Labour Law Updates in UAE - Recent Changes and Their Impact on Workers

1. Labour Law Updates in UAE: Recent Changes and Their Impact on Workers

2. The UAE has introduced several labour law updates in recent years to create a more balanced and fair work environment. These changes aim to protect employees’ rights, enhance workplace flexibility, and improve job security. Understanding these updates is crucial for both employers and employees to ensure compliance with the law and maintain smooth workplace operations. If you need an expert legal guidance on these changes, consulting a skilled labour lawyer in Dubai like Hussain Lootah can help you navigate workplace disputes, contract issues, and legal rights effectively. In this blog, we will discuss the latest labour law changes in the UAE and their impact on workers.

3. 1. Introduction of Flexible Work Models The UAE government has recognized the need for flexible work arrangements to accommodate different industries and work styles. Under the updated law, employees can now work under various contracts, including: • Full-time – Traditional employment with a fixed salary. • Part-time – Working fewer hours while being able to take on other jobs. • Temporary work – A short-term contract for a specific task. • Freelance work – Independent work without being tied to a single employer. Impact on Workers:These new work models provide employees with greater flexibility, allowing them to balance multiple jobs, work remotely, or choose a contract type that suits their needs.

4. 2. Equal Pay for Men and Women The UAE has reinforced its commitment to gender equality by ensuring that men and women receive equal pay for performing the same job. Employers are required to eliminate gender-based pay gaps and promote fair compensation. Impact on Workers: Women in the workforce now have stronger legal backing to demand equal pay, promoting a more inclusive and fair work environment.

5. 3. Reduction of Maximum Work Hours • The standard working hours remain at 48 hours per week, but some amendments have been introduced: • Overtime pay is now strictly regulated to ensure fair compensation. • Employees cannot be forced to work more than 144 hours every three weeks. • Work hours for Muslims during Ramadan are reduced to 6 hours per day. Impact on Workers: Employees can now enjoy better work-life balance, and they are legally protected from excessive working hours without fair compensation.

6. 4. Updated Gratuity Payment Rules End-of-service gratuity is now calculated differently for workers in the UAE: Employees who resign before completing one year of service are not eligible for gratuity. Workers who complete one year or more are entitled to gratuity based on their length of service. No deductions will be made from gratuity payments for employees who resign. Impact on Workers:Employees now receive a fair gratuity payout regardless of their resignation or termination status, ensuring financial security upon leaving a job.

7. 5. Strengthened Protection Against Workplace Harassment • The new labour law includes stronger anti-discrimination and anti-harassment measures. Employers must now prevent: • Sexual harassment, bullying, or physical abuse in the workplace. • Discrimination based on gender, nationality, race, or disability. Impact on Workers: Employees now have better legal protection against workplace harassment, creating a safer and more inclusive work environment.

8. 6. Job Security and Termination Rules • The updated law provides clearer termination conditions for employees and employers. Key points include: • Employers must provide a 30-90 days' notice before terminating an employee. • Termination without proper justification can be challenged in court. • Employees can no longer be terminated for being pregnant or taking maternity leave. • Impact on Workers:This change ensures employees have legal protection against unfair dismissal and have sufficient time to find new job opportunities.

9. 7. Increased Maternity and Paternity Leave • Maternity leave has been extended to 60 days (45 days fully paid + 15 days half paid). • Fathers are entitled to 5 days of paid paternity leave to support their family. • Impact on Workers:Parents now have more time to care for their newborns without financial stress, improving work-life balance for families.

10. Where Can I Find the Best Lawyers in Dubai? If you are looking for the best lawyers in Dubai, Hussain Lootah & Associates is a leading law firm known for its excellence in legal services. With over 27 years of experience, the firm provides expert legal assistance across various practice areas, ensuring clients receive comprehensive and effective legal solutions. Why Choose Hussain Lootah & Associates? • Corporate Law – Business formation, mergers, and contract negotiations. • Real Estate Law – Property disputes, transactions, and contract drafting. • Labour Law – Employment contracts, wrongful termination, and workplace disputes. • Criminal Law – Legal defense in fraud, financial crimes, and criminal cases. • Notary Services – Document attestation and legal certification.

11. Conclusion The UAE’s recent labour law updates focus on improving worker rights, promoting job security, and fostering a balanced work environment. Whether it’s fair pay, flexible contracts, or stronger employee protections, these changes benefit employees by creating a more transparent and inclusive workplace. For employees and employers alike, staying informed about these legal changes is crucial for ensuring compliance and making the most of the new benefits.