What is the labour court helpline number to file complaints?
To file complaints, 80084 is the toll-free number of the labour court helpline for Labour Claims and Advisory matters provided by the Ministry of Human Resources and Emiratisation (MoHRE). Employees who need support with employment-related issues or legal inquiries can call this number to file their labour disputes.
In the rapidly evolving economic environment of the UAE, understanding the framework for labour disputes is essential for both employers and employees. The UAE’s labour laws aim to balance the interests of both parties, providing a fair and efficient mechanism to address grievances.
Let us cover the basics of labour disputes within the context of UAE law, emphasising the significance of these disputes in maintaining a stable and productive workforce.
The legal framework governing labour disputes
The legal foundation for addressing labour disputes in the UAE is rooted in Federal Law No. 33 of 2021, which overhauled the previous labour regulations to enhance transparency and fairness in the employment sector. This law emphasises the resolution of disputes through the Ministry of Human Resources and Emiratisation (MoHRE), which acts as both mediator and adjudicator in cases.
The MoHRE’s role is pivotal in guiding the dispute resolution process, ensuring that both parties receive a fair hearing and that resolutions are in compliance with the legal standards of the UAE.
Types of labour disputes
Labour disputes can be broadly classified into two categories: individual disputes and collective disputes.
Individual labour disputes
Individual labour disputes generally involve issues between a single employee and the employer. Common causes include wrongful termination, non-payment of wages, contractual disagreements, and disputes over employment conditions or benefits.
Collective labour disputes
Collective disputes involve a group of employees and generally concern broader issues such as working conditions, systemic discrimination, workplace safety, or changes to company policies affecting a group or all employees.
Resolving individual labour disputes
The process for resolving individual labour disputes in the UAE is designed to be efficient and minimally disruptive. Initial attempts at resolution are made through mediation by the MHRE, where an officer will try to facilitate a settlement between the employer and the employee.
If mediation fails and the dispute involves a claim of less than AED 50,000, the MHRE has the authority to make a binding decision. This process not only expedites the resolution but also reduces the load on the judicial system, making it easier for smaller claims to be resolved quickly and fairly.
Handling collective labour disputes
The approach to collective labour disputes in the UAE, while not involving traditional trade unions, still allows for employee representation through groups and committees. These groups can negotiate with employers on matters such as working conditions, pay scales, and other employment terms.
The MoHRE can be called upon to mediate in more significant disputes, ensuring that the collective bargaining process remains constructive and compliant with UAE employment laws.
The role of Wage Protection System (WPS) in dispute prevention
The Wage Protection System (WPS) is an electronic salary transfer system that allows the government to ensure timely and full payment of agreed wages to employees. By monitoring salary payments, the WPS helps to preemptively address one of the most common causes of labour disputes, thereby protecting employee rights and reducing potential conflicts over wages.
Employment contracts and work permit renewal procedures
The strict regulation of employment contracts and work permit renewals in the UAE serves as a preventive mechanism against disputes. All employment contracts must be clear, comprehensive, and registered with the MoHRE, which helps prevent misunderstandings and disputes over employment terms.
Additionally, the procedures for renewing work permits include checks that ensure compliance with employment laws, further safeguarding both employer and employee interests.
Emiratisation and its impact on labour relations
Emiratisation is a policy aimed at increasing the number of UAE nationals employed in the private sector. This policy influences labour relations by mandating certain hiring practices and promoting workplace diversity. Employers must navigate these regulations carefully to integrate Emiratisation into their HR policies effectively, fostering a compliant and inclusive workplace culture.
Recent changes and their Impact on labour dispute resolution
Enhanced jurisdiction of MoHRE
A significant amendment under the recent Decree is the enhancement of the MoHRE’s powers, as delineated in Article 54 of the Labour Law. This amendment extends MoHRE’s authority to adjudicate as the final arbiter in employment disputes where the claim does not exceed AED 50,000.
Additionally, MoHRE is now empowered to issue binding and executable judgements in instances where there is non-compliance with the terms of an amicable settlement previously ratified during mediation.
Legal status of MoHRE’s rulings
Under the new framework, decisions rendered by MoHRE in these matters will be treated as writs of execution. This equates their legal standing to that of a final judgement issued by local courts, thereby rendering them enforceable immediately. This marks a pivotal shift from MOHRE’s traditional role as merely a mediator to an authoritative entity capable of issuing enforceable judgements directly.
Process for challenging MoHRE’s decisions
The Decree introduces an avenue for appeals against MoHRE’s decisions. Aggrieved parties can now appeal directly to the Court of Appeal within 15 days from the notification of MoHRE’s decision. The Court of Appeal must then reach a final decision within 15 days of the appeal being lodged.
During this appeal process, the execution of the initial judgement is suspended, pending the Appeal Court’s final decision.
Financial limits for MoHRE’s adjudication
The Decree differentiates between disputes below and above the AED 50,000 threshold. For disputes exceeding this value, MoHRE’s role reverts to that of a mediator with the capacity to refer unresolved matters to the courts should mediation fail.
Continuation of salary payments during disputes
An important provision within the Decree is that MoHRE may compel employers to continue paying an employee’s salary for up to two months if the dispute has resulted in the suspension of salary payments.
Strategies to avert collective labour issues
To safeguard the public interest and prevent individual grievances from escalating into collective disputes, the Decree grants the Minister the authority to implement precautionary or administrative measures against establishments or employers.
What can employers and employees do?
Practical tips for employers
- Clear communication: Always maintain open and clear communication with employees to avoid misunderstandings that could lead to disputes.
- Adherence to legal standards: Ensure that all employment practices, including contract drafting and dispute handling, strictly comply with UAE labour laws.
- Regular training: Conduct regular training sessions for HR and management teams on the latest labour laws and dispute resolution techniques.
- Documentation: Keep thorough records of all employment agreements, policies, and any correspondences related to disputes to protect your legal standing.
- Seek legal advice: Consult with legal experts regularly to ensure your employment policies and practices are up-to-date and legally compliant.
Practical tips for employees
- Understand your contract: Take the time to thoroughly understand the terms and conditions of your employment contract.
- Know your rights: Be aware of your rights under UAE labour law, including entitlements, dispute resolution processes, and protections.
- Document interactions: Keep records of any significant interactions with your employer, especially those related to contract changes, grievances, or disputes.
- Seek clarifications promptly: If unclear about any aspects of your job or employment rights, seek clarifications from HR or legal advisors.
- Legal consultation: Consider consulting a legal expert if you find yourself in a dispute or if your rights are being violated.
Summing up
Understanding and navigating labour disputes in the UAE requires a thorough knowledge of the legal framework and a proactive approach to employment relations. By adhering to the principles outlined in this guide, both employers and employees can contribute to a more harmonious and productive working environment.With the recent updates to UAE labour law in 2024 and the enhanced powers of MoHRE, navigating labour disputes can be challenging. Davidson & Co., a boutique law firm in the UAE, offers expert legal guidance to ensure your interests are protected. Reach out to us for adept support in managing your labour disputes effectively under the new regulations!
