No employer is permitted to arbitrarily make a change to any salary without agreement. Getty Images
No employer is permitted to arbitrarily make a change to any salary without agreement. Getty Images
No employer is permitted to arbitrarily make a change to any salary without agreement. Getty Images
No employer is permitted to arbitrarily make a change to any salary without agreement. Getty Images


'Can my employer in the UAE refuse travel allowance when I take annual leave?'


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March 11, 2026

Question: When I take annual leave, can the employer take away the travel allowance that is shown as part of the salary in the offer letter? My salary is split by basic, housing, and travel. My manager said that they don’t usually pay travel allowances for when someone is out of the country as they won’t be using it. Can they refuse to pay this as it is in my contract? CM, Dubai

Answer: When an employee is on annual leave, they should be paid in full and that includes all allowances.

It is not unusual for a UAE monthly salary to be divided into a basic plus allowances, but all are payable each month, as one payment.

No employer is permitted to arbitrarily make a change to any salary without agreement. This employer would be breaking the UAE labour laws by not paying the monthly travel allowance during annual leave.

This should be pointed out to them but if they persist, a case can be registered against the company with the Ministry of Human Resources and Emiratisation, or the relevant free zone authority.

There are also strict limits regarding reductions before the official labour contract must be changed. This rule is in place to protect employees.

Q: I left the UAE in 2022 and there is an absconding case against me as I did not go back after annual leave. I want to know if I can come back to the UAE now. VP, India

A: The term “abscond” is used when an employee in the UAE does not return to work and fails to give notice that they have left their job. This results in a one-year employment ban.

The guidance for this situation is in Article 50 of UAE Labour Law, titled Unlawful Absence From Work.

This states: “If the foreign worker leaves work, for an illegitimate reason, before the end of the contract term, he shall not be granted another work permit to join another job in the state in accordance with the provisions hereof, for a period of one year from the date of the absence from work. It is also not permissible for any other employer, who is aware of the same, to employ him or keep him in his service during that period.”

A person with an absconding case against them will be unable to enter the UAE or obtain employment in the country during this period. VP’s ban should have expired but he can contact UAE Immigration for confirmation.

An absconding ban is not permanent, although someone who receives more than one could find that they end up with a permanent ban, not least as it is unfair to employers to leave in this way.

Q: I have been terminated by my employer as they will be closing an office. I am working my notice period of 30 days. I am looking for a new job and I have two companies that want to interview me. My problem is that they want to see me in the morning, on a work day. My company says I cannot take time off in my notice period and they can decide when I get to take leave. I am due five days of paid leave and they say they will just pay me on leaving.

I really need to get a new job quickly, so is there any way that my employer can be made to allow me to take my leave now? Can they really stop me taking my annual leave if I have worked for it? RT, Abu Dhabi

A: The employer is correct in that they can specify when annual leave is taken and that they can decline a request during a notice period. But taking time off for interviews for a new job is a different situation.

There is a clause in the UAE Labour Law, Article 43.5, which states: “If the employment contract is terminated by the employer, the worker shall have the right to be absent during the notice period for one working day without pay per week, in order to search for another job. The worker may specify the day of absence, provided that he notifies the employer of the same (3) three days at least before the absence day.”

As RT’s job been terminated by the company, they must obey the law and allow the time off.

It is correct that if RT has accrued annual leave but not taken it, he must be paid in lieu as part of his final settlement and leave during a notice period needs only be for job interviews.

Contact Keren Bobker at keren@holbornassets.com or at www.financialuae.com. The advice provided in our columns does not constitute legal advice and is provided for information only

Updated: March 11, 2026, 2:46 AM