Tim Elliott
Welcome to Lawgical, the UAE’s first and, as far as we know, still the only legal podcast. My name’s Tim Elliott. Lawgical comes to you from the Dubai-based legal firm HPL Yamalova & Plewka, and as always, here’s the managing partner, Ludmila Yamalova. It’s so good to see you.
Ludmila Yamalova
It’s great to see you too, Tim. And happy new year. May this be a good, strong, and healthy 2022.
Tim Elliott
And the same to you, Ludmila. Thank you. This time, we have a special edition of Lawgical. We’re going to take a quick, bite-sized look at the new UAE employment law. There’s a lot to talk about, and we’ll cover it in subsequent podcasts or a larger podcast. But where do we start with this? How can you summarize the new law for people?
Ludmila Yamalova
Until recently—or technically speaking, still as of today as we record this podcast—the UAE private sector has been subject to an employment law issued back in 1980. While there have been a few amendments, the substance of the law has remained the same for over 40 years.
Importantly, this law applies exclusively to the private sector. Government employees are subject to a different HR law, and domestic workers, such as nannies, drivers, and gardeners, are also covered by their own employment law. So, this law has always been specific to the private and professional sectors.
The new law, Federal Decree Law Number 33 of 2021 regarding employment relationships, completely replaces the previous law. It was introduced in late 2021 and comes into effect on February 2, 2022. This is not just an amendment; it is a full repeal and replacement of the old labor law.
Tim Elliott
That’s quite a significant change, isn’t it?
Ludmila Yamalova
Indeed, it is. In addition to Law Number 33, there’s Federal Decree Number 47 of 2021 regarding unified guidelines for employment in the UAE. This law applies to both the private and government sectors, setting unified standards across the board.
Furthermore, executive regulations will be introduced to provide additional clarity on the application of these laws. These regulations will flesh out specific provisions over time, creating a more detailed framework for implementation.
Tim Elliott
So, this is a comprehensive overhaul.
Ludmila Yamalova
Yes, absolutely. The new law aims to make the UAE’s labor market more flexible and attractive to diverse talent. It introduces provisions to ensure equality, anti-discrimination, and protection against harassment. There are also new types of employment arrangements, such as part-time and project-based work, which didn’t exist before.
The overarching objective is to attract and retain talent by making the UAE an appealing destination for professionals. It’s designed to foster equity and provide a modernized framework that aligns with international employment standards.
Tim Elliott
It seems like a far-reaching set of changes.
Ludmila Yamalova
It is. While some provisions carry over from the old law, there are groundbreaking updates. For instance, the introduction of minimum wage, protections for women and parents, new leave entitlements, and clearer guidelines for probationary periods are all significant advancements.
Overall, the law provides more protections for employees while maintaining reasonable safeguards for employers. It strikes a balanced approach, incorporating lessons learned over the years.
Tim Elliott
There’s a lot more to unpack here.
Ludmila Yamalova
Absolutely, and we’ll dive into the specifics in future podcasts. We’ll break it down into sections to make it easier to digest, covering everything from employment relationships and entitlements to leave policies and termination provisions.
Tim Elliott
That’s Lawgical, a quick overview of the UAE’s new employment law. Ludmila Yamalova is the managing partner here at Yamalova & Plewka and, as always, our legal expert on Lawgical. Thank you, Ludmila.
Ludmila Yamalova
Thank you, Tim.
Tim Elliott
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