New UAE Labour Law

 

Labour laws/Employment laws are those that mediate the relationship between labours and owners. Collective labour law relates to the tripartite relationship between employee, employer and union. Individual labour law concerns employees' rights at work also through the contract for work. Employment standards are social norms for the minimum socially acceptable conditions under which employees or contractors are allowed to work.

Employment Laws and Regulations in UAE

Federal Law No. 8 of 1980 also known as the Labour Law as amended, governs the labour rights of employees in the private sector. It applies to all employees working in the UAE, whether UAE nationals or expatriates. However, there are certain categories of employees who are exempt from the law and may have to follow another set of regulations. Learn about employment laws and regulations in the private sector.

New Labour Law UAE

On 2 February 2022, Federal Decree Law No. 33 of 2021 on the Regulation of Labor Relations in the Private Sector will replace the current Federal Law No. 8 of 1980 and its amendments.

Ministry of Human Resources and Emiratization, known before as Ministry of Labor is responsible for overseeing the employer-employee relations and maintaining labor rights for the private sector.

Federal Law No. 8 of 1980 also known as the Labor Law as amended governs the labor rights of employees in the private sector.

The Labor Law handles matters related to working hours, vacation and public holidays, sick leave, employing juveniles, maternity leave, employee records, safety standards, termination of employment and end of service gratuity payments. According to Article 3 of the Law, it applies to all employees working in the UAE, whether UAE nationals or expatriates. However, there are certain categories of employees who are exempt from the law and may have to follow another set of regulations.

As amended by Federal Law No. 24 of 1981 and Federal Law No. 12 of 1986, the provisions listed in the law do not apply to the following categories:

Employees and workers of the federal government and the local governmental departments

Employees and workers in public entities and institutions, whether federal or local, and employees and workers appointed for governmental, federal and local projects

Members of armed forces, police and security

Domestic servants in private households and similar occupations

Workers in farms or pastures with the exception of persons working in agricultural institutions processing the products thereof or the persons permanently operating or repairing mechanical machines required for agriculture.

A new labour law will largely eliminate the workplace differences between public and private sectors when it comes into effect in February, a minister said.

Dr Abdulrahman Al Awar, Minister of Human Resources and Emiratisation, said the goal was to ensure the two sectors were equal when it came to entitlements.

“This law limits the differences between both sectors in a way that will boost our goals of establishing an integrated, sustainable and efficient and more attractive work environment,” he said at a briefing on Monday.

“And this law aims to eliminate differences between both sectors that would have been considered to be discriminatory.”

Last month, the government set out labour changes that it said would protect the rights of employers and employees, to ensure more flexible working models for the post-coronavirus workplace.

 

In September, a major package of job reforms with a budget of Dh24 billion ($6.5bn) was unveiled to get 75,000 Emiratis into the private sector in five years. The vast majority of Emiratis work in government or semi-government jobs.

Dr Al Awar said bringing the public and private sectors closer together was crucial.

Government employees have historically received more annual leave and public sector holidays.

Even before the changes in February, a government worker largely gets the same entitlement – about 30 annual leave days each year, plus public holidays – as someone working in a private business.