JobXDubai

UAE’s 2025 annual leave policies explained for both employers and employees under Federal Decree-Law No. 33 of 2021

Key Takeaway

UAE employees are entitled to 30 calendar days of fully paid annual leave after completing one year of service, with special provisions for those who have served 6+ months. The law also covers various other types of leave including sick leave (90 days), maternity leave (60 days), paternity leave (5 days), and special leaves for bereavement, pilgrimage, and studies.

Understanding Annual Leave Entitlement in the UAE

Annual leave is a legally guaranteed time off from work that allows employees to rest, travel, or spend time with family while receiving their regular salary. In the United Arab Emirates, annual leave is governed by Federal Decree-Law No. 33 of 2021 on the Regulation of Employment Relations, which outlines the rights and obligations of both employers and employees regarding time off work.

The UAE’s annual leave policy aims to foster work-life balance and prevent employee burnout, particularly important in a high-pressure work environment where continuous performance is expected. Taking regular breaks is not just beneficial for employees’ mental and physical wellbeing but also contributes to overall productivity and job satisfaction.

Annual Leave Entitlement and Calculation

Standard Entitlement

According to Article 29 of Federal Decree-Law No. 33 of 2021, employees who have completed one year of continuous service are entitled to:

• 30 calendar days of fully paid annual leave per year

For employees who have completed six months but less than one year of service:

• 2 days of leave for each month of completed service

Annual Leave Calculation Examples

Important Considerations for Annual Leave

• Notification: Employers must notify employees about their annual leave at least one month before the start date, allowing employees to plan effectively.
• Employer’s Discretion: Employers have the right to determine when employees can take their leave and may split it into multiple periods if necessary.
• Leave During Notice Period: If A, any unutilised annual leave days must be compensated. Additionally, if an employer wishes to terminate an employee during their annual leave, the notice period only begins once the employee returns from leave, unless otherwise agreed.
• Carry Forward and Cash Compensation: With employer approval, employees can carry forward unutilised annual leave days to the following year. If annual leave accumulates for more than two years, Article 29 grants employees the option to receive cash payment instead of taking the leave.
• Part-Time Employees: The law grants annual leave to part-time workers as well, with duration determined by the time spent working and the employer’s discretion, as outlined in the employment contract.

Types of Leave in the UAE

Beyond standard annual leave, UAE labor law provides for various other types of leave to accommodate different life circumstances:

Sick Leave

Article 31 of Federal Decree-Law No. 33 permits workers to take:

• Up to 90 days of sick leave annually
• First 15 days with full pay
• Next 30 days with half pay
• Remaining 45 days unpaid

Conditions: Employees must inform their employer within three working days of falling ill and provide legitimate medical documentation to qualify for paid sick leave.

Maternity Leave

Article 30 of Federal Decree-Law No. 33 grants female employees:

• 60 days of maternity leave
• First 45 days with full pay
• Remaining 15 days with half pay

Additional Provisions:

• If childbirth-related complications arise, an additional 45 days of unpaid leave is available
• Employers can grant paid 30-day leave if the baby is sick or has a disability, with the option to extend for another 30 days without pay
• New mothers are entitled to one or two daily additional breaks for breastfeeding for up to six months after returning to work

Paternity Leave

Article 32 of Federal Decree-Law No. 33 grants:

• 5 days of fully paid paternity leave
• Should ideally be taken within six months of the child’s birth

Bereavement Leave

Article 32 grants compassionate leave for the death of family members:

• 5 days for the death of a spouse
• 3 days for the death of a child, sibling, parent, or grandparent
• Counted from the day of death

Study Leave

Article 32 provides educational support:

• 10 working days per year for examinations
• Available to employees with at least two years of service
• Only applicable for exams at approved educational institutions in the UAE

Hajj (Pilgrimage) Leave

According to the UAE’s official guidance:

• Up to 30 days for Hajj pilgrimage
• Unpaid leave
• Granted only once during an employee’s tenure with the company

Note: While Hajj leave is mandated by law, Umrah has no specific provisions. Employees planning Umrah must arrange unpaid leave or use their accrued annual leave.

Sabbatical Leave

Article 32 grants leave for national service:

• Available only to Emirati workers
• Duration between 11 months and three years
• Mandatory for males, optional for females
• Workers must provide proof from relevant authorities

Public Holidays

Article 28 grants paid days off on designated national holidays, including:

• Eid Al Fitr
• Arafah Day
• New Year’s Day
• Eid Al Adha
• Hijri New Year
• Prophet Mohammed’s birthday
• Commemoration Day
• National Day

If employees work on these holidays, they must receive compensation:

• Either a day off in lieu, or
• At least 150% of their basic salary for that day

Special Case: Resignation While on Leave

An employee may not resign while on leave unless mutually agreed with the employer. According to Article 35 of the Employment Law:

• If either party wants to terminate the contract during leave, the notice period only commences on the day following the employee’s return from leave
• This can be overridden if both parties mutually agree to different terms

This provision prevents employees from resigning while on leave and not returning to serve their notice period. If an employee resigns while on leave and does not return to the UAE:

• The employer may file an absconding case
• The employee may face a one-year employment ban
• It may also result in an immigration ban

Annual Leave Application Process

To ensure a smooth leave approval process, employees should follow a structured approach when applying for annual leave:

Step-by-Step Application Guide

1. Check Leave Policy: Review your company’s specific leave policy and procedures before applying
2. Plan Ahead: Apply for leave well in advance, considering workload and team availability
3. Formal Application: Submit a formal leave request through your company’s designated channel (email, HR system, or form)
4. Provide Details: Clearly state the leave duration, start and end dates, and reason if required
5. Arrange Handover: Prepare a handover plan for your responsibilities during your absence
6. Ensure Accessibility: Provide contact information in case of emergencies or urgent work matters
7. Confirm Approval: Obtain formal approval before making any personal arrangements
8. Document Everything: Keep records of your leave application and approval

Email Template for Annual Leave Application

Subject: Annual Leave Request - [Your Name] - [Dates]

Dear [Supervisor's Name],

I hope this email finds you well. I am writing to formally request annual leave for [duration] days, from [start date] to [end date].

I have reviewed my ongoing projects and tasks, and I plan to complete all pending work before my leave begins. For longer-term projects, I will prepare a detailed handover document for [colleague's name] who has agreed to cover for me during my absence.

During my leave, I can be reached via email at [your email] or by phone at [your number] in case of any urgent matters that require my input.

Please let me know if you need any additional information regarding this request.

Thank you for your consideration.

Sincerely,
[Your Name]
[Your Employee ID]
[Your Department]

Changes in UAE Labor Law for 2025

The UAE has consistently updated its labor laws to align with international standards and enhance worker protection. While the core annual leave provision of 30 days has remained stable, employers should stay informed about any amendments or ministerial decisions that might affect leave policies.

Recent updates to consider:

• Enhanced protection against discrimination for taking entitled leave
• Stronger enforcement of leave notification requirements
• Greater flexibility in leave distribution throughout the year
• Improved provisions for remote work and associated leave policies

Frequently Asked Questions

Q: Can my employer refuse my annual leave request?

A: Yes, employers have the right to determine when employees can take their leave based on business needs, provided they ensure employees can use their full entitlement within the year.

Q: Am I entitled to payment for unused annual leave if I resign?

A: Yes, if you resign or your employment is terminated, you are entitled to payment for any unused annual leave days accrued during your service.

Q: What happens if I fall sick during my annual leave?

A: If you fall sick during your annual leave and provide a medical certificate, those sick days can be considered as sick leave rather than annual leave, preserving your annual leave balance.

Q: Can my employer cancel my approved leave?

A: While not ideal, employers can cancel approved leave due to business exigencies. However, they should compensate for any financial losses incurred due to cancellation (e.g., cancelled flights or accommodations).

Q: Are freelancers and self-employed individuals entitled to annual leave?

A: No, the annual leave provisions apply only to employees with valid employment contracts. Freelancers and self-employed individuals manage their own time off.

Q: How is annual leave calculated if I work a 6-day week?

A: The 30-day annual leave entitlement is based on calendar days, not working days. Whether you work 5 or 6 days per week, you’re entitled to 30 calendar days of annual leave after one year of service.

Q: Can I be contacted by my employer during my annual leave?

A: While not prohibited, employers should respect employees’ right to rest during annual leave and contact them only for genuinely urgent matters that cannot wait until their return.

Q: What if my employer doesn’t allow me to take my annual leave?

A: If your employer prevents you from taking your entitled annual leave, you can file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE).

Conclusion

The UAE’s annual leave provisions reflect the country’s commitment to creating a balanced and productive work environment. By understanding these entitlements, both employers and employees can ensure compliance with labor laws while fostering a healthy work culture.

Annual leave is not merely a legal obligation but an essential component of employee wellbeing and long-term productivity. Employers who encourage their staff to utilize their full leave entitlement often see returns in the form of increased motivation, reduced burnout, and improved retention rates.

For employees, taking regular breaks is vital for maintaining physical and mental health, strengthening personal relationships, and sustaining high performance at work. By planning leave strategically throughout the year, workers can maximize its rejuvenating benefits while minimizing disruption to their professional responsibilities.

As the UAE continues to evolve its labor regulations to meet international standards and enhance worker protection, staying informed about leave entitlements and obligations remains essential for both employers and employees in navigating the dynamic landscape of employment relations in the Emirates.

Additional Reading Material

• Can UAE Employers Deny Combining Eid Holidays with Annual Leave? | Legal Guide
• UAE Annual Leave Guide: 30 Days Off, Carry-Forward Rules
• UAE: Is it legal for employers to deny annual leave based on co-worker’s absences?
• UAE: Can employer cancel your annual leave?
• UAE Labour Law: What Happens When Leave Days Meet Official Holidays?