UAE Labour Law 2025: The Ultimate Guide
Getting trapped in the endless contradictions of labour laws is always challenging, even more so with the new amendments in 2025. Here, you will find this ultimate guide to what changed and how these alterations could influence you and your business in UAE.
Key Changes in UAE Labour Law 2025
Working Hours and Schedules:
- Standard Working Time: 8 hours per day or 48 hours per week.
- Maximum Overtime: 2 hours per day.
- Break Requirements: Mandatory breaks to be provided after 5 working hours have been completed.
- Ramadan Working Timing: Cut down by 2 hours for all employees working in the private sector.
- Overtime Compensation: Regular overtime rates at 25% premium, night shift (10 PM - 4 AM) at 50% premium, and weekend/off-day work at a 50% premium or compensatory day off.
Leave Entitlements:
- Annual Leave: 30 calendar days for employees with 1+ years of service.
- Study Leave: 10 working days per year for approved educational purposes.
- Remote Work Provisions: Written agreement mandatory, specific working hours must be stipulated, performance monitoring guidelines, and data security protocols.
Employee Protection Measures:
- Non-Compete Clauses: Maximum duration of 2 years, reasonable geographic restrictions, and limited to specific business interests.
- End of Service Benefits: Revised calculation method, enhanced protection for long-term employees, and new gratuity computation formula.
Workplace Flexibility Updates:
- Flexible Work Arrangements: Part-time work regulations, job-sharing possibilities, compressed work week options, and remote work frameworks.
- Summer Working Hours: Midday break from 12:30 - 3:00 PM (June 15 - September 15), outdoor work restrictions, and compliance requirements.
- Public Holidays: Updated holiday calendar and private sector alignments.
Compliance Requirements:
- Documentation Updates: Contract modifications, policy revisions, and compliance deadlines are needed.
- Penalties for Non-Compliance: Financial penalties ranging from AED 5,000 to 50,000 for first violations, with enhanced penalties for repeated violations.
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Visioncraft Consultant is an established HR consultant in Dubai, UAE. We offer solutions in recruitment, staff recruitment, management and retention, workforce planning, training, and compliance to enable organizations to enhance operational performance. With our professional staff, we provide requesting solutions to companies based on their specific demands in the UAE for the faultless process of HR.
Regardless of the nature of a business, whether it is a newly-formed enterprise or an organization in business for years, Visioncraft Consultant is ready to offer complete Human Resource services, including recruitment and selection, training and development, payroll management, and strategic human resource management.
Get in touch with a Visioncraft Consultant to learn more about the changes occurring in UAE labour laws. To learn more about how we can assist you with these changes and improve your HR management, contact us today
