Kafala Reform 2025-2026: What Changed in UAE, Qatar, and Kuwait
UAE, Qatar, and Kuwait all reformed their Kafala-derived employment systems. The changes are real but unequal across countries. Here is what Indian workers need to know to use them.
UAE, Qatar, and Kuwait all modified their Kafala-derived employment systems between 2021 and 2026. The changes are real but they are not equal across the three countries, and they do not eliminate what workers need to do before they board. (Source: UAE Labour Law No. 33 of 2021. Qatar Labour Law No. 14 of 2004 as amended 2020 - 2022. Kuwait MOL circulars, 2025.)
UAE: The 2022 Labour Law Changes That Matter
UAE's Federal Decree-Law No. 33 of 2021 - which came into effect in February 2022 - is the most significant reform to UAE employment law in a generation. Three changes directly affect Indian workers.
Employer transfer without consent: Indian workers who complete 6 months of employment in UAE can transfer to a new employer without requiring the current employer's approval - provided the new employer processes a new work permit. The "No Objection Certificate" (NOC) that employers previously withheld to trap workers has no legal standing under the 2022 law. (Source: UAE Federal Decree-Law No. 33 of 2021, Article 4. Verify at MOHRE portal.)
Exit permits eliminated: Under the original Kafala model, workers needed employer permission to leave the country. UAE eliminated exit permit requirements for employed workers under the 2022 law. Workers can travel home on personal leave without employer approval - their right to return is protected by their work permit validity.
"Absconding" classification restricted: Employers previously used absconding reports to criminalise workers who left employers without permission. The 2022 law restricts when an employer can file an absconding report. Workers who leave after filing a formal labour complaint are protected from absconding classification during the complaint process.
The reform that matters most for Indian workers in practice: salary must be paid on time or the employer faces MOHRE penalties. See our full UAE Wage Protection System guide guide and our Gulf unpaid salary escalation guide for what to do if payment stops.
Qatar: What Changed After the 2020-2022 Reforms
Qatar eliminated exit visa requirements for workers in 2020. Indian workers employed in Qatar can travel home without employer permission. This is now law and is enforced, not a policy statement.
Qatar also introduced a Minimum Wage in 2021 - QAR 1,000 per month for all workers including domestic workers, independent of sector. This is a baseline, not a recommended figure. (Source: Qatar Labour Law No. 14 of 2004, as amended by Law No. 17 of 2020 and subsequent ADLSA circulars. Verify at ADLSA portal.)
Employer change in Qatar remains more restricted than UAE. Workers who have completed their contract term can change employers without restriction. Workers who want to change before the contract ends require employer consent or a documented labour complaint. The reform narrowed the gap but did not eliminate the employer consent requirement mid-contract.
What has NOT changed in Qatar: Domestic workers and certain construction sub-contractors operate under different frameworks with less reform coverage. Indian workers in domestic service and informal construction contracts have materially less reform protection than workers in formal employment with named Qatari employers.
Kuwait: Still the Most Traditional Framework
Kuwait has not implemented the same scope of Kafala reform as UAE or Qatar. Workers in Kuwait still require employer consent for job changes in most circumstances. Exit restrictions, while reduced in practice, retain more employer leverage in Kuwait than in post-reform UAE and Qatar.
This does not mean Kuwait is without worker protections - Kuwait's Labour Law in the Private Sector (Law No. 6 of 2010, as amended) provides basic rights including overtime pay, annual leave, and end-of-service benefits. But the structural Kafala employment dependency on employer consent for job mobility has not been systematically reformed in Kuwait the way it has in UAE.
Indian workers considering Kuwait placement should read the Kuwait 2026 sector guide to understand which sectors and employer types offer more stable conditions despite the framework.
UAE Labour Law: Before vs After 2022
| Mechanism | Before 2022 | After 2022 (current) |
|---|---|---|
| Employer transfer | Required employer NOC | No NOC needed after 6 months |
| Exit permit | Required employer approval to exit | Eliminated for employed workers |
| Absconding report | Employer could file freely | Restricted during active labour complaint |
| Salary enforcement | Complaint-driven enforcement | WPS electronic monitoring + automatic penalty |
Source: UAE Federal Decree-Law No. 33 of 2021. MOHRE UAE implementation guidelines. Kuwait Labour Law No. 6 of 2010, as amended. Qatar Labour Law No. 14 of 2004, as amended.
Kafala reform gives workers legal standing they did not have before. It does not give workers leverage they do not exercise. An Indian worker who does not know they can change UAE employers without a NOC will still be told they cannot. The reform works only when the worker knows it exists and uses it.
What These Reforms Mean in Day-to-Day Practice for Indian Workers
The legal changes documented above are significant. Their practical impact depends entirely on whether the worker knows they exist and uses them when needed.
Three scenarios where reformed UAE law changes the outcome:
Scenario 1 - Employer refuses to process final salary on termination: Under the 2022 law, workers who have been terminated are entitled to their outstanding salary within 14 days under WPS provisions. An employer who refuses is in violation of MOHRE regulations, which carry automatic financial penalties. A worker who knows this can file a MOHRE complaint online without a lawyer. Workers who do not know this leave without collecting what they are owed.
Scenario 2 - Employer threatens absconding report if worker files a complaint: Under the 2022 law, employers cannot file an absconding report against a worker who has an active labour complaint lodged with MOHRE. The threat has no legal standing once the complaint is filed. Workers unaware of this protection are deterred by an employer threat the law has already removed.
Scenario 3 - Worker has completed 6 months and receives a better offer: Under the 2022 law, the worker can transfer without asking the current employer's permission. The new employer processes the work permit transfer, notifying the current employer through MOHRE. Workers who do not know this stay in a role they want to leave because they believe they need permission they legally do not.
Kafala reform gives workers legal standing they did not have before. It does not give workers leverage they do not exercise. Read our Gulf unpaid salary escalation guide for the full escalation process when salary disputes arise. Read our passport rights guide for what to do if an employer is holding your passport - also addressed under the 2022 law.
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