New labour law in UAE

The new UAE Labour Law (Federal Decree-Law No. 33 of 2021), which came into effect as of 2 February 2022 to address changes in the work environment, align UAE labour relations with international best practices and recognise the need for a typical and/or flexible working structures. The New Law will replace Federal Law No. 8 of 1980 entirety, and it is the most significant amendment to UAE labour legislation since the Current Law’s enactment.

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    Scope of Application

    The new labour law provisions will be applicable to all establishments, employers and workers in the UAE private sector. However, there are certain categories of employees who will not be subject to the provisions of the new UAE labour law. They include;

    • Employees working in federal and local government offices
    • Employees of the armed forces, police and security; and
    • Domestic workers

     

    Key changes in UAE Labor law

    We have listed below a comprehensive review of the key changes and a comparison between the previous Labor Law and the New Labor Law.

    Probation Period
    Type of work
    Salary Payment Currency
    Employment Contract
    Parental Leave
    Compassionate Leave
    Study Leave
    Maternity Leave

     

    The Cabinet has the right to exclude any category from all or some of the provisions upon the Minister’s proposal.

    The companies in UAE must be updated about the changes in UAE labour law and the compliances that follow. Outsourcing your company’s payroll will ensure the assistance of a team of trained payroll professionals. HLB HAMT is a leading payroll outsourcing company that offers services across all the GCC nations. Contact us to know more about the changes in UAE labour law and the required compliance.

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