UAE employee dies outside country entitled to receive Gratuity

UAE employees happen to die outside the country, then their families are entitled to receive financial dues including gratuity. If UAE employees happen to die outside the country, then their families are entitled to receive financial dues including gratuity, according to the Ministry of Labour. Labour card cancellation effective upon receipt of death certificate or lapses automatically after six months

In the weekly session, while addressing labour issues, Khalil Khouri, Director of Work Permits, Labour Ministry, said: "If any person were to die outside the UAE, while being legally employed in the Emirates, then the financial dues of the deceased as per the employment contract should be handed over to the family."

"Similarly, the labour card of the deceased will be cancelled once the death certificate - duly attested by both the embassy of the country where the person died as well as the Ministry of Foreign Affairs - is presented.

Alternatively, the labour card will be automatically cancelled after six months as per labour laws," Khouri was quoted as saying by 'Al Khaleej' newspaper.

Answering a labour transfer query, Khouri said employees can be transferred to another facility, if the company they were working for is closed. But in uch cases, the ministry should be notified of the closure of the company within two months. Following which, the Inspection Department will study the complaint and, if need be, punishment procedures intiated against the owner.

Meanwhile, Khouri rejectd the request of an administrative manager who wanted to transfer to another company on the grounds that he had not completed two years with his current employer and he earned a salary of Dh12,000 as specified under the 'skill level 1 category'.

He added that salaries recorded in employment permits cannot be revised.

Dh12k salary for degree holder’s applies to only Category I firms UAE Labour Ministry

Dh12k salary for degree holder’s part of new company classification policy,UAE Labour Ministry clarifies that amendment applies to only Category I firms under the new system

The UAE Ministry of Labour has clarified that new labour law amendments due to be implemented in July this year are aimed at easier categorisation of companies operating in the country.The new amendments, one of which states degree-holders must be paid a minimum of Dh12,000 per month, however, come as requirements if the company aims to be included under Category I.

A top official at the Ministry of Labour told this website that companies will be classified into three categories [I, II and III], according to skill levels of employees and Emiratisation ratio.

For enterprises to be included under Category I, 20 per cent or more of their total staff must fall under skill levels 1 (degree-holders), 2 (diploma holders) and 3 (unskilled workers).

The salary of employees (both citizens and expatriates) under skill level 1 [holders of Bachelor’s 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.

Minister of Labour Saqr Ghobash said that all establishments should aim to become Category I firms.

Proportion of Emiratis included across the three skill levels should not be less than 15 per cent of total staff strength. It is mandatory for national employees to be registered with one of the public bodies or government funds such as a pension and social security scheme, and avail retirement benefits at the UAE level or at the individual emirate level.

Private sector establishments that make it to the top category can avail several benefits including a waiver in visa deposit fees and bank guarantees, among others. However, if they fail to adhere to the rules, companies will be demoted to the lower categories, said a ministry official.

Category I private sector companies, which do not meet the abovementioned guidelines will be demoted to Category II.

According to Council of Ministers' Decision No 26 of 2010, companies included under Category I will be exempted from paying guarantees on deposits. According to Article V of the Ministerial Resolution, companies listed under Categories II and III must pay bank guarantees.

Category II firms will be further sub-divided into three levels – A, B and C. Firms listed under Category II (A) will be obliged to pay Dh3,000 bank guarantee for each worker, with a maximum of Dh1.5million.

Facilities under Category II (B) will pay a bank guarantee of Dh3,000 for each worker but with a maximum of Dh3m. And companies classified in the Category II (C) will pay bank guarantee of Dh3,000 for each worker with a maximum of Dh5m.

Similarly, establishments under Category III are entitled to pay a bank guarantee of Dh3,000 for each worker with a maximum of Dh10m.

However, the ministry has exempted industrial projects licensed by the Ministry of Economy, as well as companies and institutions under Federal or local government from paying bank guarantees.

Non-profit organisations, cooperative associations, national associations under the supervision of the Ministry of Social Affairs are also exempted from bank guarantee payments.

Similarly, projects approved by the Ministry of Finance need not pay bank guarantee.

No ‘fictitious Emiratisation’

Minister of Labour Saqr Ghobash said once the new categorisation comes in place, it will give establishments an opportunity to enhance their workplace functions and take advantage of the various benefits that await them.

The recommended classification structure has taken into account the current market condition, Emiratisation requirement, salaries and other expenses such as housing etc. whereas the ministry was earlier focusing only on the workplace aspect.

Such requirements are bound to open up more jobs for nationals and will do away with “fictitious Emiratisation”, Ghobash added.Category I should be the aim of all establishments, he said.

Once categorised, no going back

Meanwhile, Humaid bin Dimas, Assistant Undersecretary of the Ministry of Labour, was quoted by Al Khaleej newspaper as saying in one of the weekly labour meetings that once the establishments are upgraded to Category I, they cannot reduce salaries of employees. If any such incident comes to light, the company will be downgraded.

Bin Dimas also urged companies to adopt WPS [wages protection system] and transfer salaries to banks. The new amendments also include a two-year validity of labour cards and reduced fee for labour transfer, he added.

One-year ban will be imposed on offenders of labour and residency laws- Ministry of Labour

Workers in the private sector, who have a one-year ban imposed on them by the Labour Ministry for violating labour or residency laws, need to complete the ban before being able to apply for a new job, ministry officials have said.

Officials at the Ministry of Labour's Open Day yesterday said that the one-year ban is different from the six-month ban imposed by the ministry.

The ministry clarified that no automatic six-month ban will be imposed on workers who leave their jobs but a one-year ban will be imposed on offenders of labour and residency laws, including violating labour laws, or breaking an employment contract.

Last month, new rules were issued by the labour ministry allowing a worker to switch jobs after the end of his employment contract without requiring a no-objection certificate to avoid a six-month ban.

Officials have clarified that the new rules have nothing to do with other bans.

During the Open Day, many employers requested the ministry to reduce fines imposed on them citing a lack of awareness.The ministry declined to cancel the one-year ban imposed on four workers Thursday because they did not yet complete the ban period, even if one or two months were left to complete their one-year ban period. According to Aysha Bilharfya, Director of the Department of Labour Office said that there was no exemption on ban issue.

She said the ministry will not remove the ban for any worker before a year from the date of the ban, noting that there were no exceptions in this regard.

She said that the ban imposed on workers who offend the labour law is different from what used to be called "Ministry of labour six-month ban," which is cancelled by the new decisions and allows a worker who is ending his or her work relationship with the current sponsor to obtain a new permit and move to another company.

One year ban will continue - Ministry of Labour UAE

The one-year ban for workers who breach contract terms or who absent themselves from work without a legitimate reason before the end of their fixed-term contract will continue, said Ministry of Labour.

According to a report in 'Al Khaleej', workers violating labour laws will face a year's ban though the new rules state transfer of sponsorships is acceptable.

Khalil Khouri, Director of Work Permits in Abu Dhabi, during the weekly session, was replying to a woman's query, who requested her ban be revoked and wanted to know if she could benefit from the new amendments to labour laws.

She said that the company she was working for closed in September 2009 following the death of her employer. So the licence of the facility was not renewed. After more than a year, she approached the ministry and was found to have violated labour law as workers are supposed to inform the ministry within three months from the closure of any facility. Now, as per the new amendments, the period has been reduced to two months.

Meanwhile, the ministry eased the rule on fines imposed on companies that either delay or do not renew labour cards. Khalil Khouri said: "The fines will be paid by the companies and not workers."

Fines for violations prior to 2005 will incure Dh2,000 for each card and for non-renewal of cards between 2005 and 2010 the fine will be Dh5,000.

Emirates airline offers short term visa for Canadians at just $61

Canadians travelling through Dubai can obtain a short-term visa of four days for $61.5 (Dh225.9), provided they are travelling with Emirates airline.Similarly, Canadian citizens, holding a valid residency in the UAE and wanting to bring their parents and immediate relatives on a visit, can do so by booking tickets on Emirates airlines.

The visa charges are now $74.5 (Dh273.6) for a 30-day visa extendable by another 30 days.A 90-day visa only for parents or in-laws travelling by Emirates is available for for Dh1155.

“The facility is only available to passengers of Emirates airline irrespective of the nationality,” said an Emirates official at the Dnata office on Sheikh Zayed Road.

"Canadian travellers can now apply for and purchase UAE visas online via www.emirates.com. All ticketed Emirates customers, regardless of whether their ticket was purchased via a travel agent, online via www.emirates.com, or directly from an Emirates call centre or retail shop, may log-in to ‘Manage a Booking’ on www.emirates.com and access the application tool. Both 96 hour and 30 day visas are available and these will be issued via email within 3-4 working days," said a statement isued by Emirates airline.

Canada, until recently, was among more than 30 countries whose citizens could travel to the UAE on a free one-month visa.

But the UAE authorities recently amended the rules whereby Canadians will now have to pay $1,000 for a six-month multiple entry visa and the maximum stay is 14 days per visit. A three-month visa will go for $500. A 30-day visa will cost $250.

In October last year the UAE had given a 30 day deadline for the Canadian military personnel to leave the Camp Mirage base outside Dubai.

The irony is that the diplomatic standoff between Canada and the UAE centres around airspace and the nations carriers. Now it is the Emirates route that seems best for Canadians.

Earlier Story: Canadians to pay $998 for UAE visa

Canadian citizens travelling to the UAE will need to budget a little extra time and money when planning their trips.The UAE Embassy in Canada has announced it will charge Canadian nationals up to C$1,000 (US$998) for entry visas to the Gulf country from January 2 onwards.

The UAE Embassy in Ottawa has posted the new rates on its website, including a short-term (30 days), non-renewable visa that will cost C$250 ($249), a long-term (3 months) non-renewable visa for C$500 ($499), and a six-month multiple-entry visa for C$1,000 ($998), which allows for a maximum stay in the UAE of 14 days per visit.

While Canada was earlier among the list of 30-plus countries whose nationals do not require a visa to travel to the UAE - including the US, Germany, Japan and France - travellers will now need to apply for the visa about three weeks prior to flying.

The complete visa application needs to be sent to the UAE Embassy 15 working days before the departure date, according to the new requirements. The amount paid "is non-refundable in case of a visa refusal," the embassy said, adding that visa requirements may change in the future.

The new fees come into effect January 2.The decision for Canadian nationals to require visas to enter the UAE was announced in November.