Labor Law

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Employment Contracts

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Employment Contracts

Employment contracts are vital for ensuring a healthy and fair relationship between
employers and employees (Stewart & Stanford, 2017). The requirements for employment
contracts vary from country to country, and this essay aims to critically compare the employment
contract requirements in the United Arab Emirates (UAE) and Austria. The section will examine
the similarities and differences in the legal framework for employment contracts in the two
countries, as well as their application in practice.

In the UAE, the legal framework for employment contracts is governed by the Federal
Law No. 8 of 1980 on the Regulation of Labor Relations (UAE Labor Law) and its subsequent
amendments. The law stipulates that an employment contract must be in writing (Article 35) and
must include certain essential terms, such as the duration of the contract, the nature of the work,
and the remuneration (Article 36). The contract must also specify the hours of work, leave
entitlements, and any other benefits and allowances. Additionally, the law requires that the
contract be in Arabic, although an English version may be provided for the employee's
convenience.

Similarly, in Austria, the legal framework for employment contracts is governed by the
Employment Contract Law Harmonization Act (Arbeitsvertragsrechts-Anpassungsgesetz –
AVRAG), which requires that employment contracts be in writing and include essential terms
such as the nature of the work, the remuneration, and the duration of the contract. The law also
requires that contracts specify the working hours, leave entitlements, and other benefits and
allowances.

However, there are some differences in the legal requirements for employment contracts
in the two countries. In the UAE, for example, the law requires that the contract specify the
probation period (Article 37), whereas this is not a legal requirement in Austria. Furthermore, the
UAE Labor Law allows for the termination of employment contracts without notice or
compensation during the probation period (Article 37), while in Austria, employees are entitled
to a minimum notice period and severance pay in the event of termination (§7m Bailout).

Notably, the legal framework for employment contracts in the UAE and Austria has
similarities and differences. While the legal requirements for employment contracts are generally
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similar in the two countries, there are some variations, particularly with regard to the probation
period and termination of contracts.
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References

Federal Law No. 8 of 1980 on the Regulation of Labour Relations. (n.d.). Retrieved from
https://www.ilo.org/dyn/natlex/docs/ELECTRONIC/11956/69376/F417089305/
ARE11956.pdf

Labour Contract Act (Arbeitsvertragsrechts-Anpassungsgesetz – AVRAG). (n.d.). Retrieved


from https://www.ilo.org/dyn/natlex/natlex4.detail?
p_lang=en&p_isn=42827&p_classification=22.15

Stewart, A., & Stanford, J. (2017). Regulating work in the gig economy: What are the
options?. The Economic and Labour Relations Review, 28(3), 420-437.

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