Q: Currently working at Company X in Dubai. I recently got a stronger offer from Company Y, a much larger firm in the same industry but in a different free zone. When I asked if Company X could match the offer, they proposed a bonus, not a salary adjustment. I resigned. While I didn’t disclose where I was going, they seem to know, and their legal team has started sending letters. My contract has restrictive clauses, including: “For 12 months post-termination, the employee shall not, without prior written consent, (a) be employed or engaged in any capacity by any business in competition in the UAE with any Restricted Business; (b) have business dealings with any Client or Prospective Client in such competition.” Friends in law say it’s too broad to enforce. I held a manager role, AED 30k/month, not C-level, though considered a key member. Despite the pressure, I believe they’re overreaching legally. Please advise if these non-compete clauses are enforceable.

Q: Dear Lawyers, I need your advice regarding a non-compete clause in my contract. I left my former employer last September, and they were a free zone company. I have since started a similar business online with a Tajer license. However, my ex-employer is sending me emails daily, threatening to take legal action if I don’t close my business. Can you advise on my rights and the best course of action? Best regards,

Q: Hi. I have resigned from a company to move out of the country. Later I decided to come back and I asked them if they could take me back. They declined and I have a message stating that I'm free to join anywhere. I joined a new organization and they are filing a labor case for a non-compete clause and not clearing my FnF.

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.