UAE Labour Law (Federal Decree-Law No. 33 of 2021, effective February 2, 2022) governs the employment relationship between UAE employers and employees. This quick reference covers the key obligations every UAE employer must know.
Employment Contract Requirements
All UAE employees must have a written employment contract in English and Arabic. Contracts must specify: job title, basic salary, allowances, working hours, contract type (limited or unlimited), annual leave entitlement, and notice period. Limited-term contracts have a maximum duration of 3 years (renewable).
Working Hours
Standard: 8 hours per day, 48 hours per week. During Ramadan: 6 hours per day for Muslim employees. Overtime: maximum 2 hours/day; paid at 125% of standard rate (150% between 10pm–4am). Friday is the official weekly rest day (some sectors use Saturday).
Annual Leave Entitlement
| Service Period | Annual Leave |
|---|---|
| Less than 6 months | 0 days |
| 6 months to 1 year | 2 days/month (pro-rated) |
| 1 year or more | 30 calendar days/year |
End-of-Service Gratuity
Employees who complete 1+ year of service are entitled to: 21 calendar days’ basic salary per year for the first 5 years + 30 calendar days’ basic salary per year beyond 5 years. Maximum gratuity: 2 years’ total basic salary.
Notice Period
Both employer and employee must give notice: 30 days minimum (for service of 1–5 years), 60 days (for 5+ years service). Notice can be paid in lieu by either party.
Probation Period
Maximum probation: 6 months. During probation, notice period is 14 days (by employer) or 1 month (by employee seeking to join a competitor).