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Amendments on Labor Law: Up to Dh1-million Fine

Editor
Amendments on Labor Law: Up to Dh1-million Fine

Amendments on Labor Law to Save Domestic Workers Rights

In order to support domestic workers, the UAE government has applied some amendments on labor law.
Those amendments aim at making the resolution of disputes easier for both workers and employers.

Contents
Amendments on Labor Law to Save Domestic Workers RightsKey Amendments on Labor Law, include:Fines for Violations:Penalties for Fictitious Employment:Settlement Option:Criminal Proceedings:Dispute Resolution:Time Limit for Claims:

The federal decree-law, issued by the UAE government is amending certain provisions of the existing federal decree-law concerning domestic workers.
The purpose of these amendments is to enhance the rights of both employers and domestic workers and facilitate the resolution of disputes.

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Key Amendments on Labor Law, include:

The UAE’s commitment to enhancing labor regulations and protecting the rights of both employers and workers is commendable.
Let’s break down some key points from the recent decree:

Fines for Violations:

The amendments on labor law introduce fines ranging from Dh100,000 to Dh1 million for various violations, these include:

  • Employing workers without proper permits
  • Closing businesses without settling workers’ rights
  • Engaging in fraudulent labor practices
  • Employing minors against the law
    Circumventing labor market regulations.
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Penalties for Fictitious Employment:

Employers who engage in fictitious employment—where workers are falsely employed—will face penalties.
The severity of these penalties will increase based on the number of fictitious workers involved.

Settlement Option:

The Ministry of Human Resources and Emiratisation now has the authority to offer settlements.
Employers can settle by paying 50% of the minimum fine value and returning any financial incentives gained from fake employees.

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Criminal Proceedings:

Criminal proceedings related to fictitious employment can only be initiated upon the request of the Minister of Human Resources and Emiratisation or their authorized representative.

Dispute Resolution:

Disputes between employers and employees should be referred to the Court of First Instance (rather than the Court of Appeal).
If there’s disagreement with the Ministry’s decision.
Exceptions apply to cases already adjusted or reserved for judgment.

The UAE government has issued a federal decree-law amending some provisions of the federal decree-law on support workers, with the aim of enhancing the rights of parties to labour relations and facilitating and accelerating dispute settlement procedures. pic.twitter.com/4jvnsjZHWN

— UAE Voice (@uae_voiceeng) August 13, 2024

Time Limit for Claims:

The court will not proceed with claims filed more than two years after the termination of the employment relationship.

Those amendments on labor law reflect the UAE’s commitment to maintaining an efficient and competitive labor market.
While safeguarding the rights of all parties involved.

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Editor August 13, 2024 August 13, 2024
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