The United Arab Emirates’ new Mental Health Law came into effect on 30 May 2024. The Mental Health Law applies across the UAE, with the exception of the financial free zones, the Abu Dhabi Global Market (ADGM) and Dubai International Financial Centre (DIFC).

In this LawFlash we highlight the need-to-know provisions for employers arising from the new Mental Health Law as well as consider the existing protection available in the ADGM and DIFC.

UAE MENTAL HEALTH LAW

Applicability

The UAE Mental Health Law (UAE Federal Law No. 10 of 2023, as amended) is a federal law and therefore applies across the UAE, with the exception of the ADGM and DIFC. The aim of the Mental Health Law is to protect the rights and dignity of “psychiatric patients”, amongst other goals.

A psychiatric patient under the Mental Health Law is defined as “a person diagnosed with a Psychiatric Disorder”. A psychiatric disorder under the Law means “any disturbances in thinking, mood, behaviour, perception, memory or other mental abilities, some or all of them, and leading to a defect in the social, employment, or educational functions or psychological suffering of the person”, as classified according to the psychiatric classifications.

The definition of “psychiatric patient” is considerably broad and may well include common mental conditions such as depression or general anxiety disorders.

Impact on Employment Relationships

The Mental Health Law, in most parts, focuses on the obligations of psychiatric health service providers. Interestingly, the Law also contains express provisions that will apply to employers in the UAE.

Article 9(5) of the Law states that a psychiatric patient shall have the right not to have any restrictions on their employment due to their mental condition. Furthermore, under the same article, an employer is prohibited from terminating the services of an employee suffering from a mental disorder unless the employer has obtained a report issued by a specialised medical committee and terminates the employment in accordance with other UAE laws. Unfortunately, the Law does not define how and where such a specialised medical committee will be formed.

Given the protection now granted to employees, we anticipate that the Law will impact the termination process of UAE employers. It will be crucial for UAE employers, ahead of the termination, to assess whether they hold any information which suggests that the employee suffers from a psychiatric disorder. If so, the employer will be required to obtain a report from a specialised medical committee ahead of proceeding with termination of the employment.

In the absence of clarity on the specialised medical committee, it will be prudent for employers to explore alternative avenues, such as having an employee examined by a medical specialist, before proceeding with the termination.

Article 9(9) of the Law further provides a general right to confidentiality which will also extend to employees with a psychiatric disorder.

The Law is subject to Implementing Regulations which are due to be published within one year of the publication of the Law.

Penalties

The Law contains severe penalties, including monetary fines between AED 50,000 and AED 200,000 and imprisonment. However, the Law in its current form does not directly link an employer’s breach of its obligations to the penalties. That said, the Implementing Regulations, once published, may expand upon this.

Outlook

While the new UAE Mental Health Law provides helpful support for employees, it remains to be seen how the protections granted under the Law will impact the existing provisions of the UAE Labour Law, which generally enables employers to terminate employment where an employee has exhausted their entitlement to sick leave without having to obtain approval from a specialised medical committee.

PROTECTION IN THE DIFC

The DIFC Employment Law contains a number of obligations on employers including a duty to ensure, as far as is reasonably practicable, the health, safety and welfare at work of its employees. In addition, an employer is obliged to provide and maintain a workplace which is free of discrimination and victimization and without risks to an employee’s health and safety.

The DIFC Employment Law also contains protection from discrimination for individuals with a mental disability. Such protection covers direct discrimination, indirect discrimination, and harassment. For the purposes of the DIFC Employment Law, an employee suffers from a mental disability if such condition has a substantial and long-term adverse effect on an employee’s ability to carry out duties for an employer, which has lasted for at least 12 months or is likely to last at least 12 months.

Where an employee is able to successfully claim that they suffered from discrimination based on a mental disability, an employee could claim up to 12 months’ salary as a compensation, or 24 months’ compensation where an employer fails to comply with any court recommendations.

PROTECTION IN THE ADGM

The ADGM Employment Regulations also contain a duty on the employer to ensure, as far as is reasonably practicable, the health, safety and welfare at work of all of its employees and to provide and maintain a workplace that is free of harassment, safe, and without risks to an employee’s health.

The ADGM Employment Regulations prohibit discrimination of employees on the grounds of a mental disability. Such protection also covers direct discrimination, indirect discrimination, and harassment. The ADGM Employment Regulations define “disability” as including a “mental impairment” that has a substantial and long-term adverse effect on an employee’s ability to carry out their duties under their employment contract, which has lasted for at least 12 months or is likely to last at least 12 months.

In the event an employee was discriminated against on the basis of a mental disability, the ADGM Employment Rules provide that an employee may claim compensation of up to three years’ basic wage.

WHAT DOES THIS MEAN FOR EMPLOYERS?

The new UAE Mental Health Law, as well as the existing provisions in each of the employment laws of the DIFC and ADGM, reinforces the need for employers to have an open dialogue with their employees on mental health issues in order to ensure that problems are identified and addressed.

Employers should consider:

• How the organization monitors employee mental health and well-being in order to identify potential risk factors before they become a serious issue;
• What existing policies or programs they have in place to increase awareness of mental health issues and how this can be prevented or mitigated at work;
• Whether training is necessary for line managers and supervisors, both to ensure effective management practices (thus limiting the risk of stress and other mental health issues) and to know what to do if an employee comes forward with an issue; and
• Whether any programs or policies are available for those who do have a “psychiatric disorder” as described in the Mental Health Law in order to support them during employment (or termination).

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