Can employees in the UAE propose including an annual pay rise provision within their employment agreement?
Are you wondering if you can ask for an annual salary increase to be part of your UAE job contract? Here's what you need to know.
First things first, remember that under UAE law, employers are not obligated to offer annual salary increases. However, this doesn't mean you can't negotiate for one.
The Federal Decree Law No. 33 of 2021, along with its amendments and the Cabinet Resolution No. 1 of 2022, sets out the essential information that must be included in an employment contract. Your employer and you, as an employee, can also agree to add additional terms to the contract, provided they don't break any laws or legal regulations.
While your employer can't predict your work performance and other aspects at the time of making an employment offer, you can discuss adding a clause about annual salary increases with your potential employer. If they agree, this clause will be legally binding.
It's important to note that the UAE Employment Law provides the minimum rights for employees. If you're entitled to better benefits under a different law, company policy, or your employment contract, these rights still apply. Your employer cannot reduce or take away more favorable benefits just because they aren't specified in the Employment Law.
Now, if you're considering turning down a job offer with a higher base salary because it doesn't include an annual salary increase, think again. You can always discuss this issue with your potential employer and work out a solution that suits both parties.
Remember, your right to better benefits and negotiation are essential aspects of the employment process. Don't hesitate to advocate for what you believe is fair and just. After all, a good employer will value your initiative and drive to continuously improve your compensation.
For more detailed employment law insights, feel free to reach out to Ashish Mehta & Associates, a reputable law firm with expertise in UAE labor law. You can find their website here: www.amalawyers.com.
In the negotiation process for a UAE job contract, it's possible to discuss and potentially secure an annual salary increase clause, as additional terms can be added to the contract as long as they conform to the law. Furthermore, it's advisable not to reject a job offer with a higher base salary if it does not include an annual salary increase, as the opportunity for negotiation can yield beneficial outcomes for both parties.
