Employment law disputes can arise between workers and their employers in the UAE, and legal procedures are in place to settle them.
The UAE’s Ministry of Human Resources and Emiratisation (MOHRE) has provided guidelines for labour disputes in the country.
This article will discuss the procedures for individual and group labour disputes in the UAE and the actions that can be taken against employers who violate employment laws.
Effective January 1, 2024, MoHRE has been empowered with the judicial authority to adjudicate disputes valued at less than AED 50,000 “federal decree law no. (20) of 2023”.
Understanding the nuances of these changes is crucial for employers and workers alike, which will be discussed also in this article.
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Table of Contents
Procedures for Individual Employment Law Disputes UAE
If a worker or employer has a complaint about an alleged violation, they must submit it within 30 days of the incident to the MOHRE. The Ministry will try to settle the dispute amicably within 14 days.
If this is not possible, the complaint will be referred to the court, and the worker must register their case within 14 days.
During this time, the worker can obtain a temporary permit but is not allowed to work for others unless a work permit is obtained from the MOHRE.
If the work relationship is terminated, the worker must cancel the original work permit within 14 days from the issuance of the final ruling.
Procedures for Group Labor Disputes UAE
If a group of workers has a Collective labor law dispute, they can choose three to five representatives to represent them. The MOHRE will try to settle the dispute amicably within 30 days.
If this is not possible and both parties do not show up, the dispute is referred to the Collective Labor Disputes Committee, which will issue the necessary decision.
If the workers’ claim is correct, the MOHRE can take legal action against the employer, including liquidating bank guarantees and stopping the issuance of work permits.
Actions Against Employers for Violating Employment Laws
Employers who violate employment laws in the UAE can face severe penalties.
The MOHRE can withdraw labour permits or liquidate bank guarantees of employers involved in group labour disputes with more than 50 complainants.
The government can also take action against firms for withholding issues involving a group labour dispute.
Workers can contact MoHRE’s ‘Labour Claims and Advisory Call Centre’ at toll free number 80084 for assistance with labour-related grievances or legal matters.
New Mediation Process Overview
The amended UAE Labour Law now extends to disputes with a value under AED 50,000, encompassing both employers and workers defined under UAE Labour Law.
Notably, companies licensed within UAE free zones, excluding Dubai International Financial Centre and Abu Dhabi Global Market, retain their dispute resolution mechanisms.
However, starting next year, the MoHRE will adjudicate disputes from free zones valued below AED 50,000.
Claims Below AED 50,000
Effective January 1, 2024, the MoHRE gains authority to issue final decisions on disputes under AED 50,000. Additionally, the MoHRE can adjudicate breaches of settlements regardless of their value.
Decisions rendered hold the power of an executive deed, subject to appeal within 15 working days. This establishes MoHRE’s decisions akin to those from the Court of First Instance for claims within the AED 50,000 threshold.
Claims AED 50,000 and Above
Disputes exceeding AED 50,000 follow the existing process: mediation by MoHRE followed by referral to the Labour Court’s Court of First Instance if unresolved.
For expert guidance on navigating employment law disputes in the UAE, consider seeking assistance from our labor lawyer in Dubai.
Renowned for his expertise in employment law disputes, he provides comprehensive legal support to ensure effective resolution and rights protection.
Updated 18 February 2024
FAQs about employment law disputes
Conclusion.
Employment disputes in Dubai can be stressful and time-consuming, but the UAE’s Ministry of Human Resources and Emiratisation has established clear procedures to settle them.
Workers and employers must follow these procedures to ensure a fair resolution and avoid legal issues.
Employers who violate employment laws can face severe penalties, including the withdrawal of labour permits and the liquidation of bank guarantees.
Staying informed about amendments and understanding the evolving landscape of employment law is essential for both employers and employees in the UAE.
It is crucial to seek legal advice from an experienced employment dispute lawyer like our Labour Lawyer & Legal Consultant to ensure the best possible outcome in employment law disputes.
Contact our labor law firm in UAE for expert help. Click the Whatsapp icon below.
Learn about the Top contract dispute lawyers in the UAE and read about the Top Legal arbitration services from Dubai Labor Lawyer. Also, Read about The Top Arbitration lawyers UAE in Dubai, and Employment Law Mediation.
A legal consultant specializing in UAE labor law. He regularly publishes articles on the website and writes on various areas of UAE law, with a specific focus on labor law.
