific industries or job roles due to various operational requirements. However, the maximum working hours are eight hours per day and 48 hours per week.

Weekly Rest Days in the UAE

Employees in the UAE are entitled to at least one rest day per week, which is usually on Fridays and Saturdays for most companies. However, some sectors may have different arrangements for rest days to meet their operational needs.

Overtime Regulations in the UAE

Employees working beyond standard working hours are eligible for overtime pay. Overtime pay typically ranges from 25% to 50% more than the regular hourly rate when work is done after standard working hours, and this percentage could be higher.

Additionally, an employee can’t  work more than two hours of overtime unless it is necessary to prevent serious danger.

Break Time and Lunch Break in the UAE

According to UAE labour law, employees working for more than five consecutive hours are entitled to a break of at least one hour, typically used as a lunch break and not counted as working hours.

Public Holidays and Annual Leave in the UAE

Employees are entitled to paid public holidays in the UAE, including religious and national holidays. Additionally, the duration of annual leave in the UAE is based on the length of service, which is a minimum of 30 days for each year of service. In case the period of service exceeds six months but is less than a year, the employee is entitled to two days of leave for each month of work.

Read more: Public Holidays in the UAE

Flexible Work Arrangements in the UAE

To promote work-life balance, the UAE government encourages flexible work arrangements such as part-time work, remote work, and flexible scheduling options.

Different Work Systems: for Emiratis and Non-Emiratis

The United Arab Emirates (UAE) hosts a workforce composed of both Emirati and non-Emirati citizens, each contributing uniquely to the country’s economic fabric. Work systems designed for these two groups highlight the UAE’s efforts to align Emiratization initiatives with the integration of global talents.

Emirati Work System

Emiratis in the UAE benefit from a range of initiatives aimed at enhancing their participation in the workforce:

  • Emiratization Programs: Specially designed programs encourage entities in both the public and private sectors to hire Emirati citizens, particularly in vital sectors such as finance, education, and government services.
  • Reserved Positions: Some positions across various industries and governmental entities are exclusively reserved for Emirati citizens to ensure representing the country in the key sectors.
  • Skill Development: Emiratis receive intensive training and development opportunities to enhance their skills, preparing them for diverse career paths and leadership roles.

Non-Emirati Work System

Non-Emiratis constitute a significant portion of the workforce in the UAE, bringing diverse skills and experiences:

  • Work Visas: Non-Emiratis generally require employer-sponsored work visas to work in the UAE, often tied to specific job roles and renewable according to labour regulations. The UAE also permits job-seeker visas, which allow individuals to stay in the country for 60, 90, or 120 days to search for employment opportunities.
  • Global Talent Integration: UAE actively attracts global talent, enabling skilled expatriates to contribute across various sectors, enhancing innovation and economic growth.
  • Residency and Work Rights: Non-Emiratis are granted residency rights tied to their employment status and work contracts, enjoying labour protections stipulated in UAE labour laws.

Balancing Work Systems

The UAE strives to balance Emiratization goals with the integration of global talents. This includes creating a comprehensive environment where Emiratis and non-Emiratis collaborate, leveraging their diverse skills for the advancement of the nation.

Workers’ Rights and Termination of Employment in the UAE

The UAE adopts a robust legal framework governing employment, labour rights, and termination regulations. A comprehensive understanding of these laws is vital for both employers and employees to ensure compliance, protect rights, and promote fair practices in the workplace.

Workers’ Rights in the United Arab Emirates

  • Safety and Health: Employers are obligated to provide a safe working environment and to also comply with the health and safety standards stipulated in the UAE Labour Law. The employer has to provide health insurance coverage for the employees based on a contract between both parties.
  • Employment Contracts: Written employment contracts are essential, delineating fundamental terms such as job roles, compensations, working hours, and basic conditions. Contracts may be fixed-term or indefinite, providing clarity and protection for both parties.
  • Non-Discrimination and Harassment: UAE labour law strictly prohibits discrimination based on race, gender, religion, or nationality. Workplace harassment is also prohibited and subject to legal consequences.
  • Leave Accruals: Employees are entitled to various types of leave, including annual leave, public holidays, sick leave, and maternity and paternity leave, according to the labour regulations. This supports employee well-being and work-life balance.

Termination of Employment in the UAE

  • Procedures and Requirements: Termination procedures, including notice periods or compensation in lieu of notice, are outlined in UAE labour law and must be followed by both employers and employees.
  • End-of-Service Benefits: Upon termination of employment, employees are entitled to end-of-service benefits, including gratuity based on length of service and type of contract.
  • Reasons for Termination: Termination may occur based on mutual agreement, redundancy, serious misconduct, breach of contractual terms, or violation of the company’s intellectual property, as employees are not allowed to disclose any of the company’s confidential information. Understanding and compliance with UAE labour law are essential in such circumstances.

Ensuring Safety Standards and Compensation for Work Injuries in the UAE

The country places significant emphasis on ensuring stringent workplace safety standards in the UAE to protect employee health and minimize workplace injuries. Despite robust regulations, responding to workplace injuries remains critically important, prompting concerted efforts to enhance safety measures and effectively manage incidents in the workplace.

Stringent Safety Standards in the UAE

The country implements comprehensive occupational health and safety regulations in the UAE to ensure safe working conditions across all sectors. These strong regulations include guidelines that cover workplace hazard protection, installing safety equipment, emergency protocols, and mandatory employee training.

Government authorities also conduct regular comprehensive inspections to monitor compliance with safety standards in the UAE. Inspections cover multiple aspects, such as machinery safety, fire protection measures, electrical installations, and a comprehensive assessment of the workplace environment to ensure adherence to safety measures.

Employers are mandated to provide intensive safety training to their employees, focusing on risk mitigation, proper use of the installed safety equipment, and emergency response procedures. Fostering a safety-oriented culture that enhances employee awareness and significantly reduces the likelihood of workplace accidents.

Workplace Injuries and Response Mechanisms in the UAE

  • Nature of Workplace Injuries: Despite stringent safety protocols, workplace-related injuries can range from minor accidents to serious accidents that result in physical harm or disabilities. Common injuries include slips, falls, cuts, strains, and, in severe cases, occupational illnesses due to prolonged exposure to hazardous substances.
  • Immediate Response Protocols: Employers are legally obligated to establish effective response protocols to address workplace injuries promptly. This includes providing immediate first aid, reporting accidents to relevant authorities, and seeking immediate medical assistance for injured employees.
  • Legal Obligations and Indemnification: Injured employees are entitled to compensation and support according to UAE labour law. Employers are responsible for reporting workplace injuries to the relevant authorities and cooperating in investigations to determine causes and implement preventive measures.

Continuous Improvement of Safety Measures in the UAE

  • Continuous Assessment: Employers must continuously assess and enhance safety protocols, identify potential risks, and implement preventive measures to mitigate risks. Regular risk assessments and updating safety protocols are integral parts of accident prevention.
  • Employee Involvement: Encouraging active employee participation in safety programs is vital. Employees should feel empowered to report hazards and suggest improvements to safety measures, fostering a proactive safety culture.
  • Government Initiatives: The UAE government consistently reviews safety standards, conducts awareness campaigns, and collaborates with stakeholders to improve workplace safety. These initiatives aim to reduce workplace injuries by educating employers and employees about safety practices and legal obligations.

What Are the Salaries Laws in the UAE?

Salaries laws in the UAE govern various aspects of salaries and other types of compensation, ensuring fair pay and timely payments for employees across different sectors. Understanding these laws is critically important for both employers and employees to maintain compliance and support fair payment practices.

Salaries Payment Regulations in the UAE

  • Timely Payment: Employers are required to pay salaries in the UAE to their employees within the specified time frame agreed upon in the employment contract. Generally, payments are made monthly.
  • Wages Protection System (WPS): The UAE government has established the Wages Protection System, which is a mechanism to ensure timely payment of wages to employees. Employers are mandated to use the WPS to electronically transfer employee salaries, ensuring transparency and timely disbursement of salaries in the UAE.

Minimum Wage in the UAE

The country does not have a federally mandated minimum wage in the UAE. However, certain sectors and free zones may have their own regulations regarding minimum wages in the UAE. Employers must be aware of any sector-specific minimum wage requirements applicable to their companies.

Overtime Work and Working on Public Holidays in the UAE

  • Overtime Calculation: Employees working outside regular working hours are entitled to overtime compensation in the UAE. Overtime rates typically range from 25% to 50% of the regular hourly wage, and it could be more.
  • Public Holidays Pay: Employees working on official public holidays are entitled to additional compensation or compensatory leave, as stipulated in the UAE labour regulations.

Read more: Overtime Calculation in the UAE

End-of-Service Benefits and Allowances in the UAE

  • Bonuses and Incentives: Employers may offer bonuses or incentives to employees, which can be based on performance or at the discretion of the employer. This should be clearly outlined in the employment contract or company policies.
  • End-of-Service Benefits: Upon termination of employment, employees are entitled to end-of-service gratuity in the UAE, which vary based on the length of employment and type of contract.

What are the Overtime Laws in the UAE

Overtime laws in the UAE are fundamental to protecting employees’ rights and regulating overtime work beyond the standard workweek. Understanding these laws is crucial for both employers and employees to ensure compliance and fair compensation practices for overtime calculation.

Key Aspects of Overtime Laws in the UAE

  • Eligibility for Overtime: Employees eligible for overtime compensation are those who work outside the specified standard working hours in their employment contracts. UAE labour law set the maximum regular working hours per week at 48 hours, typically distributed over six days.
  • Overtime Rates: Employees working extra hours are entitled to overtime compensation, usually ranging from 25% to 50% of their regular hourly wage. The precise rate depends on the employment contract and is regulated by UAE labour law.
  • Overtime Calculation: Overtime hours are calculated based on the additional hours worked beyond the regular work schedule. Employers are required to accurately record these extra hours and compensate for them, ensuring compliance with labour regulations.
  • Overtime on Public Holidays: Employees working on official public holidays are entitled to higher rates of overtime pay in the UAE, in addition to regular holiday pay as prescribed by UAE labour law.

Employee Rights in the UAE

  • Fair Compensation: Employees have the right to fair compensation for overtime hours worked beyond their regular schedules, as stipulated by UAE labour laws.
  • Requesting and Refusing Overtime: Employees should be aware of their rights regarding overtime work and have the right to request or refuse overtime work after the standard hours in accordance with labour regulations. An employee can’t work for more than 2 extra hours a day, except under the terms and conditions specified in the executive regulations.

What Are the Minors Labour Laws in the UAE?

Minors labour laws in the UAE are fundamental legal safeguards implemented to protect children’s rights, welfare, and education. These laws aim to prevent exploitation, ensure proper development, and maintain a balance between education and employment for minors.

Minimum Working Age in the UAE

The minimum working age in the UAE is 15 years old. Children above 15 years old may engage in light work that does not impede their education, health, or development, subject to approval from relevant authorities.

The law prohibits children below 15 years old from engaging in any form of work, emphasizing the importance of education and protecting children from work-related risks.

Hazardous Work

Child labour laws strictly prohibit minors from engaging in hazardous or dangerous work. This may include tasks in industries such as mining, manufacturing, construction, and other high-risk occupations that could endanger the health or safety of children.

Night Work and Overtime Hours

Letting minors work during nighttime or work overtime hours conflicting with their education or health is also prohibited. Regulations aim to ensure that children have sufficient time for education, rest, and personal development.

Education and Work Conditions

  • Focusing on Education: Child labour laws in the UAE prioritize children’s education. Employers must ensure that the employment of minors does not hinder their education. Employers are only allowed to employ minors during their school vacations.
  • Safe Work Conditions: In cases where minors above the minimum age limit are employed, employers must provide safe and suitable work conditions that do not jeopardize the physical or mental health of the child.

Conclusion

In conclusion, the comprehensive UAE labour law reflects the state’s commitment to promoting a fair work environment that prioritizes the welfare of employees, ensuring their rights, safety, and fair treatment while providing a stable legal framework for companies to operate efficiently.

By adhering to the UAE labour law, employers demonstrate their commitment to ethical hiring practices, fostering a workplace culture that values inclusivity, fairness, and compliance with regulations. Similarly, employees benefit from legal protection safeguarding their rights, promoting work-life balance, and ensuring a safe working environment.

As the UAE continues to evolve and experience economic growth, adherence to strict labour laws serves as the cornerstone that contributes to the country’s prosperity and enhancing its status as a global business hub with ample opportunities.

Important Cautionary Note

This content is provided for informational purposes only. While we make every effort to ensure the accuracy of the information presented, we cannot guarantee that it is free of errors or omissions. Users are advised to independently verify any critical information and should not solely rely on the content provided.