UAE Employment Law: How to Resolve a Labor Dispute

Author: Ashraf Motei

In general, there is a distinction between employees in the public sector to those working on the private sector. At the federal level, the Federal Authority for Government Human Resources is in charge of managing human resources for ministries and federal authorities, which are subject to the Decree law. The Federal Decree Law no 11 of the year 2008, as amended, governs public sector employees. These laws apply to the civil servants who are earning their salaries from the federal budget, as well as the civil employees working at federal authorities and corporations.

In this article, we would like to focus on private sector employees. The UAE employment law is Federal Law no 8 of 1980 also known as Labor law governs the labor rights of employees in the private sector. The Labor Law handles matters related to working hours, vacation and public holidays, sick leave, employing juveniles, maternity leave, employee records, safety standards, termination of employment and end of service gratuity payments.

According to Article 3 of the Law, it applies to all employees working in the UAE, whether UAE nationals or expatriates. However, there are certain categories of employees who are exempt from the law and may have to follow another set of regulations.

The Ministry of Human Resources and Emiratisation is responsible for overseeing the employer-employee relations and maintaining labor rights for the private sector.

In case of a dispute between the employee and the employer, or either, an application must be made, should either of the party fail to settle the dispute, to the labor office in the emirate in which the employer's establishment is located. Latest at this point engaging an employment lawyer in UAE would be advisable. The application must be made by written complaint with the complaint department at the labor office, setting out a summary of the facts, calculation of the amount due, and enclosing a copy of the labor contract. The application will be filed with the Ministry upon collection of Dhs. 100 as registration fees. Either the employer or the employee will be summoned to hear the argument at the labor office, and at the Ministry of Labor and Social affairs must make the recommendation within two weeks from the date on which the application is filed. Should the party still fail to settle the dispute as recommended by the Labor Office, the matter will then have to be referred to court to be litigated in the normal matter. In such a case, the Labor Office will issue summary of the case, the facts of the case, and the memorandum together with the recommendation, and the argument put by either party. The court, within 3 days from the date on which application is received, shall schedule a hearing date and summon the other party to hear the matter.

Lawyers in UAE should be consulted for any labor dispute. Motei and Associates are amongst the most experienced labor lawyers in UAE.