Decoding Annual Leave Policies in the UAE: A Comprehensive Guide


Do you find it challenging to understand the annual leave policies in UAE for employees? Are there lots of complexities of labour laws that are bothering you?

Whatever the situation is, employers and employees must understand and comprehend these rules and regulations for a healthy work environment.

Through this article, you will be able to dive deeply into the specific details of the annual leave entitlement in the UAE. Let’s explore comprehensive rules and regulations of the UAE labour law, and address some related queries and concerns.

Entitlement Of Annual Leaves To Employees In The UAE

The UAE labour laws are clear about employees’ annual leaves. UAE’s labour law states that an employee is entitled to fully paid leave after the completion of six months probation period. The provision enables employees to maintain a healthy balance of work-life.

Employees after completing one year of service can avail of 30 days of annual leave. This is a significant aspect of the annual leaves in UAE labour law is evidence that the UAE safeguards the rights of its workforce and welfare them. The law makes sure the rest of the employees, increase their productivity and boost their morale.

Moreover, the annual leave law is not only applicable to full-time employees; Part-time employees and workers, contractual employees, and freelancers can also avail them, however, the terms and conditions may vary.

Additionally, the UAE labour law demands that employers notify workers and employees about their dates for leave one month prior so that they can plan them for personal use and make sure their work management is effective and efficient. 

It is also a sanction in the UAE labour law that employees can avail of their unused leave days in the next year, with the approval of their employer. This is another example of flexibility the UAE labour law has to address diverse workforce circumstances.

Key Regulations For UAE Law For Annual Leaves

The UAE labour law provisions for annual leaves protect the employees rights and offer flexibility. One of the aspect of labour law regulations in UAE is that an employer must notify about the annual leaves to their employees one month in advance. Due to this rule, both, employees and employers can manage and plan their schedules effectively.

The UAE labour law also enables employees to avail of their unused leave days in the next, after the employer’s approval. This makes it easy for the employees who are for some reason unable to consume their leaves within a given year due to some circumstances or professional commitments.

Additionally, the UAE labour law also allows employees to accumulates annual leaves for more than two years. The employee can enchash their leaves instead of taking a break in this case. Through this provision, employees can be compensated for their unused leave.

It is to clarify that these regulations are just the small highlights of the broader UAE labour law. There are also regulations related to employment in the UAE including public holidays, sick leave, working hours, overtime, and end-of-service gratuity, etc. Understanding these rules and regulations is of utmost necessity to help employers and employees navigate the UAE labour law and infuse productivity and harmony in workplaces.

Can An Employer Refuse Annual Leave In The UAE?

The UAE labour law clearly states that an employer cannot refuse to provide yearly leave to its employees. The UAE labour law for annual leave ensure fair employment practices and highlights the UAE’s commitment to protecting employees’ rights.

However, the law also specifies certain responsibilities for both employees and employers. For instance, the employer must inform its employees of the annual leave dates in advance by at least one month to ensure sufficient time to adjust and plan work schedules accordingly.

Also, it is expected that employees to respect this prior notice and plan their leaves accordingly. It ensures harmony, effeciency, and productivity in work environment for smooth business operations.

In addition, the UAE labour law also provides felxibility to employees for emergency and unforeseen situations so that employees can take leave on short notice. In such scenarios, it is expected from an employer to show flexibility, provided it does not significantly interrupt business operations.

Furthermore, the annual leave UAE labour law also discourses scenarios where an employee may need to shelve their plans for yearly leave barring work commitments. In such cases, the employee can use their leaves in the next year with the approval of the employer.

Calculation Of Entitlements Of Annual Leave for Employees

A clear provision is there in the UAE labour law for calculating employee’s annual leave entitlements. This calculation is largely based on the duration of service of an employee.

Two days of leave per month is privided to employees with six months of compleetion of service. This provision ensures new employees to take a break and refresh.

An employee with one year of service completeion is entitled to to 30 days leave in a year. It is to clarify loud and clear that these stipulations of the leave entitlements of the UAE labour law are the bare minimum.  Individual employers may be generous enough to offer more leave entitlements in employment contracts.

In addition to the basic annual leave, other leave types such as sick leave, maternity/paternity leave, and Hajj/Umrah leave are also in the provisions of the UAE labour law. These additional types of leave cater to the employees specific needs that may emerge at different stages of their life.

What Will Happen If Do Not Utilize My Annual Leave?

The labour law in UAE has provisions addressing the situations of an employee who does not use annual leave. By law, you are allowed to add your unused days to next year leaves if you are unable to avail of your annual leave, provided you have approval from your employer. This flexibility ensures that employees who are bound to their work commitments do not lose out on their leave entitlements.

However, this may be subject to to specific conditions. For example, some employers may limit the number of leave days to carry forward the following year. Therefore, it is recommended to contact the HR department about this specific policy if you feel you can not avail of your annual leave.

In addition, you can also cash your unused annual leave according to the UAE labour law and this provision ensures fair compensation to employees who do not avail of yearly leave. But the certain condition is that you have to hoard your annual leave for more than two years.

Will I Get My Leave Salary If I Resign?

Yes, you can. According to UAE labour law, if you have resigned from your position, you’ll get the wage for the number of unpaid leave days. This is called “leave encashment,” which is already in practice worldwide, including UAE.

The labour law of UAE lets any employee receive the payment for accumulated annual leave days when they leave/resign or in case of employment termination.

The leave salary is calculated according to the current salary of an employee at the resignation time. It is to keep in mind that this provision ensures that employees who are not able to take their entitled annual leave are not disadvantaged.

Can I Take My Annual Leave If I Have Not Completed One Year Of Service?

Yes, according to provision of the UAE labour law, employees can avail of two leave per month if they have not yet completed one year of their service. This makes you eligible to take time off from work regardless of service tenure. It indicates the UAE’s vision to promote employee well-being by maintaining a healthy work-life balance.

Concluding Annual Leave Regulations in the UAE

It is indeed crucial to understand the annual leave laws and regulations in the UAE for a prevailing healthy workplace environment. Through the UAE labour law annual leave, you can be aware of your rights and responsibilities and make sure to make the most out of your entitled leaves. Remember, your productivity is only possible if you balance your rest and work really well.

It may be daunting for you to navigate through the annual leave UAE labour law regulations, but with the right guide and proper understanding, it will be easier for you for sure. All you have to do is to stay informed and know the nuances of the annual leave in UAE labour law.

Whether you are working in UAE and want to understand your annual leave entitlements or an employer who wants to be compliant with the law, go through these regulations to ensure harmony and productivity in workplace.

Remember, understanding accurate information for annual leave policies and implementing them can not only create a work environment better but also make you caring towards your employees and protect their rights.

We’re here to help you if you have any further queries regarding the annual leaves in the UAE or UAE labour laws. Feel free to reach out to us.


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