The United Arab Emirates recently introduced the Federal Decree-Law no. 33 of 2021 on the ‘regulations of labour relations’, which would be in effect from 2nd February 2022 (“new decree law”).
The new decree-law aims to bring about more efficiency in the labour functions in the UAE. The rules have been specially formulated to strike a balance between attracting and retention of the best talents and skills, as well as providing an attractive business environment for employers. Thus, to empower both the parties and to ensure heightened participation in pursuing national development goals.
The UAE also recently announced that all the UAE federal government entities would have a four and a half work week, starting from Monday to Friday, with Fridays being half days. The changes are, however, applicable only to the federal or government staff, and the private employers are not obliged to follow them. However, schools and banking institutions are going ahead to adapt to the new changes. It is therefore expected that many private sector companies will follow suit and adapt to similar timing or might provide more flexible working options, including a work from home routine on certain days.
Mandatory rules concerning work hours:
Article 17 of the new decree states the mandatory rules that are to be legally followed by employers, and these include:
Article 17:
Increased Flexibility:
Article 17 (6) allows for a flexible working plan to be instituted for the employee based on the mutual consensus between the employer and the employee. This is not a mandatory provision and depends on the Employer’s descretion to allow it or not. Article 17 (6), states, If the Worker wants to perform Work remotely, whether inside or outside the UAE and with the consent of the Employer, the Employer may stipulate specific working hours.
The goals have been instituted with the intention to enhance flexibility and sustainability of the UAE’s labour market by ensuring the protection of the parties to, development of, and exception circumstances encountered by, the working relationship that would have an impact thereon. The new decree thus endeavors to strike the right balance between rights and obligations of both the Employer and the employees.
What is the full list of fines for money laundering in the UAE? Dr. Hassan Elhais
The UAE Ministry of Economy has announced the list of penalties for violations of the laws relating to money-laundering and terrorism financing.Can I Appeal Against an Arbitration Award?
Arbitration is best described as a cost-effective alternate dispute resolution process, which assists in smoother business relationships without incurring the rigidity of court proceedings. To address many of the pitfalls of the arbitration process and to bring the UAE arbitration process in tune with the best international standards, the UAE enacted Federal Law No. 6 of 2018 on ‘Arbitration’ and its amendments (“Arbitration Law”).Commercial leasing and breach of contract punishments
In legal terms, a lease agreement can be defined as ‘a contract by which one party conveys land, property, services, etc. to another for a specified time, usually in return for a periodic payment’. A ‘commercial lease agreement’ constitutes a written lease agreement whereby a landlord agrees to lease his commercial property to another person or entity for a given business purpose and specified time period.