Types of Employee Leaves in UAE: A Complete Guide

As an employer or HR professional, you should have a clear understanding of the different types of employee leaves allowed under UAE Labour Law. 

The UAE’s leave regulations, governed by MOHRE, ensure that both employee welfare and business operations stay balanced. Managing these leaves accurately is not only a compliance requirement but also a key part of maintaining employee satisfaction and trust.

At Yomly, we work with leading organizations across the UAE, GCC, and other global markets to simplify leave and payroll management. 

Our HR and Payroll Software allows companies to automate leave tracking, calculate pay adjustments, and stay fully compliant with the latest UAE Labour Law updates. Our experts have shared their insights in this complete guide, so let us help you understand every leave type and how to manage them efficiently.

Overview of Leave Entitlements Under UAE Labour Law 

The UAE Labour Law applies to all private sector employees working in mainland companies and most free zones, except for financial zones such as DIFC and ADGM, which have separate regulations. 

It covers both full-time and part-time employees, as well as remote and flexible workers, ensuring that every employment relationship is governed by clear legal standards.

It is important for every employer and HR team to understand these leave entitlements to maintain compliance, prevent disputes, and support employee well-being. Leave policies must be clearly mentioned in employment contracts and managed in line with MOHRE regulations. 

Let us look at the different types of employee leaves recognized under the UAE Labour Law and how each one is structured for both employers and employees.

Types of Employee Leaves in the UAE

Now that you know the basics of leave entitlements under UAE Labour Law, let us explore the different types of employee leaves available and what each one means for both employers and employees.

Annual Leave

Annual leave allows employees to take time off for rest and personal needs while maintaining work-life balance. 

It must be scheduled based on mutual agreement between the employer and employee and recorded in the company’s HR system. Proper leave tracking helps avoid salary miscalculations and disputes.

• Eligibility: Employees become eligible after completing six months of continuous service.
• Pay Entitlement: Two days of paid leave per month in the first year and 30 days of full pay for each year of service thereafter.

Sick Leave

Sick leave ensures employees have time to recover from illness without losing their jobs. It requires a valid medical certificate approved by a licensed healthcare provider. Employers cannot terminate employees during certified medical leave, ensuring fair protection under the law.

• Eligibility: Employees must complete a 90-day probation period before being eligible for paid sick leave.
• Pay Entitlement: First 15 days with full pay, next 30 days with half pay, and up to 45 additional days without pay.

Maternity Leave

Maternity leave allows female employees to care for their health and newborns before and after childbirth. The UAE Labour Law supports women’s rights by extending adequate paid time off and protecting them from termination during pregnancy or maternity leave.

• Eligibility: Available to all female employees, regardless of their duration of service.
• Pay Entitlement: 60 days of leave with 45 days at full pay and 15 days at half pay. Additional unpaid leave is allowed if medically required.

Paternity Leave

Paternity leave helps fathers support their families during childbirth and early parenting. The UAE encourages family-friendly workplaces that value employee well-being and shared responsibilities. This leave can be taken continuously or separately within the defined period.

• Eligibility: Male employees who become fathers of a newborn within the company’s employment.
• Pay Entitlement: Five working days of paid leave to be used within six months from the date of the child’s birth.

Study Leave

Study leave supports employees who wish to pursue higher education or professional training while continuing their employment. It encourages skill development and aligns with the UAE’s focus on continuous learning. Employees must provide valid proof of exams or course enrollment when applying for this leave.

• Eligibility: Employees with at least two years of continuous service.
• Pay Entitlement: Up to 10 working days of paid leave per year.

Compassionate Leave (Bereavement Leave)

Compassionate leave allows employees to take time off following the death of a close family member. It ensures employees can manage personal responsibilities and grief without workplace pressure. Employers are required to approve this leave upon receiving proper notification and documentation.

• Eligibility: All employees, regardless of service duration.
• Pay Entitlement: Five days of paid leave for the death of a spouse and three days for the death of a parent, sibling, grandparent, or grandchild.

Hajj Leave

Hajj leave enables Muslim employees to fulfill their religious obligation to perform the pilgrimage. This leave can only be availed once during employment and must be approved by the employer to avoid operational disruptions.

• Eligibility: Muslim employees who have completed at least one year of service.
• Pay Entitlement: Up to 30 days of unpaid leave, granted once during the period of employment.

Public Holidays

Employees in the UAE are entitled to official public holidays as declared by the government each year. These holidays apply equally to all private sector workers and help ensure cultural and religious observance.

• Eligibility: All employees covered under the UAE Labour Law.
• Pay Entitlement: Full pay for official public holidays. If required to work, employees receive compensatory leave or additional pay as per the law.

Unpaid Leave

Unpaid leave may be granted for personal reasons or extended absences that are not covered by other leave categories. Approval is at the employer’s discretion and must be properly documented to ensure payroll accuracy.

• Eligibility: All employees, subject to employer approval.
• Pay Entitlement: No pay during the leave period, with salary adjustments made through the company’s payroll system.

Emergency Leave (at Employer’s Discretion)

Emergency leave is designed for unforeseen personal situations such as family emergencies or sudden travel needs. It is not a statutory entitlement but a discretionary leave granted by the employer to support genuine cases.

• Eligibility: All employees, based on the nature of the emergency and company policy.
• Pay Entitlement: Usually unpaid, unless the employer chooses to offer it as paid leave under internal policy.

Important Note: These leave types are shared only for informational purposes based on the current UAE Labour Law. Employers should always verify the latest updates from MOHRE or consult legal experts before implementing or updating internal leave policies.

Leave Encashment and Carry-Forward Rules

Annual leaves that are unused within a given year can either be carried forward or encashed, depending on the agreement between the employer and employee. The UAE Labour Law requires both options to be clearly stated in the company’s HR policy or employment contract to avoid disputes and payroll errors.

Here are the calculation and carry-forward rules:

• Encashment: If annual leave is not used, the employee is entitled to payment in lieu, calculated based on their basic salary for the unused days. Allowances and bonuses are not included in this calculation.
• Carry-Forward: Unused annual leave can only be carried forward to the next year if both parties agree in writing. It cannot be accumulated indefinitely.
• Final Settlement: On resignation or termination, employees must be paid for any remaining unused leave days as part of their end-of-service settlement.

With Yomly’s Payroll Software, employers can automate leave encashment calculations, apply accurate payroll adjustments, and generate MOHRE-compliant reports, ensuring every employee’s entitlement is handled transparently and without manual errors.

How Yomly Simplifies Leave Management

Yomly has helped over 500+ SMBs and startups across the UAE and GCC manage employee leaves with complete accuracy and compliance. 

Here is how Yomly makes leave management simpler, faster, and fully compliant with UAE Labour Law.

Smart Approvals & Automated Tracking

Yomly enables customized leave approval workflows based on department, hierarchy, or region. Every leave request automatically updates the employee’s balance in real time, reducing manual tracking and ensuring complete accuracy.

Seamless Payroll Integration

Leave data in Yomly is directly integrated with payroll, so deductions, encashments, or unpaid leave adjustments are calculated automatically. This ensures employees receive accurate payouts and HR teams maintain full compliance with UAE Labour Law.

Employee Self-Service Portal

Employees can apply for, track, and manage their leave requests through Yomly’s self-service portal. They can view balances, policy details, and approval status instantly, reducing HR workload and improving transparency across the organization.

Compliance Dashboard for HR Teams

Yomly’s centralized compliance dashboard allows HR managers to monitor leave usage, track policy adherence, and generate reports for multiple regions. It helps teams maintain MOHRE-compliant records and ensures every leave transaction meets legal and organizational standards.

Automate Leave Compliance with Confidence

The UAE’s Labour Law sets clear rules for managing employee leaves, ensuring that both employers and employees operate within a fair and transparent framework. You should understand that this guide is meant for informational purposes only and does not replace official legal advice. If you have specific cases or complex compliance concerns, it is always best to consult legal or MOHRE-approved professionals.

And if you are looking for a reliable way to automate leave management and payroll processing, Yomly’s Payroll Software is trusted by leading enterprise clients across 50+ countries. Book a free demo to see how powerful our software platform is.

Over 1 million payslips are processed annually, serving hundreds of thousands of employees through a single, cloud-based platform. Fully integrated and automated with WPS compliance, Yomly helps businesses simplify HR operations, eliminate manual errors, and maintain full legal compliance with every payroll cycle.