Leave policy in the UAE ensures employees’ rights to time off and balances workplace efficiency. Governed by Federal Decree Law No. 33 of 2021, it outlines various types of leaves in UAE. This includes annual leave, sick leave, maternity or paternity leave, public holidays, and more. Each leave type has specific conditions and entitlements based on employment terms. The employee needs to notify the employer in advance, submit the necessary documents, and wait for approval for any type of leave under the UAE leave policy.
As for the leave policy calculation, it is done based on the daily wage of the employee multiplied by the number of leave days taken. The UAE labor law also includes measures to resolve disputes and ensure fairness, such as the powerful grievance redressal system of MOHRE.
What Is the Leave Policy in the UAE?
The leave policy in the UAE is a set of rules that explains when and how employees can take time off from work, to create a balanced work environment in the UAE workplace.
Are there any laws related to leave policies? Yes, the UAE Labor Law, or Federal Decree Law No. 33 of 2021 is related with leave policy in the UAE; it states the rules for annual leave, maternity or paternity leave, public holidays, and any other type of leave to which workers are entitled.
Summary of Leaves
| Leaves | Entitlement | Conditions |
|---|---|---|
| Annual Leave | 30 days paid | After 1 year of service |
| Annual Leave (partial) | 2 days per month | After 6 months of service |
| Sick Leave | Up to 90 days/year (15 paid, 30 half paid, 45 unpaid) | After probation period |
| Maternity Leave | 60 days (45 full paid, 15 half paid) | - |
| Paternity Leave | 5 working days paid | Within 6 months of child's birth |
| Bereavement Leave | 5 days (spouse); 3 days (immediate relatives) | - |
| Study Leave | 10 days per year | After 2 years of service |
| Public Holidays | 10-15 paid days annually | - |
| Hajj/Pilgrimage | Up to 30 days unpaid | Once per employment tenure |
| Weekly Rest Day | At least 1 paid day off per week | - |
| Unpaid Leave | Possible | Subject to employer approval |
What Types of Leave are There Under UAE Labor Law?
The UAE Labor Law has specific rules and regulations regarding pay and duration. The types of leave in the UAE labor law are-
1. Weekly Leave
According to Article 21 of the UAE Labor Law, workers are entitled to at least one paid day off every week. Employees who work on a rest day (Article 28) are entitled to 150% of their base pay or an alternate day off.
2. Annual Leave
Employees can get 30 days of paid leave annually after 1 year in the UAE. 2 days a month after 6 months and for less than a year. If authorized, unused leave may be reimbursed or carried over.
3. Sick Leave
Employees can get up to 90 days of sick leave in a year after completing probation according to the sick leave policy in the UAE.
- The first 15 days are fully paid
- The next 30 days are half paid
- The remaining 45 days are unpaid.Â
However, if the sick leaves are due to an employee’s violation of any safety instructions or regulations as per law, they will not be allowed paid sick leaves.
4. Maternity Leave
A total of 60 days—15 days of half salary with 45 days of full pay—applies even when a baby dies or has a stillbirth after six months of pregnancy. If a mother or child is medically unable to return, extended leave options include an additional 45 days of unpaid leave. 30 days of full pay + 30 days unpaid if the infant is unwell or disabled and needs round-the-clock care.
5. Paternity Leave
Employees can take 5 working days of paid parental leave within a period of six (6) months from the date of the birth of their child. It helps them care for their newborn, even during emergencies.
6. Bereavement Leave / Compassionate Leave
Employees in the UAE can get bereavement leave in case someone in the latter’s family dies. They are entitled to have 5 days of paid leave in the UAE in case of the death of a spouse. Employees will be granted three days’ leave if other immediate relatives die. For instance, father, mother, son, sibling, or grandparent.
7. Emergency Leave
Such leave is typically unpaid or may be deducted from accrued annual leave, subject to employer discretion and company policy
8. Hajj/Pilgrimage Leave
Muslim employees can take a maximum of 30 days of unpaid leave to go on a pilgrimage to the holy city of Mecca in Saudi Arabia. An employee can take this leave only once during their tenure with the company they are currently working for.
Moreover, there is no specific mention of Umrah leave in UAE labor law.
9. Study Leave
The UAE Labor Law has allowed 10 days of study leave in a year to sit for the examinations at a UAE educational institution where they are regularly studying. However, he/she must complete two years of service to be eligible for this leave.
10. Public Holiday Leave
The UAE observes both federal and emirate-specific public holidays. Employees usually get 10 to 15 paid public holiday days each year under the vacation policy in the UAE. However, it depends on the emirate and if the holiday falls on a workday.
On Ramadan days, working hours are reduced by two hours per day for all employees regardless of their religion. This applies to both indoor and outdoor workers. Construction workers also continue to receive a midday break from 12 pm to 3 pm.
11. Marriage Leave
There is no official marriage leave in the UAE for the private sector.
12. Unpaid Leave
Employees can get unpaid leave after obtaining the employer’s approval according to the unpaid leave policy in the UAE. These unpaid leaves will not be counted as a service period or in the retirement scheme.
Leave Entitlement Based on Employment Type
Leave entitlement in UAE vary depending on the type of employment contract. The UAE Labour Law, supported by MOHRE’s guidelines, defines rules for both full-time and part-time workers. Full-time employees follow the standard leave structure. As for the part-time employees, the leave entitlement is calculated on a pro rata basis.
Full-Time vs Part-Time Leave Entitlement
Full-time employees are entitled to have the full range of paid leaves as per the UAE Labor Law. It includes annual leave, sick leave, maternity and paternity leave, and public holidays.
Part-time employees are also eligible for paid leave. They receive leave proportionate to the hours they work, as outlined in Article 18 of Cabinet Decision No. 1/2022.Â
Here’s how it’s calculated:
Part-time leave entitlement,Â
= (Total working hours / the number of working days in the year) x legally prescribed holidays.Â
However, an employee can get a minimum of five working days of paid annual leave per year.
Probation Period Leave Rules
The UAE leave law states leave isn’t accrued during probation for paid leave However, you can get unpaid leave by talking to your employer.
According to Federal Decree-Law No. (33) of 2021, Article 9 (1), the maximum probation period is six months after the start of the job.
How to Calculate Leave Salary in UAE?
Understanding the legal method of computing employee entitlements is essential, especially when it comes to accurate leave salary calculation in UAE
How is leave salary calculated?
In the UAE, leave salary is calculated based on the basic salary of the employee. Here, the basic salary excludes any additional bonuses or allowances.Â
The following formula is used for employee leave salary calculation in the UAE.Â
Leave Salary = Daily Wage x Number of Leave Days
Here,Â
Daily Wage = Basic Salary / 30.Â
Now, let’s say the basic salary of an employee is AED 9,000. Also, the employee is entitled to 30 days of annual leave.
So, leave salary = (Basic salary /30) x Number of daysÂ
= AED 9,000 ÷ 30 × 30
= AED 9,000
So, the employee will receive AED 9,000 as leave salary.
Payout of Unused Leave on Resignation/Termination
According to the UAE Labor Law, if an employee’s service is terminated, whether through resignation or dismissal, he/she is entitled to compensation for any unused annual paid leave in UAE.
This compensation is calculated based on the employee’s basic wage only, just like the leave salary calculation in the UAE.
What is the Leave Application and Approval Process in the UAE?
The application and approval process for leave in the UAE involves notifying the employer. Employees need to provide the necessary documentation and await the employer’s approval.
Notification Requirements
Employees must submit their leave requests well in advance. It helps employers to plan and manage workloads effectively. Once the leave is approved, the employer must notify the employees of their confirmed leave dates at least one month before the leave begins.
Documentation Required
Annual leave
- Leave request form
- Any supporting documentation required by the company. For instance, medical certificates.
Medical leavesÂ
- Instant attestation for sick leave of 5 days or less
- Sick leave certificate, medical report related to the leave for sick leave of more than 5 days
Escort leaveÂ
- Sick leave certificate
- Medical report
- Attach proof of relationship
Unpaid leave
- Prior approval is required from the employer.
Sample Leave Application Email Template
Subject: Leave Application for [Type of Leave] from [Start Date] to [End Date]
Dear [Manager’s Name],
I hope this message finds you well. I would like to request [Type of leave] from [Start Date] to [End Date], due to [reason description in brief].
I will ensure that all pending tasks are managed or delegated before I leave, and I will be reachable in case of any urgent requirements.
Thank you for understanding.
Best regards,
[Your Name]
What Are the Employer Obligations and Penalties Related to Leave Policy in the UAE?
Employers in the UAE must follow strict obligations regarding employee leave to ensure legal compliance. That’s because failure to do so can lead to hefty penalties.
Leave Record Management:Â Employers must maintain accurate, up-to-date leave records for all employees. These records should have detailed leave types and remaining balances. It helps employers ensure compliance with UAE labor laws. Moreover, it prevents disputes related to leave entitlements.Â
Consequences of Non-Compliance:Â If an employer fails to comply with annual leave provisions under the UAE Labor Law, they may face significant legal and financial consequences. It includes:
- MOHRE can impose monetary fines on the employer.
- Suspension of the employer from issuing or renewing work permits until the issue is fixed.
However, specific penalties depend on the severity of the violations.
Best HR Practices for Leave Policy Compliance
- Maintain clear document leave policies in employee handbooks and contracts.Â
- Employee contracts should contain clear details on the types of leave available and the process for the application process.
- Ensure all the leave policies comply with the UAE Labor Law.Â
- Use HR software like Huduri to automate the leave processes.
Final Words
The leave policy in UAE labor law benefits both employers and employees in maintaining a fair work environment. When the employees know their rights, they can take necessary breaks without worry. In contrast, employers can reduce disputes and enhance workforce satisfaction. So, ultimately, this is not just about following rules—it’s about building trust and a productive workplace!
FAQs on UAE Leave Policy
What happens if a public holiday falls during annual leave?
If public holidays fall during the annual leave, it is counted as part of your leave. You won’t receive extra days off or have your leave extended. The holiday does not add any additional paid leave beyond your original approved days.
Can an employer refuse sick leave?
Yes, there are certain cases when employers can refuse sick leave. For instance, during the probation period. The employers are not entitled to pay sick leave during the probationary period of an employee.
