post arrival orientation seminar - polo dubai · 2017. 1. 4. · with offer letter as per...

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POST ARRIVAL ORIENTATION SEMINAR SALIENT FEATURES OF THE UAE LABOR LAWS AND ITS AMENDMENTS o FEDERAL LAW NO (8) OF 1980 o CABINET RESOLUTION NO (25) OF 2010 o MINISTERIAL DECREES 764, 765, 766 OF 2015 DUBAI HEALTH INSURANCE LAW 2013

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Page 1: POST ARRIVAL ORIENTATION SEMINAR - POLO Dubai · 2017. 1. 4. · with offer letter as per Ministerial Decree 764 of 2015. The decree goes on to state that the terms as per the Offer

POSTARRIVALORIENTATIONSEMINAR

SALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTSo FEDERALLAWNO(8)OF1980o CABINETRESOLUTIONNO(25)OF2010o MINISTERIALDECREES764,765,766OF2015

DUBAIHEALTHINSURANCELAW2013

Page 2: POST ARRIVAL ORIENTATION SEMINAR - POLO Dubai · 2017. 1. 4. · with offer letter as per Ministerial Decree 764 of 2015. The decree goes on to state that the terms as per the Offer

POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

q INTRODUCTION,EMPLOYMENTOFYOUNGWORKERSANDWOMENWORKERS

q CONTRACTSOFEMPLOYMENT,REMUNERATION,HOURSOFWORK,ANDLEAVE

q HEALTHANDSAFETYANDDISCIPLINARYRULESq TERMINATIONOFEMPLOYMENTCONTRACTSANDSEVERANCE

PAY

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

Article3.TheprovisionsofthisLawshallNOT applytothefollowingcategories:(a) FederalGovernment,governmentaldepartments,localandpublic

corporationsandinstitutionsofficials,employees,andworkersincludingappointedgovernmentprojectsofficials,employees,andworkers;

(b) Membersofthearmedforces,policeandsecurity;(c) Domesticservantsemployedinprivateresidencesandthelike;(d) Agriculturalworkers.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

Paragraph 3, Article 6. In all cases no claim of anyentitlement due under the provisions of this law, shall beheard if brought to court after the lapse of one year fromthe date on which such entitlement became due and noclaim shall be admitted if the procedure stated in thisArticle are not adhered to.

Article7.AnystipulationscontrarytotheprovisionsofthisLaw,evenifitwasmadepriortoitscommencement,shallbenullandvoidunlesstheyaremoreadvantageoustotheworker.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

CabinetResolutionNo.10,2010effectiveJanuary1,2011InternalWorkPermits,Five(5)Categories:

1. WorkerTransferPermitsCompletionof2yearsfromthecurrentemployercantransfertoanotheremployerwithoutsixmonthsban;Themandatorytwo-yearworkingperiodiswaivedif:(a)theemployeeearnsaminimumofAED12,000,AED7,000orAED5,000dependingonwhichofthethreeprofessionalclasses(s)hebelongsto;(b)theemployerhasbreacheditslegalobligationstowardstheemployeeortheemployeeisnotthecauseofthetermination;or(c)theemployeemovestoanestablishmentwhichisownedbythefirstemployeroriftheemployerisashareholderinthatestablishment.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

CabinetResolutionNo.10,2010effectiveJanuary1,2011InternalWorkPermits,Five(5)Categories:

2.TemporaryWorkPermitforthoseonaprojectorjobfunctionforaperiodnomorethansixmonths.

3.Part-TimeWorkPermitforthoseinajobwithlessthanthenormalfulltimeworkinghours.Thiswouldalsoallowthosewithafull-timejobtotakeupasecondpart-timejobiftheyhavetheconsentoftheirmainemployerandthepart-timepermitistoworkafterhours.Part-timeworkersareentitledtoallthelabour rightsundertheUAELabour Law.Studentsabove18onuniversitysponsorshipcannowlegallyworkpart-timeuponreceivingapermit

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

CabinetResolutionNo.10,2010effectiveJanuary1,2011InternalWorkPermits,Five(5)Categories:

4.WorkPermitforthoseSponsoredbytheirfamilies.Permitforspousesandchildrendependentontheirfamilieslikefather,motherorspousefortheirresidencevisa.

5.JuvenilesWorkPermitArticle20-26EmploymentofYoungPersonsJuvenilesbetweentheagesof15-18maynowbelegallyentitledtowork

• Employersshouldretaincopies:juvenile’sbirthcertificate,physicalfitnesscertificateissuedbyaspecializedphysicianandwrittenconsentfromthejuvenile’sguardianorsponsor.Further,theemploymentofajuvenileisprohibited:thejobrequiresnightshifts,orisofahazardousnatureorharmfultohealth,suchasundergroundjobsinmines,quarries,furnaces,oilrefining,theasphaltindustryandbakeries.

• Theworkinghoursofanunderagepersonshallnotexceedsixhoursadaywhichshallincludebreaksofnotlessthananhourforrest,foodorprayer.Juvenilesarenotpermittedtoworkovertime,oronholidays.Ajuvenileworkpermithasavalidityperiodofoneyear.

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Chapter27– 32EmploymentofWomenNowomenshallbeemployedonanyjobthatisdangerous,arduousordetrimentaltohealthormorals,atnightfrom10pmto7amunlessincasesofforcemajeure,workinresponsibleadministrativeandtechnicalposts,inhealthservicesandotherjobsasmaybespecifiedbytheMOLnowMOHRE.MaternityLeaveentitlementoffullpayfor45daysifshehasbeenintheserviceofoneyear.Halfpayifshehasnotcompletedoneyearservice.(Article30)NursingmothersDuringthe18monthsareallowed2breaksadayofnotmorethan30minutes(Article31)

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

Article37.Probationperiodnotexceeding6monthsandnotmorethanonceintheserviceofoneemployer.Article38.Limitedcontractisforalimitedperiodbutnotexceeding4years.Article39.Unlimitedcontractwhenthecontractisconcludedasunlimitedperiod.

EmploymentcontractconsistentwithofferletterasperMinisterialDecree764of2015.ThedecreegoesontostatethatthetermsaspertheOfferLettermaynotbealteredwhencompletingtheMOLContractunlessthetermsaremorebeneficialtotheemployee.TheOfferLetterwillbequiteminimalistandcontainjustthekeyterms- salary,notice,annualleaveandterminationprovisions.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

MinisterialDecree766of2015setsoutnewrulesonworkpermitseasinglabour bans

LIMITEDCONTRACTq THETERMOFTHECONTRACTHASEXPIREDq EitherpartyunilaterallyterminatestheemploymentRELATIONSHIPafter

theexpiryofthefirstfixedtermcontractprovidedtheterminatingparty:§ givesnoticetotheotherpartyasperthemol contract;§ continuestohonour thecontractualobligationsduringthenoticeperiod;

and§ Indemnifiestheotherpartyintheamountthatwasagreedtointhemol

contract

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

MinisterialDecree766of2015setsoutnewrulesonworkpermitseasinglabour bans

UNLIMITEDCONTRACTq EitherpartyunilaterallyterminatestheemploymentRELATIONSHIP

providedtheterminatingparty:§ givesnoticetotheotherpartyasperthemol contract;§ continuestohonour thecontractualobligationsduringthenotice

period;and§ THEEMPLOYEEHASCOMPLETEDAPERIODOFNOLESSTHANSIX

MONTHS(IFTHEEMPLOYEEHASAHIGHSCHOOLDIPLOMAORHIGHER,THE6MONTHSISWAIVED)

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

MinisterialDecree766of2015setsoutnewrulesonworkpermitseasinglabour bans

LIMITED/UNLIMITEDCONTRACTq THEPARTIESMUTUALLYAGREETOTERMINATETHECONTRACTDURINGTHE

COURSEOFITSTERM,PROVIDEDTHEEMPLOYEEHASCOMPLETEDAPERIODOFNOLESSTHANSIXMONTHS(IFTHEEMPLOYEEHASAHIGHSCHOOLDIPLOMAORHIGHER,THE6MONTHSISWAIVED);

q THEEMPLOYMENTRELATIONSHIPISTERMINATEDBYTHEEMPLOYERTHROUGHNOFAULTOFTHEEMPLOYEE,PROVIDEDTHEEMPLOYEEHASCOMPLETEDAPERIODOFNOLESSTHANSIXMONTHS(IFTHEEMPLOYEEHASAHIGHSCHOOLDIPLOMAORHIGHER,THE6MONTHSISWAIVED);

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

MinisterialDecree766of2015setsoutnewrulesonworkpermitseasinglabour bans

LIMITED/UNLIMITEDCONTRACTq WHERETHEEMPLOYERHASFAILEDTOMEETHISLEGALORCONTRACTUAL

OBLIGATIONS,INCLUDINGBUTNOTLIMITEDTOWHENTHEEMPLOYERFAILSTOPAYTHEEMPLOYEE’SWAGESFORMORETHAN60DAYS;

q WHERETHEEMPLOYERISSHUTTINGDOWN;q WHERETHELABOURCOURTPROVIDESAFINALRULINGINFAVOUROFTHE

EMPLOYEETHATATTESTSTHATISENTITLEDTOACCRUEDWAGESFORNOLESSTHANTWOMONTHSOFWORK.

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REMUNERATIONArticle56.Workersengagedonyearlyormonthlyremunerationshallbepaidatleastonceamonth.Article59.Noworkershallbeobligedtopurchasefoodorothercommoditiesfromaparticularshoporgoodsproducedbytheemployer.

NOAMOUNTOFMONEYMAYBEDEDUCTEDFROMAWORKER’SREMUNERATIONEXCEPTUNDER:Article60.a)therecoveryofadvancesoramountofmoneypaidinexcessofhisentitlementsbutdoesnotexceed10%ofhisperiodicremuneration;b);c);d);e);f);Article61.Whereaworkerisguiltyoftheloss,damageordestructionoftools,machinesorproductsormaterialsownedbytheemployerorinthelatter’scustodybutshallnotexceed5daysremunerationineachmonth.

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HOURSOFWORK

Article65.Normalworkinghoursshallbeeightadayor48aweek.Maybeincreasedto9hoursincommercialestablishments,hotels,cafesandofguardduties.Thenormalhoursshallbereducedby2hoursduringRamadan.

OVERTIMEPAYArticle67.Aworkershallreceivearemunerationequaltothatcorrespondingtohisnormalhoursofwork,plusasupplementof25%oftheremuneration.Article68.Overtimeworkedfrom9pmto4amaworkershallbeentitledtotheremunerationofhisnormalhoursofwork,plusasupplementof50%oftheremuneration.

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HOURSOFWORK

Article69.Thenumberofactualhoursofovertimeshallnotexceedtwoadayunlessworkisnecessarytopreventtheoccurrenceofsubstantiallossoraseriousaccidentortoeliminateoralleviateitsconsequences.Article70.Fridayshallbeanormalweeklyrestdayforallworkersexceptdailypaidworkers.Restdayworkedplusasupplementof50%ofhisremuneration.Article71.NoworkershallbeemployedinmorethantwosuccessiveFridays.Article81.Workedonpublicholidays,theemployershallpayhim150%ofhisbasicremuneration

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

LEAVEArticle74.PAIDHOLIDAYSHijriNewYear;January1;Eid AlFitr – 2days;Eid AlAdha – 3days;ProphetMohamedbirthday;Israa andMiraj;December2UAENationalDay.

Article75.PaidAnnualLeaveof30calendardayswheretheworkersperiodofserviceismorethanoneyear.Article78. LeaveAccumulationnottoexceed2years.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

LEAVE

Article83.Nosickleaveforworkersunderprobationperiod.Aftercompletionofmorethan3monthsaftertheprobationperiodtheworkerisentitledto90dayssickleaveineachyearofservicecomputedasfollows:First15dayswithfullpay;Thenext30dayswithhalfpay;Anysubsequentperiods,withoutpay.

Article87Hajleavewithoutpaynotexceeding30daysArticle90.Anemployershallnotdismissaworkerorservenoticeofdismissalwhiletheworkerisonannualleave.

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

INDUSTRIALSAFETY,PREVENTIVEMEASURES,HEALTHANDSOCIALCAREFORWORKERS

Article91.Everyemployershallprovideadequatepreventiveequipmenttoprotectworkersagainstthedangersofemploymentaccidentsandoccupationaldiseasesthatmayoccurduringtheworkandalsoagainstfirehazards...Article93.Everyemployershallprovideoneormorefirstaidboxescontainingmedicines,bandages,antisepticsandsuchothermaterial...

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POSTARRIVALORIENTATIONSEMINARSALIENTFEATURESOFTHEUAELABORLAWSANDITSAMENDMENTS

DISIPLINARYRULESArticle102.DisciplinaryPenaltiesthatmaybeimposedonaworkerasfollows:1. Warning;2. Fines(butnotexceeding5daysremuneration,Article104);3.Suspensionfromworkwithreducedpaybutnotexceeding10days;4.Forfeitureordefermentofanincrement;5.Forfeitureofapromotion;6.Dismissalwithseverancepay;7.DismissalwithoutseverancepayonthegroundsofArticle120.

Article109.Nodisciplinarypenaltyforactscommittedoutsideoftheworkplaceunlesssuchactsisconnectedwithworkoremployerorresponsiblemanager.

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DISIPLINARYRULESArticle110and111DueProcess,MinisterialDecree765of2015§ Theemployeemustbenotifiedofthechargeagainsthim,within30daysofthedisclosureoftheallegedoffence

§ Hemustbeprovidedwithanopportunitytostatehisdefence§ Hisdefence mustbeinvestigated§ Alltheaboveshouldberecordedinhispersonalfile§ Theemployeeshouldbenotifiedinwritingofthepenalty,thereasonforsameandtheactiontakenagainsthimincaseofrepetitionoftheoffence.

§ Nodisciplinaryoffenceaftermorethan30dayssincetheoffencewasdiscovered.§ Nopenaltymaybeimposedafterthelapseofsixtydaysfromthedateofthedisciplinaryfinding.

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TERMINATIONOFCONTRACTSOFEMPLOYMENTArticles113to131,MinisterialDecree765of2015

Item Limitedcontract UnlimitedcontractMaximumduration 2years(4years) N/A

Noticeperiod 1-3months(nonerequired)1-3months(1monthminimum,nomaximum)Article117

Compensationforearlyterminationoflimitedcontract

As agreed between the parties but not morethan 3 months’ salary where employerterminates, 1.5 months where employeeterminates*.

Asagreedbyparties(The employer is liable to pay compensation tothe employee equal to three months salary orfor the remaining period of contract whichever isshorter; the employee is liable to pay half theamount that the employer would have to pay)Article 115 and 116

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TERMINATIONOFCONTRACTSOFEMPLOYMENTArticle120ValidTerminationwithoutnotice§ Workeradoptsfalseidentityornationalityorsubmitforged

certificatesordocuments;§ Workerisengagedonprobationorduringprobationperiod;§ Workermistakeresultinginsubstantialmateriallossforthe

employerandnoticeofoccurrenceislodgedbeforeMOHREwithin48hours;

§ Workerdisobeysinstructionsrespectingindustrialsafetyorthesafetyoftheworkplace,...

§ Workerdoesnotperformhisbasicdutiesunderthecontractofemploymentandpersistsinviolatingthemdespitethefactthathehasbeenthesubjectofawritteninvestigationforthisreasonandhehasbeenwarnedthathewillbedismissedifsuchbehaviorcontinues;

§ Workerrevealsanysecretoftheestablishmentinwhichheisemployed;

§ Workerfinallysentencedbyacompetentcourtforanoffenseinvolvinghonour,honestyorpublicmorals;

§ WorkerisfoundinastateofdrunkennessorundertheinfluenceofadrugduringOfficehours;

§ Whileworking,theworkerassaultstheemployer,theresponsiblemanageroranyofhisworkmates;

§ Workerabsentsfromhisworkwithoutavalidreasonformorethan20nonsuccessivedaysormorethansevensuccessivedaysinayear.

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EndofServiceComputationArticle132TerminationFirst5years:21daysperyearofservice;Above5years:30daysofservice.Article137Resignation(Unlimitedcontract)1-3years:7daysperyearofserviceAbove3yearsbutlessthan5years:14daysperyearofservice5years:21daysperyearofserviceAbove5years:30daysperyearofserviceArticle138Resignation(Limitedcontract)NoSeverancepayiftheworkerleavesbeforetheexpiryofhiscontractperiodunlesshiscontinuousperiodofserviceexceedsfiveyears.

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POSTARRIVALORIENTATIONSEMINARDUBAIHEALTHINSURANCELAW2013

Whatisthemandatory health insurancelaw?

TheDubai Health InsuranceLawNo11of2013thatcameintoeffectinJanuary2014mandatesthatallnationalsandresidentswithaDubaivisashouldhavecompulsory health insurancecover.ThelastdeadlineforitwasJune30,2016,bywhichtimeeverypersonwithaDubaivisamusthavethisinsurance.

Tellusaboutthedifferentphasesofcoverage.Inthephasedimplementation,PhaseIcoveredcompanieswith1,000ormoreemployees,endedonOctober31,2014;Phase2coveredallcompanieswith100-999employeesandendedonJuly31,2015;Phase3coverscompanieswith100orlessemployeesandincludeseveryresident,includingdomesticworkersanddependants ofemployees,whohavetocomeunderthecoverbyJune30,2016.

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POSTARRIVALORIENTATIONSEMINARDUBAIHEALTHINSURANCELAW2013

Detailsofinsurancecoverage?

Accordingtothelaw,thelegalliabilityforeverysponsoristoprovidetheessentialinsurancepackageandthecoverageisthesameirrespectiveofwhoevertakesit.Sponsorsarefreetotopupthisinsurancecover.ThepremiumforthisessentialpackageisfixedbetweenDh565andDh650sothatthosewithsalariesunderDh4,000receiveadequatecover.Theseincludeallthebluecollarworkers,includingdomestichelp,maidsandnannies.

Thesecondkeygrouparedependants ofexpatriates.Thesponsorsofemployeesdonothavetopayforthe health coverforthespouseanddependants.However,westronglyadvisethemtopayfortheemployee’sdependants.ThepremiumforthisisDh650oralittlemoreunlessthedependants areabove60yearsofage.Thethirdgroupcomprisestheelderly.Noweveryindividualabove60,whetheremployedoradependant,withorwithoutahistoryofdiseases,canbuyanannualinsurancecoverofDh2,500.Thepre-existingconditionswillnotbecoveredforaperiodofsixmonthsandafterthateverythingwillbecovered.

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POSTARRIVALORIENTATIONSEMINARDUBAIHEALTHINSURANCELAW2013

Whatdoestheessential health coverpackagecover?Thebasiccoverincludesoutpatientconsultancyatclinics,referralstospecialistandforsurgicalandpathologyinvestigations,maternityhealth cover,emergencyvisittohospitalandanysurgeriesrequired.Whileemployershavegroupinsuranceschemesfortheiremployees,aresidentcanshopforatailor-madecoverforhisdependants thatincludesspouse,minorsanddomestichousehelp.Whatisthemaximumcoverageandhowmuchisabeneficiaryexpectedtopay?ThebeneficiarywithbasicinsurancecovergetsamaximumcoverageofuptoDh150,000andhastopay20percent[ateveryvisittothedoctor].So,ifhehasanoutpatientbillofDh200hewillhavetopayDh40.Whatisaspecialprotectionpackage?Theprotectionpackagemandatesthatalthoughabeneficiaryhastopayaminimumof20percentofco-insurancepaymentincaseofahospitalstayorsurgery,thisiscappedatDh500.So,ifsomeonehasmajorsurgeryamountingtoDh40,000,eventhoseinthebasicpackagewouldbeexpectedtopayDh8,000as20percent.ButtheprotectionpackagemandatesaceilingofDh500.WehaveputacapofDh500oramaximumpaymentofDh1,000inthewholeyear.Thisprotectstheinterestsofthebeneficiaries.

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POSTARRIVALORIENTATIONSEMINAR

TO GOD BE THE GLORY !