The government of UAE imposed hefty fines for violation of labor laws

UAE labour laws are constantly evolving and in recent years, the government of UAE announced some developments to the UAE labor laws. The ruling came to support the workers and empower the employees in the labour and employment market. 

The efforts are aimed at bringing in more fairness and healthy competition in the UAE labour markets. The major modification came when the new fines were imposed on employers. Those employers who are found to be violating the provisions of UAE federal-decree law on employment relations will face heavy charges. The imposed fine may range from AED 100,000 that can go up to AED 1 million. We also know that, 

It is for protecting the rights of labour

The exemplary move by the government of UAE reflects the efforts to protect the rights of labour. Besides the proposed fines clearly indicate the promotion of fair and legal practices in UAE labor markets. The new amendments to UAE labour laws will now attract strict penalties. Besides, every violation will be scrutinized and result in huge financial losses for the employers. 

Serious Consequences: If there is a breach  

Those employers who will be hiring employees and workers without proper permits will face serious consequences. As per the UAE labour laws, the work permits are compulsory. In case the employer hires or brings a worker to the UAE without job permits, they are committing a serious crime. This will lead to heavy fines. The provisions from the new amendment are made to put an end to illegal employment in the UAE. This will also document all the workers in a legitimate manner. Business cannot be closed without settling the worker’s entitlements and salaries. Attorneys who are supposed to explain this law as well as UAE Labour Law are called as Labour and Employment Lawyers. These lawyers, have to be UAE National lawyers and they have to be from, UAE National law firms. Dubai observes top Dubai law firms having a distinguished status in all over the United Arab Emirates.  

Rules for Employers

The employer is bound as per the new changes that they need to fully settle the worker’s entitlements and salaries. It may include wages, end-of-the-year gratuity, and end of term benefits. Those who fail to pay the employees will be severely penalized. Further details about the fines can be grabbed from, UAE National Labour and Employment lawyers and legal consultants. 

Security of Workers 

This exceptional move is made to ensure the security of the workers. Now all the employees will be paid for their service and no unpaid salaries or benefits will be left in case of a business closure. The employers who are engaged in fraudulent employment will be punished for their actions. Those who have fictitious employment or fraudulent Emiratization will face a heavy fine for conducting illegal labor practices.

They are also banned from hiring Minor workers

Employers are banned from hiring minors to work. Any employer caught employing a minor will be liable to pay a penalty. As per the labor law, child labor is strictly prohibited in the UAE. Circumvention of the UAE labor market will attract a serious penalty for the employer. 

According to the new modifications, fictitious employment will be facing punitive measures. This action will put an end to employee exploitation. Furthermore, it paves a way to ensure compliance with the international legal standards. The penalties will increase with the number of violations made. The most prominent feature of the new modifications is that the penalties will increase with the number of violations made by the employer. 

Prevents violations at a massive scale

These efforts are dedicated to combat employment law violations to a minimum and thus, it will be preventing the violations at a massive scale. The employers who have to settle the violation are provided with flexibility. Under certain conditions, the employer can pay 50 percent of the minimum fine from the financial incentives of the fictitious employment.

MOHRE and other Rules

Besides, the refunds are made to the concerned authority named Ministry of Human Resources and Emiratization (MOHRE). Settlement options are provided to the employers to reduce the financial impact on the business. Therefore, the returns and refunds can be made from the gains from the illegal acts. The new alterations to the UAE labor law state that there is a revision in the time limits for filing the claims.  Those disputes that arise from employment must be filed within 2 years from the date of termination. More than 2 years old employment disputes shall not be entertained. The UAE courts will not precede the old cases.

The new changes made are introduced for the betterment of UAE labor markets. The modifications introduced to the UAE labor laws undermine the efforts towards a stringent legal regime. Nonetheless, the basic aim is to protect the workers from the violations made by the employers. In this way, the rights and interests of the workers will be safeguarded. This will enable fair employment practices in the UAE and also boost the integrity of the UAE labor markets.  The government announcement of penalties has underscored the UAE’s reputation as a center business hub that upholds the rule of law. 

Ending Summary

For further details and getting the knowledge of new laws, please contact UAE National also known as Emirati labour lawyers. UAE introduces and revises the laws on continuous basis. Therefore the need of attorneys in UAE are badly felt from individuals to business entities.  

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