UAE Labour / Employment LawFederal Decree by Law No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates

Article (1) Definitions In application of the provisions of this Law by Decree, the following words and phrases shall have the meanings assigned to each of them, unless the context otherwise requires: State : United Arab Emirates. Law : The Law regulating human resources in the Federal Government Sector or labour relations in the private sector in the States, and their executive regulations and resolutions issued in implementation thereof. Establishment(s) : Every economic, technical, industrial or commercial unit, or any other unit approved in the State, which aims to produce or

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 2 market commodities or to provide services, and which is subject to the provisions of this Law by Decree and licensed by the Competent Authorities. Employer : The federal government entity, or any of the private sector establishments in the State, as the case may be. Employee/ Worker : Every natural person who is an employee working for Federal Governmental Authorities or a worker working in one of the licensed Establishments in the Private Sector in the State. Employment Contract : Every agreement concluded between the Employer and the Employee or Worker, in which the latter commits to work for the Employer and under its supervision and direction, in return for a wage that the Employer is obligated to pay, according to the contract forms specified by the Law. Basic Wage : The wage specified in the employment contract, which is received by the Employer or Worker in return for his work under the employment contract, on a monthly, weekly, daily, hourly or piece-meal basis, and does not include any other allowances, bonuses or benefits in kind. Wage : The basic wage, plus the cash allowances and bonuses and benefits in kind that are decided for the Employer or Worker.

Article (2) Objectives of the Law by Decree This Law by Decree aims to achieve the following: 1. Setting and unifying the general rules of labour for all job occupants and workers in the state. 2. Enhancing the efficiency, attractiveness and sustainability of the labour market by ensuring the protection of the parties to the relationship and its developments. 3. Determining the rights of all employees and workers in the State in a balanced manner.

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 3 4. Creating balance and integration with regard to the attractiveness and efficiency of the work environment between the public and private sectors.

Article (5) General Controls for Work 1. The relationship between the Employer and the Employee or Worker shall be regulated under a fixed-term employment contract. The Law shall define the conditions, controls and procedures for contracting, and the obligations of both parties to the relationship. 2. It is prohibited to hire or employ persons under the age of eighteen (18) years. The Employer may hire or employ a person who has completed fifteen (15) years of age in

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 4 accordance with the rules and cases determined by the regulating legislation in this regard. 3. The Employer may appoint the Employee or Worker under the Probation Period for a period not exceeding six (6) months as of the date of commencing work; and the Law shall determine the provisions in this regard.

Article (6) Types of Work 1. The work types that be contracted shall be according to the following: a. Full-time: Working for one Employer for the full daily working hours throughout business days, whether from the workplace, remotely, or a hybrid work type, based on the employment contract, or what is agreed upon between the Employer and the Employee or Worker. b. Part-time: Working for one or multiple Employers for a specified number of working hours or days, whether from the workplace, remotely, or a hybrid work type, based on the employment contract, or what is agreed upon between the Employer(s) and the Employee or Worker. c. Temporary work: Work of which nature requires a specific period of time, or which focuses on a specific job and ends by the completion thereof. d. Flexible work: Work of which hours or working days change according to the volume of work and the economic and operational variables of the Employer. The Employee or Worker may work for the Employer for times that change according to work conditions and requirements. e. Any other types specified by the Law. 2. The Law shall regulate the cases in which it is permissible to combine more than one type of work with more than one Employer.

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 5

Article (9) Leaves 1. Leaves in the public and private sectors for those who work full-time shall be according to the following: a. Annual leave: A period not less than thirty (30) days per year, and two (2) days per month if the service period is more than six months and less than a year. Such leave shall be with pay. b. Maternity leave: A period not less than sixty (60) days, according to the following: 1. The first forty-five (45) days with full pay. 2. The following fifteen (15) days with half pay. The female employee or worker may combine maternity leave with any other approved leave.

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 6 The female employee or worker may not be dismissed or warned of dismissal for obtaining maternity leave or for being absent from work for the same reason, whenever the Employer has been notified thereof this in accordance with the Law. After returning from the maternity leave, the female employee or worker shall be entitled to an hour's rest to breastfeed the baby, for a period of no less than (6) six months as of the date of delivery. The female employee or worker may divide the hour's rest into two periods. c. Parental leave: A period of (5) five working days, for the Employee or Worker (whether the father or the mother) who has a child, to care for his/her child, continuously or intermittently, within a period of six (6) months as of the date of the child's birth. d. Sick leave: A period not less than ninety (90) days, as follows: 1. The first fifteen (15) days with full pay. 2. The following thirty (30) days with half pay. 3. The following period shall be unpaid. e. Mourning leave: A period not less than five (5) days, in the event of the death of the spouse; and three (3) days in the event of the death of the mother, father, son, brother, sister, grandson, grandfather or grandmother, starting as of the date of death. Such leave shall be with pay. f. Study leave: A period of ten (10) business days per year, continuously or intermittently, for the Employee or Worker who is enrolled - by affiliation or regularly - in one of the educational institutions accredited by the Ministry of Education, whether the educational institution is in or outside the State, in order to perform the tests. Such leave shall with pay. g. The national Employee or Worker is entitled to a full-time leave to perform the national and reserve service, in accordance with the legislation in force in the State. 2. Official holidays: Its period shall be the same as the official holidays determined by a Cabinet resolution. 3. The Law shall determine the rules and procedures for granting the aforementioned leaves, the possibility of working during them, the cases and conditions for carrying forward the annual leave, and obtaining compensation therefor, as well as the rules and procedures for granting any other leaves, whether with or without pay.

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 7 4. The Employee or Worker with other types of work is entitled to an annual leave that is calculated on the basis of proportionality with the hours or days of work; and the conditions for its entitlement and duration shall be determined in the employment contract, and as determined by the Law. 5. The Employee or Worker may be granted a leave without pay as determined by the Law or the employment contract.

Article (11) End-of-Service Gratuity 1. The end-of-service gratuity for the national Employee or Worker shall be in accordance with the legislation regulating pensions and social security in force in the State. 2. The foreign full-time Employee or Worker, who has completed one year of continuous service, is entitled to a gratuity upon the end of his service, calculated according to the basic wage, of which minimum shall be as follows: a. The wage of (21) days for each year of the first five years of service. b. The wage of (30) days for each year in excess of that. 3. The end-of-service gratuity shall be for those who have work types other than full-time, as determined by the Law. 4. Other systems may be adopted as alternatives to the end-of-service gratuity as specified by the Law.

Article (12) General Provisions 1. Without prejudice to the provisions contained in this Law by Decree, the rules established

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Federal Law by Decree No. (47) of 2021 Concerning the Unified General Rules of Employment in the United Arab Emirates 8 in this Law by Decree shall represent the minimum rights for workers in the private sector. 2. The provisions of this Law by Decree shall not prejudice any of the rights determined for the Employee or Worker under any other legislation, agreement, acknowledgment, system, programme or employment contract that grants the Employee or Worker rights that are more beneficial than the rights established under the provisions of this Law by Decree. 3. The periods and dates stipulated in this Law by Decree shall be calculated according to the Gregorian calendar. In application of the provisions of this Decree-Law, the Gregorian year is 365 days and the month 30 days.