Annual Paid Leave Rights Under UAE Labour Law

Article 29 of UAE Labour Decree-Law No. 33 of 2021 guarantees full-time private sector employees paid annual leave entitlements to maintain health and work-life balance.

Statutory Accrual Rates

  • First Year of Employment (Months 6 to 12): Employees accrue 2 calendar days of paid leave per month.
  • After 1 Full Year of Service: Employees are entitled to 30 calendar days of fully paid annual leave each year.
  • Probation Period (First 6 Months): The law does not mandate paid leave during the initial 6-month probation period, though employers may grant unpaid leave at their discretion.

Unused Leave Encashment & Carry Forward Rules

Employees may carry forward a maximum of 15 days of unused annual leave to the subsequent year with mutual employer consent, or receive monetary compensation calculated on their basic salary. Upon final termination of employment, all accrued but untaken annual leave days must be encashed and paid out as part of the end-of-service settlement.