UAE Labour Law Changes: Hefty Fines To Prevent Firms From Hiring Visit Visa Holders

Jibran Munaf
Jibran Munaf

An amendment made to the UAE labour law last week will deter employers from hiring visit visa holders, legal experts have said. Among the offences that will see fines of between Dh100,000 and Dh1 million levied are employing workers without a proper permit; and bringing them to the UAE and failing to provide them with a job.

“Previously, fines for hiring workers without a work permit ranged from Dh50,000 to Dh200,000. The new range of Dh100,000 to Dh1 million shows the seriousness of the government in protecting workers’ rights,” said Ali Saeed Al Kaabi, director at ECH Digital, adding that the amendments will ensure the legality of employment practices.

Some employers make visit visa holders work by promising them residency and work permits after their tourist permits expire. Many of them do not get paid for work done during this period. “Some visitors are mistreated with the guarantee of a job offer, only to be told to leave once their visit visa expires,” said Al Kaabi. “The federal government’s decision will significantly curb these malpractices and ensure that labour laws are followed.”

UAE Enforces Stringent Fines Up To Dh1 Million For Labour Law Violations

Working on Visit Visas The UAE government categorically states on its website that working under a visit or tourist permit/visa is illegal. If an expat is offered a job in the UAE, they can only work after an offer letter is issued by the UAE’s Ministry of Human Resources and Emiratisation (MOHRE).

Legal advisors have strongly urged employers to refrain from allowing visitors to work illegally. “If a company is found to be in breach of the law, it will entail high risks and legal consequences,” said Al Kaabi.

Protecting Workers’ Rights Hadiel Hussein, senior associate at BSA Ahmad Bin Hezeem & Associates, explained that the amendments create a stricter regulatory environment for employers, demanding greater compliance with the labour law.

“The substantial increase in fines, along with the possibility of criminal penalties, serves as a strong deterrent against non-compliance with the labour law. The amendments make it clear that any violation of labour regulations will result in severe consequences, thereby increasing employer accountability,” she said.

For employees, the changes offer “enhanced” protection and security. “The higher penalties imposed on employers provide a stronger deterrent against violations of employee rights, making it less likely that employees will face illegal or unfair treatment. Additionally, provisions such as extending the time-bar for filing employment claims and ensuring continued wage payments during disputes further strengthen employee protections.”

Hussein added that the amendment concerning small employment claims and the involvement of the MoHRE ensures a “more efficient, equitable, and streamlined legal process for both employees and employers”.

“The ministry’s enhanced role in mediating disputes and its ability to issue enforceable decisions in low-value claims and disputes … ensure that employment disputes can be resolved more swiftly and efficiently with less legal costs,” added Hadiel.