What are the standard working hours in the United Arab Emirates?

The standard working hours in the United Arab Emirates are defined by labor law as follows:

• The maximum normal working hours are 8 hours per day, excluding 1 hour for lunch, and 48 hours per week, excluding 1 hour for lunch per day.
• Employees are permitted to work up to 2 hours of overtime per day and may work a total of 144 hours in a 3-week period.
• During Ramadan, daily work hours are reduced by 2 hours.

Is overtime governed by law in the United Arab Emirates? If so, what are the specifics outlined by law?

Overtime in the United Arab Emirates is indeed governed by law. While some employment agreements may specify that employees are not entitled to overtime compensation, this generally applies to managers and is intended as a deterrent. If a supported employee claims overtime compensation, the company is required to comply with the applicable legislation and pay accordingly.

The specifics of the law regarding overtime are as follows:

• When a supported employee works on a rest day or a public holiday, the company may choose to: (i) Provide a substitute day off for each day worked, or (ii) Pay the normal wage plus a 50% uplift to the basic salary for all hours worked on that day.

• For overtime worked on a business day: (i) If the overtime falls between 4:00 AM and 10:00 PM, the employee is entitled to their basic salary plus a 25% uplift, (ii) If the overtime is between 10:00 PM and 4:00 AM, the employee is entitled to their basic salary plus a 50% uplift.

Furthermore, it is important to understand that an employee should not be mandated to work for more than two successive rest days.

How is overtime payment calculated in the United Arab Emirates?

In the United Arab Emirates, overtime payment is calculated based on the following guidelines:

• If a supported employee works overtime between 4 am and 10 pm, they receive their basic salary plus a 25% uplift of their basic salary.
• If the overtime work occurs between 10 pm and 4 am, the supported employee is entitled to their basic salary plus a 50% uplift of their basic salary.

For work conducted on a rest day, as outlined in the employment agreement or according to Applicable Laws, or on a public holiday, the company can choose one of two options:

• Grant the supported employee a day's holiday instead of the day worked.
• Pay the supported employee their normal wage plus a 50% uplift to their basic salary for all hours worked on that day, with the condition that they do not work on more than two successive rest days.

How is the time off in lieu payment calculated in the United Arab Emirates?

In the United Arab Emirates, the calculation of time off in lieu payment is equivalent to a regular salary. There is no different calculation method applied for time off in lieu payments.

What are the eligibility rules for time off in lieu in the United Arab Emirates?

In the United Arab Emirates, according to Article 28 of Decree-Law No. (33) of 2021, if work conditions require a worker to work during any public holiday, the employer must provide compensation in one of the following ways:

• Grant another day off for each day the worker is required to work on a public holiday.
• Pay the worker for that day at the normal working day rate, plus an additional 50% or more of the basic wage for that day.

This ensures that employees receive appropriate compensation for working on public holidays.

How many days before the actual start date should the employment agreement be signed for payroll purposes in the United Arab Emirates?

In the United Arab Emirates, the employment agreement must be signed at least 7 days before the actual start date. This timeframe is necessary to ensure that all required immigration processes are completed, allowing the supported employee to commence work compliantly on the intended start date.

Can employment agreements be backdated in the United Arab Emirates?

In the United Arab Emirates, it is possible to recognize historic continuity of service for supported employees. However, it is not permissible to backdate employment agreements or addendums.