Question: In a UAE mainland company, what action can an employee take if their approved annual vacation is cancelled without notice? What are the defined rights in such a scenario?

Answer: For employees governed by the UAE’s Federal Decree-Law No. (33) of 2021 and Cabinet Resolution No (1) of 2022, it’s crucial to understand your rights concerning annual leave cancellations.

Employers are prohibited from unilaterally cancelling an employee’s annual leave. Although employers can schedule annual leave based on operational needs and after discussions with the employee, any finalized dates must be communicated to the employee at least one month in advance. This requirement is underscored by clause 4 of Article (29) of the Employment Law:

“The employee shall utilize their leave within the entitlement year. The employer … shall notify the employee of the leave dates at least 1 month beforehand.”

Should you find yourself unable to utilize your annual leave within the year, the law provides two options: carry it over to the following year or receive a cash allowance in lieu. This is specified in clauses (8) and (9) of Article (29), which emphasize that employees should not be denied their leave or related wages if they leave their job before taking it.

In situations where your pre-approved leave is cancelled without notification, you are advised to first seek negotiation with your employer for reinstatement or compensation. If a compromise cannot be reached, the Employment Law stipulates the allowance for carrying forward the leave or receiving a cash allowance—calculated against your basic wage for the leave days owed.

It’s also advised to document such unilateral cancellations by your employer, as your right to carry forward the entire leave entitlement or to receive a cash equivalent, without the usual restriction of carrying forward only half, could hinge on proving the cancellation wasn’t voluntary.

Should your employer persist in violating your rights regarding annual leave, the UAE’s Ministry of Human Resources and Emiratisation serves as a recourse for reporting and resolving such disputes.

In conclusion, while employers in the UAE have a degree of flexibility in scheduling employee annual leaves, they must adhere to regulations ensuring employees are not unfairly deprived of their rightful leave or compensation. Employees facing unjustified cancellations of approved leaves have clear recourses under the law, underscoring the UAE’s commitment to safeguarding worker rights.