In the third installment of our ongoing series on payroll regulations in the United Arab Emirates (UAE), we continue our journey into the intricate world of UAE payroll management. In this article, we are throwing the spotlight on this country’s laws surrounding leave policies. Join us as we explore the nuances of the regulations that govern this crucial facet of workforce management.

Leave Policy

The leave policy as defined under the UAE labour law stipulates the following:

1. Annual Leave – Article 75 of the UAE labour law states that employees with over one year of service are granted 30 days of paid leave per year 
2. Sick leave – During the probationary period, employees are not entitled to paid sick leave. (Article 83, UAE labour law) However, following the probationary period, employees are eligible for sick leave up to 90 days per year, successive or otherwise, in respect of each year of service, with different pay rates:

• First 15 days: Eligible for fully paid leave
• Next 30 days: Eligible for half paid leave
• Next 45 days: Eligible for unpaid leave

1. Maternity leave – Female employees in the UAE are entitled to 60 days of maternity leave, with 45 days at full pay and 15 days at half pay. After completion of the 60 days of paid leave, female employees are entitled to take unpaid maternity leave for a maximum period of 45 days,  either continuously or non-consecutively.
2. Paternity Leave – Employees who have had a newly born child are allowed a period of five working days, in order to take care of their child. The employee is entitled to such leave for a continuous or intermittent period, within six months from the date of the child’s birth.
3. Study Leave – Employees studying at certified educational institutions in UAE are eligible for 10 days of paid leave per year to sit for examinations. A minimum of two years of service with the employer is required to qualify for this leave.
4. Bereavement Leave – In the event of death of the husband or wife, the employee is entitled to 5 days starting from the date of death and in case of the mother, father, son, brother, sister, grandson, grandfather or grandmother, employees are entitled to 3 days of leave starting from the date of death.
5. Sabbatical Leave – National workers can take sabbatical paid leave to fulfill national service obligations, as per existing legislation. 

In Conclusion

Exploring UAE labour law and payroll intricacies demands expertise and compliance with evolving regulations. Our comprehensive series covers payroll basics in Part 1 and overtime, gratuity, and airfare eligibility in Part 2. If you’re grappling with these complexities, don’t hesitate to get in touch with Alldigi. We specialize in tailored, compliant payroll services for businesses in 35+ countries around the world.