Employment Contracts and Employment Law: A Brief

Employment Contract and Law Post-February 2022

After New UAE Labour Law came in 2022, it is observed on very large level that employees do have the issues with employers on many things. These conflicts are observed with HR departments, with internal legal departments, and sometimes directly with owners. Though it was also an Instruction, all agreements should be shifted to limited contracts.

But part from this, there has been several issues between employees and employers after New UAE Labour Law, came in February 2022. Being a Law Firm, we have also received a large number of inquiries and questions this regard, which always has been successfully answered by our expert Emirati Advocates and Legal Consultants.

Read Here: New UAE Labour Law 2022

Let us tell you again that, every Labour and Employment contract has to be shifted to the new agreement from 1^st February 2023.

Visit Here: No.1 Labour and Employment Lawyers in Dubai

As per new UAE Labour Law, several types of Labour and Employment work types and contracts have been introduced. Now employees can work remotely, employees can work part-time, employees can work on over-time, employees can work on small employment contracts. Workers can work as freelancer and can also obtain freelancer VISA now, as well. In Short, there are 12 types of work permits and 6 work modules (flexible) are available.

Now the duration of limited contract/fixed contract is 3 years. But once the contract is expired, then it can be renewed for unlimited amount of time. When it comes to calculate the EOS benefits, then the last renewed contracts must be considered, while calculating the EOS calculations.

Read Here: What is End of Service?

As per the Law, the last contract, is considered while calculating the EOS dues. Therefore, it is also recommended that for the understanding or for signing the new employment contract, please must consult the Labour and Employment Lawyers first. Apart from this, the mutual consensus of employee and employer, plays a bog role. Now just new Federal Employment Law is enforceable and applicable.

Notice periods have been revised in new UAE Labour Law. One month notice is required, when employee wants to join another company after resigning or, he will serve 14 Day’s notice period if he wants to leave the country after resigning. When employee is terminated then he has to serve 14 days’ notice period as per new UAE Labour Law.

As far as normal notice period is required, then it is 1 month as minimum and 3 months as maximum. Article 43, New UAE Labour Law, explains that, if either party is not willing to fulfil the notice period, then that party has to compensate the other party with a full salary for the number of months’ notice period was mentioned.

As per 2021 Law, the employee who resigns are entitled for full end of service payment. For the service of 1-5 years, the employees are entitled for 21 days salary. The service year must be more than 1 year for the gratuity entitlement. The total gratuity should not be more than two-year total salary. The gratuity is for full time workers. The annual leaves entitlements are the same as before. Non-Competition and Non-Disclosures are same but with a better enforceability. The unfair compensations are not like before.

The Labour and Employment Lawyers are the Advocates and Legal Consultants to grab the opinion and legal service for UAE Labour Law matters. Ask The Law – Al Shaiba Advocates and Legal Consultants, is one of the best Law Firms in Dubai and UAE to offer legal services for Labour and Employment matters. To understabd new UAE Labour Law, book the legal appointment and consult the best Employment Lawyers in United Arab Emirates.