UAE Employment Law Basics
UAE private sector employment is governed by Federal Law No. 33 of 2021 (the new Labour Law, in force February 2022). It modernised many aspects including unlimited-term contracts, non-compete clauses, and job mobility rights.
- Contracts: all employment contracts must now be fixed-term (max 3 years, renewable) — unlimited contracts were abolished in 2022
- Probation: maximum 6 months; during probation, 14 days notice required
- Annual leave: 30 days after 1 year; 2 days/month in first year
- Sick leave: 15 days full pay, 30 days half pay, 45 days unpaid per year after probation
- Gratuity: 21 days basic per year for first 5 years; 30 days per year thereafter
- Non-compete: enforceable for max 2 years; limited to geography and job function
- Job mobility: you can change employers after 6 months without needing employer NOC
