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Planning to Work In UAE In 2025? Key Labour Law Updates To Know Before Accepting A Job Offer

UAE labour law: What to check before accepting an offer letter / Image Credit: Stock
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As the UAE continues to attract professionals worldwide, understanding the country’s labour laws is crucial for ensuring fair employment conditions. The latest updates to the UAE’s labour regulations, outlined under Federal Decree Law No. 20 of 2023, amend provisions of Federal Decree Law No. 33 of 2021, which governs all private sector employer-employee relationships. This article highlights the essential details to check before accepting a job offer in 2025.

The UAE Labour Law, effective since February 2, 2022, replaced the long-standing Federal Law No. 8 of 1980. It provides a modern framework to ensure equitable treatment of employees and employers, fostering a robust private sector. The law applies to all private businesses, employees, and employers in the UAE.

Work hours, leave policies:

The new law is designed to protect both employers and employees, ensuring they receive their rights in a fair and balanced way. It addresses issues such as working hours, overtime, leave, vacations, public holidays, employment of minors, employee records, safety standards, minimum wage, termination of employment, end-of-service benefits, work-related injuries, and more.

Structure of contract:

The new law introduces several work models such as full-time, part-time, temporary, and flexible. It abolishes the ‘unlimited’ type of contracts and admits only limited or fixed-term contracts. It grants new types of leaves and tackles issues related to harassment, bullying, physical violence, and psychological abuse against employees. The law prohibits forced labor and discrimination based on gender, race, color, sex, religion, national or social origin, or disability. It also outlines the responsibilities of employers towards their employees.

Salary structure:

The contract must clearly outline the agreed-upon basic salary, along with any allowances such as housing and transportation. It should also detail any additional benefits, such as bonuses or commissions, that may be offered. Furthermore, it’s crucial to confirm whether the salary payments are structured every month or if an alternative payment schedule is in place. This ensures transparency and avoids misunderstandings between the employer and employee regarding compensation.

Notice and probation period:

Before signing your offer letter, ensure that the notice period for termination aligns with UAE labor law, typically ranging from 30 to 90 days, and is fair to both parties. Understand the duration and terms of the probation period, which UAE law limits to six months, after which a valid reason must be given for termination. Additionally, verify that the probation period will be counted as part of your service once completed. If relocation costs are involved, make sure these are clearly defined and agreed upon.

Working hours:

Ensure that your working hours align with UAE labor law requirements. The law stipulates that the standard working hours in the private sector are eight hours per day, or 48 hours per week. However, these hours may vary depending on the industry or specific job categories. It is important to speak with your managers to clarify how your schedule will be structured, considering factors like your commute and accommodation. Make sure to have a thorough discussion about all these details before signing the offer letter.

Eligibility for a jobseeker visa:

Foreigners can now apply for a one-time visit visa to search for a job in the UAE without needing a host or sponsor. The job-seeker visa, valid for 60, 90, or 120 days, is available to individuals who meet certain criteria. Applicants must either be in the first, second, or third skill level according to the Ministry of Human Resources and Emiratisation (MOHRE) job classifications or be graduates from the top 500 universities globally, as recognized by the Ministry of Education, with a degree obtained within the last two years. Additionally, applicants must hold a bachelor’s degree or its equivalent and meet the required financial guarantee.