What is the New UAE Labour Law 2022?

All About the New UAE’s Labour Law 2022

Recently, one piece of news created a buzz in the entire world’s working culture. That piece of news was related to the New UAE Labour Law 2022 amendment. Although UAE was already one of the employee-friendly zones to work in, after the new changes in the UAE labour law, it has gained a lot more trust and admiration. It is said that the law favours the whole employee community. Along with this, there is a lot of confusion about what needs to be dissolved and declared regarding the new labour law 2022. 

Many think that the new UAE Labour Law 2022 is all about the employees’ working days. But this is not the whole story. There are many aspects from which the employees get the benefit. It counts extra working hours, paternity leaves, exemption on legal fee charges, and many more. Yes, we can relate to this curiosity you hold right now to know what it is all about. So, let us unlock each one of your curiosity one by one and learn what this employee’s favourite law is all about?

The New UAE Labour Law 2022 Overview

The New UAE Labour Law 2022 Overview

Even in small companies, the law has concentrated on enriching the betterment and dismissing the exploited working environment. The Ministry of Human Resources and Emiratisation (MOHRE) took a major step by amending some highly demanded concerns on different umbrellas for the employees. The new UAE labour law 2022 discussed and comprehended is all employees could wish for. Let us understand what the law is all about and the amendments that could benefit you if you are one such employee dedicated to UAE’s company. 

Different Working Models and their Meaning

Full-time employee: If the employee is dedicated to a single employer and is hired permanently is called a full-time employee. 

Part-time employees: If a person is engaged with one or more employers and has a short time to work, this is a part-time employee.

Contractual Employees: Employees working for an organisation for a fixed period until the construct is in power for a project or so. 

Remote work: The employees are allowed to work partially or entirely from their homes and are rarely supposed to visit the office ambience. 

Flexible working employee: These employees can work at their convenient working hours or shifts as per the work pressure.

The Segments of the New UAE Labour Law 2022

Segments of the New UAE Labour Law 2022

  • Working Hours Countdown

It is important to know that the working hours have remained the same, 8 hours a day. That means an employee is supposed to work for 48 hours in a week based upon the Federal Decree’s Article 17 (1) – law Number (33) of 2022 on the Regulation of Labour Relations (lately commenced as the New Employment Law).

The work rule also deals with the Federal Decree’s Article 7 clause 1-Law No (47) of 2021. On the standard General Rules of Work in the United Arab Emirates, “the New Employment Rules”. 

  • Pressure at the Workplace 

As per Article 74 of the new statute, the overburdening of employees are strictly prohibited. This means employers have no power to flood them with work pressure or even can not force them against their wishes. 

Including this, the employee’s interest is also saved because of the prohibition of unpaid overtime. If the nature of the job demands such a working hour, then the employer is supposed to pay 125% of the employee’s regular hourly payment. This can greatly impact employees’ dedication to work with enhanced productivity. 

  • Harassment at the Workplace

Harassment is an issue faced almost every day by some employees, which is now resolved through UAE’s labour law 2022, where acts like sexual harassment, bullying, verbal or physical or psychological exploitation against the employees by the owner or by the higher authority are strictly punishable. This has relieved many workers who cannot give their best because of these challenges. 

  • Equal Pay to Men and Women

This issue has never been on the table for discussion but needs an acknowledgement. The hard work was praised partially, which is not what a good working environment looks like. But now, the case has got justice where equal pay will be given to men and women both.

This is also a part of women’s empowerment, which is encouraged by the new UAE Labour Law 2022. The Council of Ministers states that the payout for men and women would be as per the efficiency irrespective of which gender they are.

  • Non-disclosure and Competitive Clause

The non-competitive clause benefits the employers and can add things in their favor. This notion can only be used if the employee is allowed to access the sensitive or confidential details of the company or the employer. 

It is the contractual basis that has the highest effect till two years. Unless and until the conditions are mentioned as per time, place, and job description, there would be no legitimate business interest formed by the employer.

Employees Welfare Umbrellas Mentioned in the New UAE Labour Law 2022

Employees Welfare Umbrellas Mentioned in the New UAE Labour Law 2022

Purpose Permitted Leaves
Bereavement Leave 5 days after the death of a spouse.

3 days after the death of a close family (mother, father, siblings, child, grandparents).

Paternity Leave Up to 5 days of paternity leave to be taken intermittently or concurrently over 6 months after childbirth.
Maternity Leave Maternity leave- paid leaves for 45 days.

(This can be extended up to 15 more days as half paid leave)

After 45-day unpaid leave is allowed but unpaid for cases such as the illness of the mother and/or child. It is required to submit some supporting documents as proved. Cases like babies born with disabilities can grant 30 days of paid leave. Here, one can extend this upto 30 more days but unpaid.

Examination Leave 10-days study leave for employees studying in state-approved educational facilities, given their service tenure for the current employer is more than two years.
National Duty Leaves UAE nationals working for private companies are entitled to full-time leave for national service. Proof of service is required.

Note: There were no amendments made on the sick leaves. Hence, the old laws are only in effect. 

Changes in End of Service Benefits 

  • Employees’ termination without end of service benefits (EOSB) payment is prohibited.
  • If the EOSB is pending, the company cannot make a reduction or deduction on the gratuity amount based on the worker’s contract type or resignation date.
  • The end of service benefits (EOSB) must be paid within 14 days of the job’s end.
  • In case of end of employment on account of the death of an employee, the entitlements must be paid to the deceased’s family after deduction of body repatriation costs.
  • In the case of an employee living in employer-paid accommodation, the employee is allowed to vacate the abode 30 days from the end of the contract.

Ease of Movement for Employees

There were often concerns about employees whose official documents were seized by the employer. This used to create hardships in moving from one country to another sometimes. Employees who do not belong to the UAE suffered a lot and were left with no other options but to obey the owner’s orders. This concern was as serious as the others mentioned above. Hence, the revolution of employees also dismissed this issue. 

In the new UAE Labor Law 2022, it is mentioned that illegal actions to capture the employees’ documents such as passports and more. The new statute also safeguards workers from such situations when they are forcefully asked to leave the country on an immediate basis. 

As per the statute passed by the Ministry, it is considered that the workers must get their right of wages to be paid on the due date positively. And the best part of the section under Federal Decree no. 33, 2022, is the allowance or 180 grace days to stay in the emirate after they get terminated from their jobs. Before this, a fine was imposed on the visa if the employee could continue to stay in the country after a business visa was approved and had no purpose to stay back after the suspension. 

List of 12 Different Types of Work Permits in the New UAE Labour Law 2022

Different Types of Work Permits

Permit Name Description
Standard Permit A standard permit is defined for inviting overseas employees into the nation for work.
Work Permit A work permit for citizens who live in the emirate and stay at their relatives’ home.
Temporary Work Permit The temporary work permit is for those employees who are temporarily associated with the company
Project Work Permit A project work permit is issued for Ministry-registered establishments that wish to recruit overseas employees for a short-term purpose or contractual basis.
Part-time Work Permit The part-time work permits are for those employees who work part-time. This permit allows workers to work for multiple employers.
Juvenile Work Permit The juvenile work permit gives accessibility to young, aged employees between 15 and 18 to work at Ministry-registered facilities under legal regulations and controls.
Training & Employment Permit The training and employment permit is issued to students to train and get recruited
GCC Citizens Work Permit A work permit for GCC citizens and children permit one to be a worker at Ministry-registered establishments.
Golden Residence Work Permit A work permit for golden residence holders is approved and issued on the request of a Ministry-registered entities
National Trainee Work Permit A national trainees work permit is for Ministry-registered institutions to train citizens on some scientific interests or qualifications.

End Thoughts

After the announcement and execution, the new UAE Labour Law 2022 made the UAE one country that prioritized its workers’ well-being and job satisfaction. The main objective behind the decision was to encourage the workforce with advancement and comfort as the Ministry declared human resources to be one of the biggest and most important assets. They contribute to the company’s success and the nation’s growth. Hence, there has been a good change seen and a ray of job satisfaction among employees. 


How will gratitude be calculated in New UAE Labour Law 2022?

To calculate gratitude, multiply your daily payment by 21 or 20 as per your duration of the service in the organisation. For example: if a person has a salary of AED 10,000 as per his salary slip, then divide the basic salary by 30 where the result would be 333.30. Hence, the gratitude of the person would be the figure aforementioned.

Can one be entitled to avail the end service of benefits after resigning from the company in a year?

No. As per the new UAE Labour Law 2022, the employee must serve for a year to reach the eligibility requirements for gratitude in a UAE based company. Even the workers who resign from the company in six months or prior are out of the race.

Can a worker break the contract after a year in the UAE?

An employee can cancel the contract after a year if it has been discussed and settled from the employers’ side too. In this case, the company may ask to serve the notice period to the worker. According to the new UAE labour law 2022, a notice period cannot be more than three months.

Richa Sahal
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