Labour law in the UAE is regulated by Federal Law no. 8 of 1980 (as amended – federal laws no. 24/81, 15/85 and 12/86). The law applies both to UAE and to foreign workers. A further source is the individual employment contract which may be temporary or permanent with limited duration, not exceeding four years, subject to renewal by mutual consent, for the same or shorter periods.
As provided by art. 37 of Federal Law no. 8 of 1980, the employment contract ‒whose contract model is drafted in English and Arabic by the Ministry of Labour‒ may provide an initial trial period ranging from three to six months, in which the employer is free to terminate the employment relationship at any time without prior notice and / or remuneration to the employee (art. 37, Federal Law no. 8/1980 “The employee may be appointed for a probationary period not to exceed six months, and the employer may terminate the services of the employee during this period without giving a notice or end of service remuneration. Appointment of the employee on probation basis in the service of one particular employer may not be made more than once. However if the employee passed the probationary period satisfactorily, and remained in service, such period of service shall be computed in the period of his service”).
Working time is 8 hours per day and 40/48 hours per week with the exception of the month of Ramadan, in which the daily working hours are reduced to six, and of the summer months, due to high temperatures which sometimes reach sixty degrees. With regard to remuneration, over these last years the Ministry of Labour has set a minimum wage for each category. As for first level employees, namely personnel with university qualification, the law sets the minimum monthly wage at 12,000 AED. Lower wages are provided for second level workers (workers with a diploma) and third level ones (without university qualification). Both the employer and the employee have the right to terminate the contract and they may exercise it through a written communication with at least 30 days notice.
(Bologna Office – Linda Tontodonati – 0039(0)51 2750020).
