UAE employers face fines ranging from Dh100,000 to Dh1 million for five major labour law violations, including illegal hiring, work permit misuse and unlawful employment of minors

DUBAI: The UAE Ministry of Human Resources and Emiratisation (MoHRE) has warned private sector employers against five serious labour law violations that could result in fines of up to Dh1 million.

The ministry stressed that employers must follow recruitment regulations, obtain valid work permits and protect employee rights.

Penalties range from Dh100,000 to Dh1 million, depending on the violation.

Five Violations Employers Must Avoid

MoHRE identified five practices that could attract substantial penalties:

  1. Employing workers without obtaining valid work permits.
  2. Recruiting workers without providing them actual employment.
  3. Using work permits for purposes other than those authorised.
  4. Closing businesses without settling workers’ legal status and entitlements.
  5. Employing minors in violation of labour regulations.

The ministry urged businesses to verify employment requirements before recruiting staff.

Employers must also select appropriate permits based on job responsibilities and employment arrangements.

Also Read: UAE Labour Law bans seven workplace practices that employees should know about

Employees Can Claim Three Months’ Salary

UAE labour law also protects workers against unlawful dismissal.

Under Article 47, employees dismissed for filing a legitimate complaint with MoHRE or pursuing a valid legal claim may qualify for compensation.

Courts can award compensation equivalent to up to three months’ wages, depending on employment duration and the damage suffered.

Employees may also claim outstanding salaries, gratuity and other contractual entitlements.

However, compensation is not automatic. Courts must establish that the dismissal was unlawful.

Also Read: UAE labour market remains stable with timely wage payments confirmed

Impact to Expect

Companies could face greater scrutiny over recruitment, work permits and employee protection.

Employers should review hiring procedures and ensure compliance to avoid financial penalties.

Workers can report suspected violations through MoHRE’s official complaint channels.

The measures aim to strengthen workplace accountability and protect employee rights across the UAE.