Q: Hi Sir, If an employee did not use the annual leave continuously for three years, how to calculate the leave salary?

Q: Dear Madam/Sir, I am employed under a JAFZA contract, and at the end of June, I'm leaving the company and the UAE. My position is a manager and I am office-based. My employment contract is based on 5 working days per week (Friday and Saturday off). When I take my annual leave, only the weekdays are taken for my leave balance calculation (i.e. 2 weeks off costs me 10 days leave). I still have an outstanding leave balance of 12 days over 2021. The company will pay out these days with my final salary. However, I have my doubts about the way they calculate the value of these days. They take my monthly salary, divide this by 30 days, and multiply this by 12. But in my opinion, since I have a contract based on 5 days per week, they should take my monthly salary and divide it by 21.75 days instead of 30 days. I would like to know what is the correct way to calculate this, and how this is described in the UAE labor law. Thank you very much in advance. Kind regards, P.

Q: Hello! I am writing to enquire about what the UAE law says about the termination of contracts by employers and the benefits paid to employees under such circumstances.

The UAE has adopted a major reform in its legislative system that brought about 40 new laws and amendments to the company law, criminal law, personal status, among others. The amendments aim to develop the legislative structure in various sectors, the labor law being one of these, was the most recent. We try in this article to shed light on the changes introduced with the new labor law and their significance on both, the employer and employee.

The provisions of this Decree-Law, known as "New UAE Labor Law", govern labour relations in the private sector of the United Arab Emirates. The New Labor Law repeals the previous UAE Labor Law (Federal Law No. (8) of 1980).

The provisions of this Law, known as "UAE Labour Law", govern the relationship between employers and employees and other labour matters in the United Arab Emirates. There are special labour related regulations applicable in some of the free zones in the UAE.

This Decree sets the rules and conditions for the termination of fixed-term (limited) or unlimited (not term-bound) employment contract between employer and worker in the United Arab Emirates.