Federal Decree-Law No. 33 of 2021 ยท private sector

UAE Labour Law, answered in full

Every question a private-sector employee or employer asks, grouped by topic โ€” contracts, notice, termination, leave, and where to complain if something goes wrong.

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Section 1

Contracts & probation

What types of employment contracts exist?

Since February 2022, only limited-term (fixed-term) contracts exist in the UAE private sector โ€” the old "unlimited contract" was phased out. A limited contract runs up to 3 years and can be renewed any number of times for the same or a different term.

What are the main types of work arrangements?

The law recognises full-time, part-time, temporary, and flexible (freelance/gig) work models, plus job-sharing arrangements โ€” a shift from the traditional single full-time-contract norm.

How long can probation last?

Up to 6 months, and only once per employer. It cannot be extended beyond that in the same job.

Can I be let go during probation? With what notice?

Yes โ€” either side can end employment during probation with at least 14 days' written notice. If you're leaving to join another UAE employer, the notice is at least 1 month, and the new employer must reimburse certain recruitment costs to the current one if applicable.

Do I get gratuity if I leave during probation?

No โ€” gratuity only starts accruing meaningfully once you complete at least one year of service (see the gratuity calculator).

Section 2

Notice period & resignation

How much notice do I need to give to resign?

Whatever your contract states โ€” the law requires it to be between 30 and 90 days. Most contracts set 30 or 60 days. Check your specific contract; it's binding on both sides.

What happens if I resign without completing my notice period?

You owe your employer compensation equal to your pay for the remaining notice period โ€” unless you mutually agree to waive it, or you're leaving for a documented valid reason (e.g. employer breach). This is a real financial exposure many employees don't expect.

Can my employer refuse to let me go before notice ends?

They can require you to work out the notice period, or agree to release you early (sometimes for the compensation above). Garden leave โ€” being asked to stay away on full pay during notice โ€” is also common practice.

What if I have no employment contract to check?

MOHRE requires every private-sector job to be backed by a registered labour contract. If you were never given one, that's itself a compliance issue โ€” file a complaint via MOHRE's channels below.

Section 3

Termination & dismissal

Can my employer terminate me without cause?

Yes, with proper notice (per your contract, 30โ€“90 days) and full end-of-service entitlements. Termination without notice or valid grounds can be ruled arbitrary dismissal, entitling the employee to compensation of up to 3 months' pay in addition to standard entitlements.

Can I be fired instantly, with no notice or pay?

Only for a narrow list of serious-misconduct grounds set out in the law (e.g. proven fraud, serious breach of safety rules, revealing trade secrets, being convicted of a crime against honour) โ€” and even then, procedural steps must be followed. Ordinary performance issues do not qualify for summary dismissal.

Do I still get gratuity if I'm dismissed?

Generally yes, at the standard 21/30-day rates โ€” unless the dismissal falls under the narrow "gross misconduct" grounds above, which can forfeit gratuity entirely. This is contested territory; disputed cases often go to MOHRE or the courts.

What is a non-compete clause, and is it enforceable?

Employers can restrict an ex-employee from competing work only if the clause is limited in time (max 2 years), place (max 3 emirates), and type of work, and only where the employee had real access to clients or trade secrets. Overly broad non-competes are generally unenforceable.

Section 4

Leave entitlements

How much annual leave am I entitled to?

30 calendar days per year after one year of service (2 days/month if you've worked 6โ€“12 months). Unused leave can be carried over or encashed on leaving the job.

How is sick leave paid?

After probation: up to 90 days/year โ€” the first 15 days full pay, the next 30 half pay, the remaining 45 unpaid. During probation, sick leave is unpaid (at the employer's discretion) and requires a medical report.

What is maternity leave in the UAE?

60 days โ€” the first 45 on full pay, the next 15 on half pay. Additional unpaid leave can be requested for complications, and nursing breaks apply for a period after return.

Is there paternity or parental leave?

Yes โ€” 5 working days of paid parental leave for either parent, usable within 6 months of the child's birth.

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Section 5

Pay, WPS & complaints

What is WPS?

The Wages Protection System โ€” a mandatory electronic system requiring employers to pay salaries through approved channels within 15 days of the due date, monitored directly by MOHRE. Missed WPS payments trigger automatic compliance flags.

My employer hasn't paid me. What can I do?

File a complaint with MOHRE โ€” by phone (800-60), the MOHRE app, or in person at a Tasheel/Tawjeeh centre. MOHRE typically tries mediation first; unresolved wage disputes are referred to the labour courts, which have a fast-track process for wage claims.

Where do labour disputes actually get resolved?

MOHRE handles the initial complaint and mediation stage (free). If unresolved, the case moves to the specialised Labour Court, which must generally rule within a set timeframe โ€” no separate fees for the employee in most wage claims.

Do these rules apply to free zone employees?

Mostly yes โ€” Federal Labour Law applies UAE-wide, though DIFC and ADGM (financial free zones) run their own separate employment regulations with some different terms (e.g. DIFC's DEWS instead of gratuity โ€” see final settlement).

Section 6

Insurance, visas & Emiratisation

What is ILOE (unemployment insurance)?

The Involuntary Loss of Employment scheme โ€” mandatory for nearly all private-sector and free-zone employees since 2023. Premiums are tiny: AED 5/month if your basic salary is AED 16,000 or less, AED 10/month above that. If you're let go (not resignation) after 12 continuous months of paid premiums, it pays up to 60% of your basic salary for 3 months while you look for work.

Does resigning disqualify me from ILOE?

Yes โ€” the scheme only pays out for involuntary termination. Your work permit cancellation reason must show termination by the employer, not resignation, to claim.

Is health insurance mandatory?

Employer-provided health insurance is mandatory in Dubai and Abu Dhabi for all employees (and often their dependents), enforced at visa renewal stage. Rules vary slightly by emirate and by free zone โ€” check your specific employer's obligation with MOHRE or the relevant health authority (DHA in Dubai, DOH in Abu Dhabi).

What visa/permit types exist for employment?

Most employees hold a standard employment visa tied to their employer, renewed every 2โ€“3 years with the contract. Higher earners and specific skilled categories may qualify for the Golden Visa (5 or 10 years, not tied to a single employer). There's also a freelance permit route (no employer sponsor, common in media/creative free zones) and short-term mission/assignment visas for temporary work.

How long do I have to find a new job if I lose mine?

The standard grace period is 30โ€“60 days after visa cancellation. Golden Visa holders and certain skilled professional categories (MOHRE skill levels 1โ€“2) get a much longer 180-day grace period โ€” worth checking which category your role falls under.

What is Emiratisation, and does it affect me?

Under the Nafis programme, private companies above a certain headcount threshold must employ a minimum percentage of UAE nationals, rising annually, with financial penalties for missing the quota. This obligation sits with the employer, not individual employees โ€” but it does shape hiring plans at larger companies.

Do domestic workers (maids, drivers, nannies) follow this same law?

No โ€” domestic workers are governed by a separate law (Federal Law No. 9 of 2022), with different rules on contracts, working hours, and end-of-service benefits, administered through the Tadbeer centres rather than standard MOHRE channels.

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Official sources

Where these rules actually come from