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UAE Labor Law: Can I redeem unused annual leave? – information

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The arrangement of annual leave is up to the employer.

Q: I work for a company in Dubai. I have a lot of leaves that are not used in 2020 and 2021. Due to the Covid-19 situation, I cannot travel, so I did not use them. Can I redeem these leaves instead of using them? What is the law in this area?

Reply: According to your inquiry, since you are employed by a mainland company located in Dubai, the provisions of the Federal Law No. 8 of 1980, the UAE Employment Relations Management Law (“Employment Law”), apply.

Employees who have not used annual leave within a certain period of time can claim annual leave from their employer in the form of cash.

Article 78 of the “Labor Law” stipulates: “During the annual leave, in addition to housing allowances, workers should also receive basic wages. However, if necessary for work, employees must work all or part of the annual leave, and their work If the leave period is not carried forward to the next year, the employer shall pay him wages. In addition to the cash for the working day leave based on his basic salary.”

According to the above-mentioned laws and regulations, you can require your employer to replace your untaken annual leave in 2020 and 2021 with cash. Employees’ annual leave wages include their basic wages and housing subsidy wages. In addition, the replacement cash for the unused annual leave of the employee only includes the basic salary.

However, if your employer does not want to pay cash for your unused vacation, he/she may ask you to use the accumulated vacation.

Please also read:

>> Covid-19: UAE companies set new regulations for employee travel and annual leave

>> UAE Labor Law: Can my boss cancel an approved vacation?

Employers can decide to arrange employees’ annual leave. This is based on the provisions of Article 76 of the Labor Law: “The employer can determine the start date of the annual vacation by itself, and if necessary, it can decide to divide the annual vacation into two periods at most. However, except for minors, the vacation may not be divided into two periods. Several parts.”

Ashish Mehta is the founder and managing partner of Ashish Mehta & Associates. He is qualified to practice in Dubai, the UK and India. For complete details of his company, please visit: www.amalawyers.com. Readers can email their questions to: news@khaleejtimes.com or to Legal View, Khaleej Times, PO Box 11243, Dubai.




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