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28 March 2024

Workers who fulfill contract terms will not get 6-months ban in UAE

(Image via Shutterstock)

Published
By Mohammed El Sadafy

The ministry of labour confirmed to that workers fulfilling their legal obligations with respect to employers in accordance to contracts is the main condition for approving their mobility to other facilities, as well as accepting to grant labourers the ability to move to other facilities if the employer fails to follow law proceeding in this regard.

This falls according to the decree issued by Saqr Ghobash UAE Minister of Labour which overlooks ending an employment relationship and granting employees a new work permit to take place next year Jan 2016.

Humaid bin Deemas Al Suwaidi, Assistant Undersecretary for Labour Affairs, said, "The three new decrees that ensures a stable, balanced and transparent working relationship between employers and workers, based on a contractual basis accepted between both sides in line with the labour laws and regulations, which also enables them the right to end the relationship any time, whether by reaching an agreement or proof that one side of the relationship, regardless, does not fulfill obligations towards the other."

"The Ministry of Labour stands at the same distance from both parties at all stages of their working relationship and guarantees rights preservation even after contract termination," he said.

This came during a workshop organized by the ministry today (Wednesday) in Dubai in the presence of more than 300 employers and government relation representatives during which his excellency explained the goals, objectives and content of the new decrees.

Speaking of fixed-term contracts in accordance with the decision of the Minister of Labour in this regard, he said, "The ministry's commitment to take measures in the event of ending a relationship, whether through agreement between both parties or in the event a party decides to terminate the relation contrarily, and thus be obliged to face all legal consequences to end the relation, then agree to grant the worker a mobility acceptance to another facility or reject the permit which shall be resubmitted after one year from the date of termination."

The new decree refers to ending the current contractual procedures which could link both ends to periods of four years and more, and reducing it next year to two-years with renewal ability for the same period following a study conducted in this regard which revealed several negative aspects affecting the employment relationship that runs for several years under the same conditions without the need to include a written acceptance letter by the worker.



He pointed out conditions that must be followed in the event that one of the parties decided to end the fixed-term contract during the renewal period, starting by notifying the other party before the date of termination (in a specified period agreed by both ends) not less than one month and not exceeding three months, where those who decided to terminate the contract must complete the notice period (decided) then pay agreed dues not exceeding the total remuneration of three months salary; this applies for both sides.



He explained that if the employers delay fixed-term contract renewal they face fines of Dhs 500 monthly, noting that if both ends continue a working relationship without renewing that contract ,

it will be considered a non-fixed term one by default. Furthermore, Employers can to terminate the relationship with the worker if the latter violates labour laws stated in Article (120).

"Both ends cannot agree on exemption from the notice period requirements or even reducing its duration," bin Deemas said.

"The recent decrees, with regards to granting new work permits to move from a facility to another, states that the ministry shall agree with effect from Jan 2016 to accept granting permits  immediately to the workers with non-fixed term contracts and classified in first, second, and third  working skills, either by reaching an agreement with the employer or a desire to shift to other facilities after completing the notice period and dues or if the employer chose to end the contract
without referring to the worker, an thus ending the need to post a six months ban which are currently being implemented.”

Workers with fourth and fifth working skills could move to another facility after only completing a period of not less than six months with the current firm. Otherwise, if the period was less, the ministry will not grant a new work permit till the worker completes one year from terminating their employment relationship yet excluding workers with labour complaints forwarded by the ministry to the labour court, with a requirement in this case issuing a final judgment in favor of
the worker including eligibility pay of at least two months, or compensation for unfair dismissal or termination of a fixed contract before meeting its deadline or any other rights that had been voided by the employer to the worker without a clear reason as per the law, or deprive workers from the end of service benefits.