DISCIPLINARY SANCTIONS IN UAE – WHAT YOU SHOULD KNOW

Introduction to Disciplinary Sanctions in the UAE

Disciplinary sanctions in the UAE private sector are regulated by Federal Decree-Law No. 33 of 2021 (the “Labour Law”) and its Executive Regulations (Cabinet Resolution No. 1 of 2022). Together, they set out which penalties an employer may impose, when a temporary suspension is allowed, and the due-process steps you must follow before any sanction takes effect.

What the Labour Law says (Articles 39–41)

Article 39 lists the disciplinary penalties an employer may apply, escalating from written notice and warning to wage deduction, suspension without pay for up to 14 days, deprivation of bonus/promotion, and termination (with EOSB preserved). Article 41 bars double punishment for the same violation and limits sanctions for off-duty conduct to cases related to work.

Temporary suspension during investigations (Article 40)

Separately from disciplinary penalties, Article 40 allows an investigatory suspension for up to 30 days at 50% paywhile you conduct a disciplinary investigation. If no case is established (or a warning only is issued), the withheld pay must be returned.

Due-process: How disciplinary sanctions in the UAE must be imposed (Executive Regulations, Article 24)

The Executive Regulations detail how to lawfully impose sanctions. In brief:

• Keep a penalty schedule aligned with Article 39.

• Before any penalty: inform the worker in writing of the charge, hear their statement/defence, investigate, and record the file; notify the worker in writing of the decision and any repeat-offence consequences.

• Time limits: you may not accuse for violations discovered >30 days ago, and you may not impose a penalty >60 days after completing the investigation.

• Provide an internal grievance route and communicate the outcome.

Work rules you must publish (Executive Regulations, Article 14)

If you employ 50 or more workers, you must issue work-rules covering penalties, procedures, working hours/rest, and promotions/rewards, and inform workers in a language they understand.

Practical content of a compliant policy (at a glance)

• A clear penalty matrix (notice → warning → deduction → suspension ≤14 days → bonus/promotion measures → termination) mapped to typical breaches.

• A disciplinary procedure describing notice of charges, right to be heard, investigation and documentation, decision, and grievance.

• A timeline tracker for the 30/60-day limits and a note distinguishing investigatory suspension (Art. 40) from disciplinary suspension (Art. 39).

How to implement Disciplinary Sanctions in the UAE (checklist for HR)

1. Adopt/publish rules (if ≥50 staff) and keep your penalty schedule updated.

2. Open an investigation promptly; give written charges and an opportunity to respond; keep minutes/evidence on file.

3. If needed to protect the process, place the worker on temporary suspension up to 30 days at 50% pay (Art. 40).

4. Decide and notify in writing (sanction, dates, policy breached, right to grievance).

5. Diary the limits: do not accuse after 30 days of discovery, and do not impose the penalty after 60 days from completing the investigation.

6. Avoid double punishment and ensure off-duty conduct is work-related before sanctioning (Art. 41).

FAQs

Can we suspend “without pay” for 10 days as a penalty?
Yes—disciplinary suspension can be up to 14 days without pay (Art. 39).

How is that different from the 30-day, 50% pay suspension?
That’s an investigatory suspension under Art. 40—a temporary measure while you investigate; if no case is made, reimburse withheld pay.

Do we need a formal grievance system?
Yes—Article 24 requires an internal grievance route; employers with ≥50 workers must also publish a complaints/grievance system that’s accessible to staff.

Conclusion on Disciplinary Sanctions in the UAE

In the UAE, disciplinary action is permitted—but it is process-driven. Align your policy with Articles 39–41 and Article 24 of the Executive Regulations, differentiate between penalties and investigatory suspensions, and evidence each step. This is the difference between a sanction that stands and one that fails.

***

We hope this publication will help you understand the scope of non compete clauses in UAE and remain available for any questions regarding this post of general application.

For more information published in English you can visit all our publications at this link as well as the videos in English of our Partner Maria Rubert.

**The information on this page is not intended to be legal advice. This article provides an initial introduction to disciplinary sanctions in the UAE.