Lecture 10

Recent Developments in the UAE Labor Law

& the Updates Recommended




Contents
A- The Recent Developments in accordance with Cabinet Resolution No. 25 of 2010 concerning the
work permits. (Cabinet and Ministerial Resolutions are applauded)
Employees Transfer.
Temporary Work Permits
Part-time work
Work Permit for Personnel Sponsored by their Kinship
Juvenile Persons Work Permit

B- The Recommended Updates in Accordance with AD Governments Legislative Road Map Project:
Enacting a legal framework for unemployment to compensate national citizens who are
unemployed.
Enhancing Emiratization Efforts.
Increasing maternity leave and breastfeeding hours.
Defining a minimum wage for all employees.
Amending Articles 132 to 139 regarding End of Service Remuneration.
Amending Article 149 regarding death and Disability indemnity.
Adopting certain policies to enhance diversity.
Adopting Flexi-time and Family friendly work environment.

Employees Transfer
In the light of Cabinet Resolution No. 25 of 2010 concerning the work permits, The
Ministry of Labor issued Ministerial Resolution No. (1186) of 2010 on the Rules and
Conditions of Granting New Work Permits to Employees, which provides that once
the labour relation has been terminated, the MOL is enabled to issue a permit to an
employee which allows them to move to another employer without the application of
the six month ban.
Practically, this allows for the immediate transfer of sponsorship provided that the
termination was: one, consensual; and two, that the employee had spent at least two
years of service with the first employer.
There are four exceptions to the consensual termination requirement above: i) the
employer has breached any of its legal or contractual obligations; ii) the employee has
filed a complaint with the MOL due to the establishments closure; iii) the employee
has filed a labour claim with the Courts; or iv) the employers unilateral termination or
non-renewal of employment.
The necessity that the employee must have spent at least two years with his previous
employer to avoid the six month ban is avoided if: i) the employee joins the first skill
level earning at least AED12,000, the second skill level earning at least AED7,000 or the
third skill level earning at least AED5,000; ii) the employer is in violation of its legal
obligations towards the employee or the employee is not the cause of the termination;
and finally iii) the employee moves to an establishment which is owned by the first
employer or if the employer is a shareholder in that establishment.




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Temporary Work Permits
In the light of Cabinet Resolution No. 25 of 2010 concerning the
work permits, The Ministry of Labor issued Ministerial
Resolution No. (1188) of 2010 on the Rules and Conditions of
Granting a New Work Permit.
Temporary Work Permit
This permit is intended for those who are to be engaged on a
project or job function for a period of no more than six months.
Recognizing the need for flexibility in the UAE labour market,
this permit allows those who need to enter and work in the
UAE for a short periods of time without the undue burden of
obtaining a two year labour card and leaving after only having
used one quarter of its entitlement and then facing
repercussions should the employee wish to transfer to a
another employer.



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Part-Time Work Permits
In the light of Cabinet Resolution No. 25 of 2010 concerning the work permits, The Ministry
of Labor issued Ministerial Resolution No. (1188) of 2010 on the Rules and Conditions of
Granting a New Work Permit. This part-time work permit has been created for those engaged in
employment with working hours which are less than the normal full-time working hours of other
employees in the same job. According to the MOL, this new part-time permit allows those who are
already in full-time employment to take up a second part-time job. This is a huge step away from the
previously strictly regulated work permit which tied you to your sponsor, and in most cases, your sole
and only legal employer.
In particular, It provides that part-time work permit may be issued to four categories of people:
Resident employees in full-time employment who hold valid MOL labour cards. Such employees will
require the approval of their main employer before being provided with a part-time permit to work.
Co-dependent sponsored residents (i.e. housewives).
Students who are above the age of 18.
Government servants.
This permit shall not be given to people who are over 65 years old.

Interestingly, the Ministerial Resolution allows the MOL to issue part-time permits to employees enabling
them to work for more than one establishment at any one given time.
Furthermore, part-time workers are entitled to all the labour rights as enshrined in the UAE Labour Law.
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Work Permit for Personnel Sponsored by their Kinship
(blood relationship)

In the light of Cabinet Resolution No. 25 of 2010
concerning the work permits, The Ministry of Labor
issued Ministerial Resolution No. (1188) of 2010 on the
Rules and Conditions of Granting a New Work Permit.
This permit is issued to those who are currently
dependents and take up employment with an MOL
registered organization. In particular, it permits women
over 18 years, who are dependents, the husbands of
the UAE female citizens, and sons and daughters of the
UAE female citizens to work full time while they are on
their kinship.

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Juvenile Persons Work Permit
In the light of Cabinet Resolution No. 25 of 2010 concerning the
work permits, The Ministry of Labor issued Ministerial Resolution
No. (1188) of 2010 on the Rules and Conditions of Granting a New
Work Permit.
This permit is specific to those between the ages of 15-18 who take
up employment.
This is further governed by Ministerial Resolution No. (1189) of 2010
concerning the Regulations and Conditions of Issuing Work Permits to
Minors. As expected, the conditions espoused in this Resolution
provide that the minors custodian must approve the minors
employment; the minor will be restricted from performing any
dangerous or difficult jobs as defined in the Resolution; the minor will
not be allowed to work at night (from 8pm to 6 am); and the minor
will only be permitted to work a maximum of six hours a day.



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AD Legislative Road Map
A review of the economic legislations applicable
in the Emirate of Abu Dhabi
(The Recommended Updates Concerning the UAE Labor Law)
(Oct. 2009 - July 2011)
Dr. Mohammed Haitham Salman, Team Leader, DED
Recommended Updates
Enacting a legal framework for unemployment to compensate
national citizens who are unemployed.
Enhancing Emiratization Efforts
Increasing maternity leave and breastfeeding hours.
Defining a minimum wage for all employees.
Amending Articles 132 to 139 regarding End of Service
Remuneration.
Amending Article 149 regarding death and Disability indemnity.
Adopting certain policies to enhance diversity.
Adopting Flexi-time and Family friendly work environment.




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Enacting Unemployment Law
A draft law for unemployment has been
prepared to compensate unemployed
locals.
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Enhancing Emiratization Efforts
Encouraging both locals and private sector
to work together through bridging the pay
gap between both sectors for certain
period of time.
Adopting further additional measures to
combat fictitious employment of locals in
the entities of the private sector.
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Increasing maternity leave and breastfeeding hours.
Increasing maternity leave to 70 days with
full salary in context with other related laws
in the region.
Increasing the breastfeeding period to two
hours separately and providing nursery for
the infants of the employees.
Enacting paternity leave for a couple of
weeks.

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Setting up National minimum wage
In accordance with Article 63, The Council of Minister should define a minimum
wage.
Ministerial Resolution No. 1187 of 2010 concerning the measures and limits of
entities classification, makes an attempt to define certain levels of wages, as
follows:
The salary of employees (both citizens and expatriates) under skill level
1 [holders of Bachelors degree or higher] should not be less than
Dh12,000, according to the new Labour Ministry resolution.
Salary for diploma holders should not be less than Dh7,000 and for
those who fall under skill level 3 should be paid a minimum of Dh5,000
per month.
Still there is a need to establish a minimum hourly wage in the UAE
applicable to all sectors and in consistent with current cost of living.



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Amending End of Service Remuneration
End punishing the employees if they decide
to end unlimited employment contracts.
So, employees are entitled to take their full
end of service.
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Updating death and Disability indemnity.
Updating the amounts provided under Article
149 which limits death and work indemnity
to 24 month basic salary Not less than
18000 not more than 35000 to be in
consistent with current cost of living.
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Diversity Practices
A number of regulations and practices to enhance
diversity in the workplace should be established. Well
run companies go beyond required legal actions to
welcome employees of all backgrounds
Actions taken by companies to manage diversity
effectively:
They articulate a clear diversity mission, set objectives, and
hold managers accountable
They spread a wide net in recruitment, to find the most
diverse possible pool of qualified candidates
They set up diversity councils to monitor the companys
goals and progress toward them as well as to solve any kind
of harassments in the workplace.
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Flexi-time and Family friendly work environment
A shift in corporate cultures is needed to truly
become a family friendly company where
men and women are fully supported in their
efforts to balance work and family
responsibilities
Types of programs companies are offering:
Child Care
Elder Care (parents or other elder relatives)
Parental and family leave (12 weeks unpaid leave)
Work flexibility (flextime and working from home
(telecommuting)

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