Under Federal Law No. 8 of 1980 Regarding the
Organisation of Labour Relations, as amended (UAE Labour Law),
employers may issue employees with either a limited term (also
referred to as a fixed term) contract or an unlimited term
contract.
By way of reminder, a limited term contract is for a finite
period and has a prescribed termination date (although it may be
renewed for further periods). An unlimited term contract is for an
indefinite period and continues until such time as it is terminated
in accordance with its terms or with the UAE Labour Law.
You will have no doubt seen the recent announcements regarding
the new Ministerial Decrees and their impact on the way in which
limited term contracts operate. Whilst the Ministerial Decrees
(explained below) primarily only affect employers falling under the
Ministry of Labour's (MoL) jurisdiction (not those governed
under the jurisdiction of the Ministry of Education (MoE), for
example), nevertheless, it is helpful