UAE Labour Laws

Know All About the New UAE Labour Laws Laid by MOHRE

Addressing the various issues in the job market in UAE, the Ministry of Human Resources & Emiratisation (MOHRE) revised the labour law in UAE. Here are the new updates.

Work Models

The regulatory body has introduced multiple work models in the UAE labour law.

Part-time – Working for more than one employer for a definite number of hours.

Temporary work – Work to be finished in a particular amount of time.

Flexible work – Having the option to perform a few tasks remotely.

Introduction of Visa Category

The law ministry has introduced pivotal changes in the present immigration landscape. The new law has given 12 types of permits:

• Work permits to recruit workers from outside the country.
• Transfer work permit for non-national workers that allow movement of workers to and from the registered facility in the ministry.
• Work permit for those registered under their parent’s residency.
• Temporary work permit.
• Task work permit is for organizations able to recruit workers from foreign to complete a specific project or temporary task within a specific time.
• Partial work permit is for employing workers under a part-time contract.
• Juvenile work permit is for workers between 15-18 years of age.
• Student training and employment permit to employ or train a student reached 15 years of age.
• Work permit for a citizen/person from the GCC countries.
• Work permit for individuals having golden residency.
• Work permit for a national trainee to train an Emirati citizen pursuant to his approved scientific qualification.
• Freelance permit is for individuals seeking self-employment opportunities without any valid employment contract or sponsorship from any employer. It is the same as the freelancer visa available to expats to work in Dubai’s free zone.

Employee Contract

The new contract has abolished the unlimited-term contract provision and has introduced a limited-term contract which cannot be for more than three years. The new Dubai labour law has advised employers to revise the work contract of expats who are on unlimited-term contracts to limited-term.

Scope of Employees’ Work

This law states that an employer cannot broaden the role and responsibilities of an employee on a term contract or assign responsibility other than what has been dictated to him at the time of joining. Employers can do it only if

• The employee has given his consent in writing for the change of responsibility.
• The revised scope of work should be up to 90 days only.

Covenant Not to Compete

This law outlines the time and circumstances where a covenant not to compete clause would be applicable. Also, it explains when an employer can invoke this law on an employee.

• If the employee has access to the trade secret or the client’s information of the employer, the employer can invoke the covenant not to compete for a clause on the employee at the time of his release.
• The non-compete clause does not exceed two years term.

Non-Discrimination Clause

The federation has introduced a new point in the UAE labour law to protect the rights of some nationals. The following are the new points:

• The female employee working in the same role should receive equal remuneration.
• Employers must ensure the protection of the rights of vulnerable groups from incidences like harassment, bullying and violence.

Leave

• Female employees are entitled to 60 days of maternity leave irrespective of their length of service within the organization. Out of 60 days of leave, 45 days should be at full-pay and 15 days at half-pay.
• An employee is entitled to 5 working days of bereavement leave.
• Employees who have completed their two years of employment are entitled to ten days of study leave provided he is enrolled at a certified institute in UAE.
• Both parents are entitled to five working days of paternal leave. One can take it in continuation or in breaks within six months of the child’s birth.

Workplace Regulations

An organization with more than 50 employees has to abide by work-related rules. Those not following the same must revise their workplace-related guidelines.

Disciplinary Penalties and Financial Exposure

The new rule states that all employers should have proper investigation management and appropriate mechanism for case resolution in a timely manner. It has defined penalties for breaches. They are written notice, deduction from remuneration, suspension from work, promotion denial, and deprivation of periodic increments.

Unemployment Insurance Scheme

The federation has recently introduced an unemployment insurance scheme for workers in the private and public sectors. It will come into effect in 2023 and cover 60% of the worker’s basic salary.

The emirate government will compensate the insured employees with up to AED 20,000 in cash if they lose their employment (for any reason). Financial aid will be given to individuals yearning for support in case of employment loss. The government will continue providing the benefits until the person finds subsequent employment. However, to get unemployment insurance benefits, an employee has to contribute a small amount to the fund every month. Further, the scheme is not applicable to expats, pension holders, children below the age of 18 years, individuals on contractual jobs, etc.

Courtesy: Angel Gulf Jobs