The United Arab Emirates (UAE) recently published its new Federal Labour Law No. 33 of 2021 (New Law), which repeals Federal Labour Law No. 8 of 1980 (Previous Law). The New Law comes into effect on 2 February 2022 and introduces changes, some of which are likely to have a significant impact on existing employment arrangements. We set out below an overview of some of the key changes, their impact and next steps that employers should consider.
The New Law applies to all existing and future employment relations in the private sector onshore in the UAE, and also in free zones that do not have their own labour laws. The New Law will not apply to employment relations in the Dubai International Financial Centre or the Abu Dhabi Global Market as they have their own labour law regime.
Executive regulations (Executive Regulations) are expected to be issued by the Cabinet upon the proposal of the Minister of Human Resources and Emiratization, which will hopefully provide much needed clarity on the implementation of the various new provisions and changes introduced by the New Law.
The New Law sets out the different “models” that parties may agree to, which include:
Full-time – Working for one employer on a full-time basis.
Part-time – Working for one or more employers for a specific number of hours or days.
Temporary work – Work that is carried out during a specific period of time and that involves a specific task and ends with its completion.
Flexible...
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