Tuesday, December 21, 2010

One-year ban for breach of Limited contract- Ministry of Labour UAE

The new regulations concerning the abolition of the six-month work ban and the removal of the need for a no-objection certificate created confusion and misunderstanding among the employees and has also resulted in workers in some sectors resigning from their jobs. The Ministry of Labour  clarified very clearly that “Workers who are contracted on fixed-term contracts cannot breach the contract and resign on grounds that they have completed a period of two years. If those workers are called to cancel their labour cards they will be subjected to a one-year ban according to terms of the contract. But if the contract is of an indefinite duration, and two years have been completed with the sponsor, they have the right to change their job without objection.”The Ministry of Labour, on Friday, issued regulations allowing workers who finish their contracts to obtain new work permits without undergoing the six-month work ban, and allowing them to move to other firms without the employer's approval from January 1, 2011.
A worker with an expired contract can obtain a new work permit and shift to another employer without the passing of the currently legitimate six-month period and consent of his sponsor, according to the new resolution issued by the Minister of Labour Saqr Gobash.
The new regulations on conditions and criteria of issuing new work permit for a worker after the expiry of his service contract and transfer of sponsorship will take effect as of January 1, 2011 in implementation of the cabinet resolution No 25 of 2010 regarding internal work permit at the Ministry of Labour.
Once operational, the new regulations will replace the current formalities of transfer of sponsorship for expatriate workers.
The resolution says that the new employment permit will only be granted to the worker after the end of his work relationship with his employer without consideration of the legitimate six month period which is usually calculated after the cancellation of the worker's labour card.