Employment Update: Jebel Ali Free Zone Authority

Analysis

Mandeep Kalsi provides an overview of some of the key employment rules and provisions applicable to the Jebel Ali Free Zone Authority (JAFZA)

In Brief

  • In general terms, employment relationships in the UAE are regulated by Federal Law No. 8/1980, as amended (the Labour Law), with the exception of the Dubai International Financial Centre which is subject to its own employment rules. However, within the various UAE free zones, specific regulations and procedures apply which the relevant free zone authorities are responsible for enacting and enforcing.

  • JAFZA's employment regulations do not amount to a full scheme of employment legislation. This means that all matters not expressly covered by the JAFZA employment regulations are automatically governed by the Labour Law. Where JAFZA's employment regulations are seen to conflict with the Labour Law (to the extent that they disadvantage the employee) the Labour Law takes precedence.

  • To avoid any doubt, minimum terms of service for all persons employed within JAFZA (e.g. with regard to annual leave entitlement, sick pay, termination after due notice, etc.) are governed by the relevant provisions of the Labour Law.

JAFZA - Introduction