Monday, December 28, 2015

U.A.E Revoke Six Month Labour Ban from January 2016

Effective from January 2016, there will be no six months ban if services are terminated in mutual agreement between the employer and employee. UAE Ministry of Labor has confirmed that the ban of six months will be cancelled beginning January if the work permit and employment are terminated in mutual agreement.The Ministry of Labour said that beginning January 2016, it will revoke the six months ban rule, if employee and employer opt for mutual termination of work permit.
The new rule is part of the new resolutions issued by Labour Minister Saqr Ghobash Saeed Ghobash in September.However, workers in grade IV and V who have not completed six months with the first job are exempted from this rule, he added
According to the Ministry, employees will be allowed new work permits to join another facility immediately, even if the employee has not completed two years at the first facility.
The ministry has completed procedures for implementation of the resolutions beginning next year, the report added.
Humaid Rashid bin Dimas Al Suwaidi, Assistant Undersecretary at Ministry of Labour, told Al Bayan that under the new resolution, employees who end their service in agreement with the establishments and cancel their work permits will be allowed to move to other establishments, even if they have not completed two years at the workplace.
However, workers in levels IV and V who have not completed six months with the first facility are exempted from this rule, he added.
Al Suwaidi said that currently workers who terminate their service through consensus and have completed two years are also not allowed to move to another facility immediately. They are allowed to join another job only after a period of six months from the date of cancellation of the work permit, he added.
As per the new resolution No. 766 of 2015 workers will be granted new work permits immediately beginning January, explained Al Suwaidi and added that this is so as long as both the parties fulfill the conditions agreed upon in the labour contract signed between them.

Al Suwaidi confirmed that the new Ministry rule aims to attract and retain talent, and is in line with the strategic goal of the government to being a knowledge-based economy attracting global talent.
He said the ministry aims to promote workers from within the country rather than bringing them from abroad, especially people with expertise.
Al Suwaidi said last year 340,000 workers who ended their service at one job could not get new work permits because they had not completed two years and the labour market thus could not benefit from experiences and skills.