The primary piece of legislation on employment in the UAE is the Federal Law No 8 of 1980 titled ‘The Labour Law’. It governs all seven emirates and applies to all employed personnel within the emirate apart from a few.
The key legislative instrument that governs liabilities of managers and directors is UAE Commercial Companies Law No. 2 of 2015 (CCL) also known as the ‘Companies Law’.
In a competitive business environment, many companies try to cut costs by reducing their head count.