The UAE has introduced sweeping changes to its labour laws to include various models of flexible working as offices resume operations workplaces after the COVID-19 pandemic.

Issued by President Sheikh Khalifa, the new laws will come into effect on February 2, 2022, as per a statement issued by the Ministry of Human Resources and Emiratisation on Monday.

The new rules have been updated under the Federal Decree-Law No 33 of 2021, which governs employment relations in the private sector. Notably, the new rules do not apply to employees in the UAE's public sector as well as domestic workers.

In the private sector, the new rules will give employees the opportunity to opt for temporary and flexible work, freelance jobs, condensed working hours and shared jobs.

Flexible work-week

Dr Abdulrahman Al Awar, Minister of Human Resources and Emiratisation, explained the condensed-hours model, noting that if an employee works 40 hours a week according to the contract, he can perform the 40 hours in three days only.

However, it must be agreed by both employee and the employer in accordance with the clauses in the contract.

Furthermore, in the shared-jobs model, two people can do the same job and split the pay after agreeing with the employer.

Systematically, the new changes facilitates a more flexible workweek providing the opportunity to the employees to perform as many hours as they need to meet their needs without committing to a full-time position.

Part-time: It allows an employee to work for one or more employers for a specific number of working hours or days.

Temporary work: In this setup, workers are engaged in the task only for a specific period of time. An employee is attached to a task till its completion.

Flexible work: This allows employees to change working hours or working days, depending on the workload and the employer's needs.

Protection and support

The new laws have enhanced the protection of employees and other people in the workplace. It prohibits discrimination on the basis of race, colour, gender, religion, nationality, social origin, or disability. Furthermore, employees are getting more protection against harassment.

Employers are not allowed to withhold employees' documents, such as passports or charge recruitment fees from workers. An employment contract can only last for upto three years. Furthermore, any indefinite contract must be changed to fixed-term contracts that can be renewed in the future.

Employers are not allowed to keep the probation period over six months and employees must be given at least two-week notice before their termination during this time.

Employees willing to change their jobs during the probation period are required to give a month's notice and a 14-day notice if they are looking to leave the country.

The new rules also exempt employees from paying legal fees when filing labour cases against employers for compensation less than Dh100,000.

However, if the amount is more than Dh100,000, a legal fees must be paid.

At the same time, the new laws call on employers to conduct training, install warning boards and provide safety kits to workers to avoid work-related injuries. In case of an employee’s death at workplace, employers are required to pay the end-of-service benefits and any outstanding amount to the family of the deceased within ten days. They are also required to pay the costs of repatriating the body.

Under the new law, overtime must not be over two hours in one day. Depending on the nature of the job, if extra hours of overtime are required in a day, employees will get an overtime wage which will be 25 percent more than their regular hourly pay.

Employers are required to pay end of service gratuity in UAE dirhams or employee's chosen currency according to the employment contract. Employees also have one month from the end of the contract to vacate the accommodation provided by the employer.

Paid leave: All employees will get a paid rest day with the option of more according to the contract. The new law also provide a period of paid mourning leave between three to five days to employees depending on their relation with the deceased.

Fathers get five days paid paternity leave according to the new law applying to all emirates. Meanwhile, other paid leave allowances will be decided by the Council of Ministers.

Non-compete clause

The new law includes a 'non-compete' clause that can be written into a contract. It allows an employer to stop an employee from competing against them or participating in a competing project in the same sector. It is beneficial for employers who have employees with access to privileged information.

Under this, the contract must specify the length of time of the effectiveness of the clause. But it cannot last over two years from when the employee's contract is terminated. The contract must consist of relevant information about types of work and places not permitted within the duration with the aim of protecting business interests.

Under-18s

The updated law allows teenagers aged 15 and above to work after obtaining written approval from their parents and a medical fitness report.

However, they must not be hired to perform risky jobs that could harm their health and ethics or allowed to work after 7pm. Furthermore, they must not work more than six hours daily, including a one-hour break.

Dr Al Awar stated that the changes are aimed at bringing flexibility to the law in order to allow more amendments in the future. At the same time, it will attract qualified employees to the country.

“We are preparing for the next 50 years through a network of laws and legislations that respond to the requirements of this significant stage in the country’s history," he added.