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Justice GCC > Legislation > UAE Labour Law Limits Rejection of Inter-Emirate Transfers Over Transport Costs
Legislation

UAE Labour Law Limits Rejection of Inter-Emirate Transfers Over Transport Costs

NewsDesk
Last updated: October 4, 2026 11:01 am
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Inter-Emirate Transfers Under UAE Labour Law | AI-Generated Image
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Khaleej Times published legal guidance on October 4, 2026, addressing an employee’s concern about a transfer from Abu Dhabi to Dubai that would extend the daily commute substantially without employer-provided transport. The advisory examined whether the worker could contest the move based on increased transportation expenses. It stressed that the contents of the employment contract play a central role in determining the employee’s options.

The employment contract must specify the workplace along with other essential terms including job title, salary, working hours and notice period, according to Article 10(1) of Cabinet Resolution No. 1 of 2022 on the implementation of Federal Decree-Law No. 33 of 2021. This resolution requires the document to outline details that regulate the relationship between both parties. If the contract grants the employer the right to assign the employee to another emirate and the worker has agreed to that clause, the employee may not have strong grounds to object based only on commuting costs.

Federal Decree-Law No. 33 of 2021 includes specific provisions for cases that involve a change of residence. Article 12(3) of the law states that if performing the work not agreed upon in the employment contract requires the worker to change his place of residence, the employer must bear all the financial costs resulting from that change, including the costs of the worker’s displacement and residence. The Khaleej Times advisory noted that this obligation may not apply if the transfer involves daily commuting rather than full relocation. Employees facing such situations can discuss the impact of higher transport costs with their employer to seek an amicable agreement.

Should a dispute arise over the transfer or related contractual rights, the employee may submit a complaint to the Ministry of Human Resources and Emiratisation. The ministry works to resolve the matter amicably and, if that fails, refers the case to the competent court following established procedures. A Ministry of Human Resources and Emiratisation announcement in March 2026 stated that the authority had settled 98.6 per cent of labour disputes amicably throughout 2025.

Ministry of Human Resources and Emiratisation figures show that the body processed around 9.43 million communications related to labour consultations and complaints in 2025. Only 1.4 per cent of disputes required referral to the judiciary that year. Similar high settlement rates continued into the first half of 2026, reflecting the system’s role in handling transfer and contract issues across the private sector.

The UAE’s labour market features significant mobility, with new job postings reaching more than 20,000 in September 2026 across major hubs including Dubai and Abu Dhabi, according to job market reports. Employment contracts that anticipate inter-emirate work should be reviewed thoroughly before signing. Workers can utilise the ministry’s helpline at 600 590000 or its digital platforms to address concerns about transfers and associated costs.

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ByNewsDesk
Justice GCC NewsDesk is the desk responsible for Justice GCC's daily news coverage, monitoring and reporting developments across the Gulf from official sources, including national news agencies and government communications. Its focus is accurate, timely and factual coverage of the region.
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