The new UAE Labour Law, effective since February 2022, mandates that private sector employees (excluding DIFC and ADGM) must be on fixed-term contracts. The deadline for this transition is February 1, 2023.

In October 2022, the previously imposed 3-year cap on fixed-term contracts was lifted, allowing parties to determine the contract length. However, either party can terminate the contract before its term, rendering fixed-term contracts essentially equivalent to permanent ones.


Aug-17-2023