Dubai Labour law- Workers' rights and limited contracts

Employment relationships in Dubai and the wider UAE are governed by the Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations in the Private Sector (the UAE Labour Law), which became fully effective in 2022.

The new law primarily focuses on limited-term (fixed-term) contracts, as it abolished the concept of new unlimited contracts.

Here is a summary of workers' rights and key provisions relating to limited contracts:

📅 Limited (Fixed-Term) Contracts

Limited contracts have a defined start and end date. Under the new law:

• Maximum Duration: A limited contract can be for a term of up to three years, and it can be renewed for a similar or shorter period upon mutual agreement.
• Essential Details: The contract must clearly specify the start date, end date, nature of work, workplace, and the amount of remuneration (salary and allowances).

⚖️ Key Workers' Rights and Entitlements

Workers under limited contracts are entitled to several fundamental rights:

1. Working Hours, Overtime, and Rest

• Normal Hours: Maximum of 8 hours per day or 48 hours per week.
• Overtime Compensation: Employees are entitled to an additional payment of at least 25% of their basic wage for overtime. This increases to 50% for work performed between 10 p.m. and 4 a.m. (with exceptions for certain roles).
• Weekly Rest: A minimum of one paid rest day per week, usually Friday or Saturday.

2. Leave Entitlements

• Annual Leave (Full Pay):
• 30 days per year after completing one year of service.
• 2 days per month if service is over six months but less than one year.
• Maternity Leave: 60 calendar days in total: the first 45 days at full pay, and the remaining 15 days at half pay.
• Parental Leave: 5 working days for both male and female employees, to be taken within six months of the child's birth.
• Sick Leave: Up to 90 days per year, with payment calculated as:
• First 15 days: Full pay
• Next 30 days: Half pay
• Remaining days: Unpaid

3. End-of-Service Gratuity (Severance Pay)

For foreign workers who have completed one year or more of continuous service, the gratuity is calculated based on the basic wage as follows:

• 21 days' basic pay for each of the first five years of service.
• 30 days' basic pay for each subsequent year.
• The total gratuity must not exceed two years' pay.

🚫 Early Termination and Compensation

Terminating a limited contract before its expiry date can result in financial liabilities for the party who initiates the termination without a "legitimate reason."

If the Employer Terminates Early (Without a valid legal cause):

• The employer must provide a written notice of 30 to 90 days (as agreed in the contract).
• The employee is entitled to "Early Termination Compensation" of at least three months' remuneration (salary and allowances), or the remaining period of the contract, whichever is less.
• The employee is also entitled to all other final benefits, such as gratuity and unused annual leave pay.

If the Employee Resigns Early (Without a valid legal cause):

• The employee must provide a written notice of 30 to 90 days (as agreed in the contract).
• The employee may be liable to pay the employer "Early Termination Compensation." This compensation is calculated as half of three months' remuneration, or half of the remuneration for the remaining contract period, whichever is less.

Termination During Probation

The probation period cannot exceed six months.

• Employer terminates: Requires 14 days' written notice.
• Employee terminates to leave UAE: Requires 14 days' written notice.
• Employee terminates to join another UAE employer: Requires one month's written notice. The new employer may be required to compensate the previous employer for recruitment costs.

⚠️ Protection and Dispute Resolution

• Anti-Discrimination: The law prohibits discrimination based on race, color, sex, religion, national origin, social origin, or disability.
• Equal Pay: Women must be paid a wage equal to a man's wage if they perform the same work or work of equal value.
• Final Settlement: The employer must pay all final entitlements (including gratuity, notice pay, and unused leave) within 14 days of the end of the contract.
• Labour Complaints: Workers can file a complaint with the Ministry of Human Resources and Emiratisation (MoHRE) if they feel their rights have been violated. Litigation fees for claims less than AED 100,000 are often exempt for workers.

 The old law (Federal Law No. 8 of 1980) was completely repealed and replaced by the Federal Decree-Law No. 33 of 2021 (the New Labour Law), effective February 2, 2022. This wasn't just an amendment; it was a fundamental overhaul.

1. 🛑 The Old Rule on Gratuity Forfeiture (Questions 3 & 4)

The advice given about end-of-service gratuity for a limited contract resignation is INCORRECT under the current 2021 law.

Old/Incorrect Content (Remove)	Correct Rule Under Decree-Law No. 33 of 2021
"The Labour Law does not entitle a worker who was working under contract for limited period to claim end-of-service if the worker himself broke the contract." (From the Answer)	A worker is always entitled to their full End-of-Service Gratuity (EOSG) upon completion of one year of service, regardless of the cause of termination, including resignation from a limited contract. The new law abolished the old penalty-based reduction/forfeiture for limited-term contracts.
"He refused to give me my end-of-service gratuity." (Employer's Claim)	This claim is illegal. If you have completed more than three years of continuous service, you are entitled to the full EOSG (21 days' basic pay for each year).

Action: Replace this section with the correct entitlement: The worker is fully entitled to their end-of-service gratuity based on their years of service and last basic wage.

---

2. 🛑 The Old Rule on Compensation for Early Resignation (Questions 6, 7, 8, 9, 10)

The FAQ section still refers to the old compensation formula for the employee breaking a limited contract.

Old/Incorrect Content (Remove)	Correct Rule Under Decree-Law No. 33 of 2021 (Article 43 & 51)
"The worker shall compensate the employer an amount equivalent to 45 days’ salary if the employer can prove the damages." (From the Answer)	The compensation calculation has fundamentally changed under the new law. The employee is obligated to serve the 30-90 day contractual notice period.
"Worker should by 45 day from his total salary or the residual period of the contract whichever is shorter." (Question 6 & 9)	If the employee fails to serve the required Notice Period (30 to 90 days), they must pay the employer a "Notice Allowance" equal to their salary for the unserved portion of the notice period.
"As for the limited contracts, there is no one month of notice…" (Question 8)	This is incorrect. The new law mandates that either party can terminate a limited contract with a written notice period of 30 to 90 days (as per contract), provided there is a legitimate reason. The 30-day minimum notice applies to all contracts now.

Action: Replace the old Article (116) concept with the requirement for 30-90 days' notice. The primary liability is for failure to serve this notice, not an automatic compensation for breaking the limited contract (unless the contract requires a longer notice period or the termination is found to be without a legitimate cause).

---

🔑 Summary of Your Rights

Here is how your situation is legally governed under the current 2021 law:

Issue	Employer's Claim	Current UAE Labour Law (2021)
End-of-Service Gratuity	Refused to give gratuity.	Illegal. You are fully entitled to your EOSG for 3+ years of service.
Deduction (45 days' salary)	Deducted 45 days' salary for breaking the limited contract.	Illegal Deduction. The only legal deduction for resignation is compensation for the unserved portion of the 30-90 day contractual notice period.
Ban/Sponsorship Transfer	May prevent transfer (ban).	Obsolete. No-objection certificates (NOCs) and automatic bans for breaking a limited contract have been largely abolished. You can generally transfer immediately upon successful termination (serving notice and paying any due compensation).

You should file a complaint with the Ministry of Human Resources and Emiratisation (MoHRE) against the employer for illegally withholding your gratuity and illegally deducting your salary.

 

Renewal of residence (employment) permits of private sector workers

This involves a description of procedures of Naturalization & Residency Administration (Dubai) in renewing residence (employment) permits for a private sector workers

Required Documents:

• Prepaid e-form application

• Original passport of the sponsored worker

• 2 photographs of the sponsored worker

• Original medical certificate

• Original and copy of labour card or postal receipt

• Original and copy of the main valid commercial license.

• Copy of the valid establishment card

Fees & Collection

AED 100 as residence permit fees for each year (3 years maximum) according to the e-form

AED 120 urgent delivery fees (optional).

AED 10 for ordinary delivery applications

Special Notes:

Fees for residence permits and typing of applications shall be paid at the typing offices while all security deposits shall be paid cash to the bank staff at the Section hall. Fines against overstaying 17 days or less shall be paid cash to the “Fines Collection” staff at the Section hall, while fines for overstaying longer than 17 days shall be paid cash to the bank staff at the Section hall.

Visa Fees and document requirement in Dubai U.A.E

1. 90 Days Long-Term Visit Visa (Individuals)
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsor or authorized signatories (signed and stamped)
* Required documents:
 Clear passport copy of the sponsor
 Clear passport copy of the sponsored person
 A copy of the salary certificate or employment contract of the sponsor (resident) must be attached
 Proof of family relationship (kinship)
 Traveler insurance
* Fees: 
 Fees:  AED 1110 e-DNRD fees.
 AED 1120 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person.
 Valid for 60 days from the issue date and non-renewable
 Valid for 90 days from the arrival date and non-renewable.
2. 30 Days Short-Term Visit Visa (Individuals) 
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped)
* Required documents:
  Clear passport copy of the sponsor.
 Clear passport copy of the sponsored person
 A copy of the salary certificate or employment contract of the sponsor (resident) must be attached
 Proof of family relationship.
 Traveler insurance.
* Fees :
 AED 610 e-DNRD fees.
 AED 620 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person.
 Valid for 60 days from the issue date and non-renewable
 Valid for 30 days from arrival date and non-renewable
3. 30 Days Short-Term Visit Visa (Companies) 
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped)
* Required documents:
  Clear passport copy of the sponsor.
 Copy of the establishment card.
 Traveler insurance
Fees: 
  AED 610 e-DNRD fees.
 AED 620 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person.
Valid for 60 days from the issue date and non-renewable
Valid for 30 days from the arrival date and non-renewable
4. 90 Days Long-term Visit Visa (Companies) 
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped)
* Required documents:
  Clear passport copy of the sponsor.
 Copy of the establishment card.
 Traveler insurance
Fees: 
  AED 1100 e-DNRD fees
 AED 1120 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person.
Valid for 60 days from the issue date and non-renewable
Valid for 90 days from the arrival date and non-renewable
5. Student Visa: sponsor must be one of the licensed Universities or Educational Institutions in the UAE (recognized by the Ministry of Higher Education) 
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped)
* Required documents:
  Clear passport copy of the sponsor
 Copy of the establishment card
 Copy of the trade license
 Traveler insurance
Fees: 
  AED 1110 e-DNRD fees.
 AED 1120 e-form fees
 AED 1000 deposit refundable upon departure of the sponsored person.
6. Medical Treatment: Medical Establishments (Public and Private) approved by the Ministry of Health or Health Authority 
  E-forms application form (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped
* Required documents:
  Clear passport copy of the sponsor
 Copy of the establishment card
 Medical certificate attested by MOH or Health Authority
 Traveler insurance
Fees: 
  AED 1110 e-DNRD fees
 AED 1120 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person.
Valid for 60 days from the arrival date and can be renewed twice, 60 days each:
 AED 610 e-service fees.
 AED 620 e-form fees
7. Exhibitions/Festivals/ Conferences: for Governmental and Private Establishments 
  E-form application (fees paid) including clear personal photo of the sponsored person approved by the sponsors or authorized signatories (signed and stamped)
* Required documents:
  Clear passport copy of the sponsor
 Copy of the establishment card
 Copy of the trade license
 Letter by the concerned entity announcing the exhibition, festival, or conference.
 Traveler insurance
Fees: 
  AED 210 e-DNRD fees
 AED 220 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person
- Valid for 60 days from the issue date and non-renewable
- Valid for 30 days from the arrival date and non-renewable
8. (33) Countries Upon Arrival 
* Required documents:
  Original passport
 Free of charge
 Special notes: renewal shall be once and for a similar period (30 days).
Fees: 
  AED 620 e-form fees
 Service is provided through all air, land, and sea ports.
9. Tourist Visa for all Nationalities (Tourist companies): 
* Required documents:
  Clear passport copy of the sponsor
 Traveler insurance
Fees: 
  AED 210 e-DNRD fees
 AED 220 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person
Valid for 60 days from the issue date and non-renewable
Valid for 30 days from the arrival date and renewable for the similar period (30 days), upon payment of a fees of AED 620.
Service is provided through the eDNRD eServices.
10. Escorts of GCC nationals 
 To be issued to escort of GCC nationals (domestic helpers), for 60 days.
* Required documents:
  Original passport of the sponsored person
 Valid residency visa.
Fees: 
  AED 165 e-form fees.
Special notes: 
 Renewable twice and for a similar period (60 days each time).
Renewal fees :AED 320
Service is provided through all UAE entry points
11. GCC nationals (Resident) 
 To be issued to GCC resident nationals and those who accompany them
* Required documents:
  Original passport of the sponsored person
 Valid residency visa
 Proof of employment in the country of residence
Fees: 
  AED 165 e-form fees.
Special notes: 
 Valid for 30 days and renewable once for a similar period (30 days).
Renewal fees AED 620 (e-form fees)
12. Mission Visa 
 To be issued to businessmen and highly qualified professionals.
* Required documents:
  Clear passport copy of the sponsor
 Health insurance
Fees: 
  320 e-form fees
 AED 1000 deposit, refundable upon departure of the sponsored person
Special notes: 
 Valid for 14 days from the issue date and non-renewable.
Valid for 16 days from arrival date and non-renewable.
13. Transit Visa 
* Required documents:
  Original valid passport
 Entry form for 96 hours
 A valid ticket for onward flight
Fees: 
  AED 165 e-DNRD fees
 AED 165 E-form fees
Special Notes: 

Valid for 96 hours from the arrival date provided that the duration between the two trips is no less than 8 hours.
Hotel reservation is needed.
This service is provided through UAE entry points

Mission Visa Clarity: UAE Streamlines Short-Term Work Permits

UAE Short-Term Work Visas: The Current Status of the 90-Day Mission Permit (2025 Update)

The visa categories described in the old article have been replaced or clarified by modern work permits that align with the new Federal Decree-Law No. 33 of 2021.

The general term "Mission Visa" now primarily refers to the short-term work permit issued by MoHRE for specific, limited engagements.

1.
The 90-Day Mission Work Permit

The Mission Visa (also called the Mission Work Permit or One-Mission Permit) is officially an entry permit for foreign workers brought in to complete a specific temporary job or time-bound project.

Old Mission Visa Concept (2009)	Current Mission Work Permit (2025)
Duration: 90 days (renewable once for 90 days), or sometimes 6 months.	Duration: Typically issued for 90 days (3 months), single entry. Some free zones or authorities may allow a one-time renewal, though rules can vary.
Issuing Authority: Applied for at the Ministry of Labour (MoL).	Issuing Authority: Issued by MoHRE after the sponsoring company secures quota approval.
Transfer to Residence Visa: Conflicting information; often required employee to leave the UAE.	Transfer to Residence Visa: A transfer to a standard 2-year Employment Visa is generally possible IN-COUNTRY, provided the employment relationship becomes permanent and the company is compliant. The employee must complete the medical test and Emirates ID process.
Cost & Deposit: Highly variable (AED 500-1200), plus a refundable deposit (AED 3,000).	Cost & Deposit: Highly variable based on company classification. A security deposit (often AED 3,000) or insurance guarantee is still typically required by MoHRE/ICP, which is refundable upon completion/cancellation.

2. The 16-Day Special Mission Entry Visa (Now Obsolete)

The 16-day visa mentioned is now largely superseded by various flexible short-term visit visas available for different nationalities, including the new Jobseeker Visit Visas (available for 60, 90, or 120 days for those in specific skill levels).

3. Other Short-Term Work Permits (New Categories)

The new law introduced specific permits for short-term and flexible work arrangements, which reduce the reliance on the Mission Visa for all temporary work needs:

New Permit Type	Duration	Purpose
Temporary Work Permit	Issued for up to 6 months	Used for project-based work, testing a candidate, or temporary staffing needs.
Part-Time Work Permit	Valid for 2 years	Allows an employee to work for one employer part-time while being sponsored by another, or for multiple employers (with approval).
Freelance Permit	Valid for 2 years	Allows a skilled individual to work independently without employer sponsorship (available in certain categories and Free Zones).

Conclusion on Mission Visa Use

The Mission Work Permit remains a viable option for employers who need to bring specific expertise from abroad for a defined, short-term period (e.g., consultants, specialized engineers for a project). However, the overall process is now clearer, and the ability to transition the employee to a permanent residence visa without exit is generally possible under the current regulations, solving the main confusion point from the original article.

 

Credit card bill worries In Dubai

A reader from India asks: I lost my job suddenly and went back to India, but my bank filed a case against me in court regarding my credit card bill. The bank is not negotiating to settle the amount reasonably. What can be done to close this issue? I am in India right now.

I would like to advise the questioner to settle the issue with the bank amicably by way of trying to reschedule the debt and repayment in comfortable instalments or payment of the amount currently required by the bank otherwise the questioner has no choice but to await the court judgment if the bank remits the matter to the competent court.

Questions answered by Advocate Mohammad Ebrahim Al Shaiba of Al Bahar Advocates and Legal Consultants.