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Labor Code in Dubai, UAE

Labor Code in Dubai, UAE - Makebiz

Labor laws in the UAE define working time standards, working conditions, insurance, disciplinary actions and reasons for suspension. Such legal acts are frequently updated and supplemented, so it is extremely important for employers and employees to know the current laws of the Labor Code to understand rights, obligations and avoid conflict situations. 

The permissible duration of the working day is considered to be 8 hours per day or 48 hours per week. And every five hours there must be a break of at least one hour. When working remotely, working hours are negotiated separately. If there is work in excess of the norm, the employee has the right to claim a bonus of 25% of the basic wage. In the case of overtime work at night, the percentage of remuneration increases to 50. 

There are rules for combining work when working part-time. In such a case, the company the person works for must issue a part-time work permit. For family visa holders, a second job can be arranged by obtaining a certificate of no objection from the visa sponsor. It is worth bearing in mind that part-time work is defined as working less than 8 hours. 

The standards of working conditions and safety in enterprises and companies include the employer’s obligation to provide employees with the necessary means of protection against occupational injuries, to provide the necessary training and to place information boards. Regular inspections from occupational health and safety must be carried out. For injuries sustained at work, the company pays compensation after receiving a medical certificate. In case of fatalities, an amount equal to the employee’s basic salary for two years (not less than AED 18,000 and not more than AED 200,000) is paid.

According to labor standards, it is forbidden to work on construction sites and any open spaces in the summer from 12.30 to 15.00 from mid-June to mid-September. 

It is important to keep in mind that health insurance is mandatory in the UAE for any field of labor. Some companies in certain regions fully pay for insurance for their employees. This feature is usually specified in the Labor Contract at the time of employment.

Emirates legislation ensures equality of both sexes — men and women. The Labor Code obliges employers to pay equal wages regardless of gender for the same work. The same applies to issues of discrimination on any other grounds. 

It is also worth noting the main provisions on the employment of Gulf nationals:

  • they have equal rights with UAE nationals;
  • must be authorized by MoHRE to work;
  • are entitled to a pension in accordance with the law in their country and to extended GCC insurance cover.

Companies with more than 50 employees must be registered with MoHRE and have a special system for monitoring workplace injuries, as well as provide workers with accommodation that complies with safety standards. 

Among the disciplinary actions for workplace violations, the Labor Code specifies: written notice or warning, a fine with payroll deduction, a two-week suspension, forfeiture of bonuses and career advancement opportunities, and termination.

Suspension is possible when an employee is charged with a crime by competent authorities. Salary for days out of work will only be paid if the charges are dropped.

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