What Overtime do you need to pay Employees for Working Public Holidays?
24th April 2023
As the UAE government announced a four-day public holiday to mark the occasion of Eid Al Fitr this year, it is crucial you know how to properly compensate your employees if your business required them to work during this time, as public holiday work compensation differs from standard overtime pay.
Any employees required to work during Eid Al Fitr (Thursday 20th April – Sunday 23rd April, 2023, inclusive) are entitled to compensation as follows:
One day of leave, fully-paid, for each of the public holiday days they worked,
Paid overtime of the basic salary amount plus an additional 50%.
Compensation for working on Public Holidays in the UAE
It should be noted that the paid overtime amount for working on a public holiday (basic salary plus 50%) is higher than the standard overtime amount (basic salary plus 25%). The compensation for working during public holidays is clearly defined in Article 28 of the UAE’s Employment Law (Federal Decree Law No. 33 of 2021):
Article (28) Public Holidays and Worker’s Work during Holidays
1. The worker shall be entitled to official days off with full pay on public holidays, which are defined by a resolution of the Cabinet.
2. If work conditions require that the worker works during any of the public holidays, the employer shall compensate him with another day off for each day, on which he works during the holiday, or pay him the wage for that day according to the wage established for the normal working days, plus an increase of not less than (50%) fifty per cent of the basic wage for that day.
If you have any specific questions about compensating your staff for working on public holidays, you can contact the Ministry of Human Resources & Emiratisation (MOHRE) by phone or Whattsapp on 600590000, between 8am - 8pm.
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Written by Jenny Hunt
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FORBES' Top 100 Most Influential Women In the Middle East