5 Changes to the UAE Labour Law in 2024

In a significant move towards enhancing workers' rights and improving the overall labor landscape in the United Arab Emirates (UAE), recent amendments to the UAE Labour Law have been introduced. Enforced from 1st January 2024, these changes primarily focus on streamlining the labor complaint process, providing workers with more transparent and efficient mechanisms to address their concerns.

Here are the key highlights of the five major changes and how they will positively impact workers:

1. Legally Enforceable MOHRE Decisions

The Ministry of Human Resources and Emiratization (MOHRE) has undergone a pivotal shift in its role in labor disputes. Now, MOHRE's decisions are legally enforceable through a 'writ of execution.' The 'writ of execution' serves as a court order, enabling the enforcement of MOHRE's judgments.

The Ministry of Human Resources and Emiratization (MOHRE) has undergone a pivotal shift in its role in labor disputes. Now, MOHRE's decisions are legally enforceable through a 'writ of execution.' The 'writ of execution' serves as a court order, enabling the enforcement of MOHRE's judgments.

2.Right to Appeal MOHRE Decisions

Parties involved in a dispute can appeal to the Court of Appeal within 15 working days of being notified of MOHRE's decision. The Court of Appeal's verdict will be final, and the appeal process suspends the implementation of MOHRE's decision, as outlined in Article 1 of the new law.

3.Claim Value Limit for Labour Disputes

The amended law introduces a cap on the claim value for labour disputes. MOHRE is empowered to make binding decisions in disputes where the claim's value does not exceed Dh 50,000. For disputes exceeding this value, MOHRE will continue to act as a mediator and refer the matter to the court if no amicable settlement is reached.

4.Statute of Limitation for Labour Claims

A standard one-year statute of limitation has been established for employment claims. This limitation starts from the date the claim becomes due. After this period, regardless of the merits of the claim, the right to sue is lost.

5.Salary Continuation during Disputes

In cases where a labour dispute results in the suspension of an employee's salary, MOHRE can now oblige the employer to continue paying the employee for up to two months during the dispute. In the event that parties involved in a dispute do not reach a settlement within 14 days, MOHRE will refer the dispute, along with a summary and recommendations, to a competent court.

How Davidson & Co Can Help with Labour Disputes?

Navigating the complexities of these new amendments requires legal expertise, and Davidson & Co stands ready to assist. Our team of experienced labor law professionals can provide comprehensive guidance and support in the following areas:

• Dispute Resolution, including termination, dismissal, redundancy, change of employment conditions, transfer of employment, end of service benefit claims, maternity, misconduct procedures and performance.
• Appeals Process
• Employer Compliance

For personalized assistance tailored to your unique circumstances, contact Davidson & Co. today. Our commitment is to safeguard your rights and ensure a fair and just resolution to your labor dispute.