April 3, 2020, 3:29 p.m.
<UAE Labour Law> Concerning the Criteria for Paying Additional Wages
- Is an additional wage based
on a basic salary or a wage including allowances?
UAE Labour law defines a wage and a basic salary differently. [CONCERNING THE REGULATION OF LABOR RELATIONS, FEDERAL LAW NO. 8, Issued on 20/04/1980] Also, according to the official opinion of the Fatwa and Legislation Department [Subject: Definition of the remuneration based on which overtime hours shall be calculated, according to the provisions of Articles (67) and (68) of the Federal Labour Law no. (8) of 1980, Advice No. 3/2/3/3776, Issued on 19/02/2015],
the remuneration payable to the worker for overtime working hours shall be defined as the remuneration paid to the worker for the normal working hours, including any compensation he receives in exchange for his work whether in cash or in kind, whatever it may be called, as long as it is prescribed in the labour contracts or usually granted as per the usage for the following cases:
1) Overtime working,
2) Overtime working between 9 pm ~ 4 am,
3) Holiday or Leave working if a worker takes a substitute rest day.