Annual leave is the paid holiday every UAE employee earns each year. Once you complete one year of service you get 30 calendar days on full pay. Between six and twelve months you earn two days for each month worked. The rule sits in Article 29 of the UAE labour law.
Federal Decree-Law No. 33 of 2021 governs the entitlement. You get 30 calendar days a year after twelve months. Between six and twelve months you earn two days per month.
Leave is paid on the full wage while you take it. Any untaken leave is paid out when you leave, but on basic salary. An employer can set the timing, yet cannot cancel the right.
Track accruals every month. Encourage staff to take leave within the year it is earned.
Large unused balances are two problems at once. They are a growing cash liability and a warning sign on wellbeing. Build the rules into your employee handbook.
Last updated: July 2026 | Reviewed by Tuscan Consulting, Dubai