How to avoid 6 month labour ban in Dubai UAE?

How to avoid 6 month labour ban in Dubai UAE?

Labour Ban rule has been amended by MOL in New UAE Labour Law Resolution 765. Please read the updated Article: Termination and Labour Ban

Employees who have been slapped with a six-month labour ban for breaking their contracts before the expiry of two years can work for a new company, provided they hold at least a high school diploma and have been offered a good position and salary by the new company, employers were told by the Ministry of Labour .

To lift the 6 month labour ban, an employee should have been offered a minimum salary of 

1. AED 5,000 for high school graduates,
2. AED 7,000 for diploma holders and
3. AED 12,000 for bachelor’s degree holders. (This salary must be mentioned in the labour contract.)
4. Obtain No Objection Certificate from current employer.

Another way you can avoid labour ban is:

• You obtain a job in a Government, Semi-Government or in Free Zone based Companies.
• Be polite and talk to your employer if you wish to terminate your employment and have the mutual consent from both employee and employer
• Always make sure to complete your labour contract whether it is fixed or unlimited.

Related: Skill Level 1, 2, 3 in UAE Labour Law

No fee will be imposed for lifting the labour ban when these conditions are met, Ali Al Shehi, Senior Administrator at the ministry, said in a seminar held to inform employers about their rights and duties as well as recent ministerial decisions.

“We are still imposing the six-month labour ban on employees who quit their jobs before completing two years of service, but the ban can be lifted if the new employer offers the candidate a good position and an appropriate salary,” he said.

The new employer needs to submit the employee’s educational qualification certificates, which does not need to be attested at this stage. It will be scanned and entered into the Tas’heel system, and a new labour permit will be issued accordingly.

Al Shehi told employers that as of January 2012, company categories will have a different scale when it comes to labour permit applications.

“When a new company is registered, it will be charged AED 1,500 for each of the first four work permits to be issued to the company, which corresponds with category B2,” he said.

Afterwards, the company can move up or down categories B1, B2 or B3, or C depending on its activity, the number of employees it hires, their qualifications and diversification in the nationalities of workers.

Companies in B1 category pay AED 600 per work permit, while B2 companies pay AED 1,500 and B3 companies pay AED 2,000 for each permit.

Diversification by Companies

“This step aims to encourage diversification and hiring employees from various nationalities, so companies who hire workers from one nationality will not be upgraded, while those that hire from more nationalities will move up to categories B3, B2 and so on,” Al Shehi said, adding that companies will also upgrade their categories by hiring skilled workers.

He advised people who want to start new companies to check their sponsor’s record at the Department of Economic Development (DED) to ensure that their record is clear and they have no other companies facing problems, which will hinder their application.

“The sponsor of a company has to clear any outstanding dues or labour issues before he can sponsor another one, so we advise those who want to open a new business to look for a sponsor who has no other companies registered under his name,” Al Shehi said.

UPDATE on Labour ban from Gulfnews.com:

People working in the UAE can still be banned for up to a year if they try to change jobs, a Ministry of Labour official has said.

The ban can be implemented even when an employee quits his or her job after two years of service.

Labour Ban can be lifted, however, if the new employer offers the candidate a better position than the existing one and a salary that suits the person’s qualification, according to a scale set by the ministry, an official told Gulf News. (Read first paragraph)

There are still questions about the circumstances in which an employment ban can be enforced when a resident decides to quit their job with a view to securing employment with a new company, but officials say there are exceptions which allow bans to be lifted.

The rules and regulations that stipulate when a ban can be imposed and enforced depend on a number of legal thresholds.

Traditionally, the Ministry of Labour can automatically impose a ban when an employer terminates an unlimited labour contract before completing one year of service.

As a general rule, a labour ban is still “imposed on all expatriate employees in the UAE who are working in the private sector when they want to change from one employer to another if they left the current employer without having completed a minimum of two years service,” a ministry of labour official said. “An employment ban, labour ban, work permit ban are used for the same thing which means one will not be allowed to perform any kind of work in the UAE for a certain period of time and these are imposed for six months, one year, or there could be life ban.”

The official said a one-year ban may be imposed at the request of a sponsor if a worker resigns before the completion of a limited period contract.

Related: Types of Bans

A permanent ban could also be given to absconding employees or those who violate the labour law.

But there are exceptions to the rules: How to avoid Labour Ban?

Residents can move to another company if the employee remains under the same UAE sponsor or if the employee has a higher level of education to fulfil a position that is needed within the country.

“Employees who have been slapped with a six-month labour ban for breaking their contracts before the expiry of two years can work for a new company, provided they hold at least a high school diploma and have been offered a good position and salary by the new company.”

He said employees working in the UAE who receive a six-month labour ban for breaking an employment contract within two years can have the ban lifted if the employee is changing job for the companies under the same sponsor.

–If the employee has a NOC (No Objection Certificate) from the current sponsor then he or she will be able to move to another company under a different sponsor, the official said.

–The minimum salary in a new position is Dh5,000 for high school diploma holders, Dh7,000 for post-secondary school diploma holders, and Dh12,000 for Bachelor degree holders.

No fee will be imposed for lifting the labour ban when these conditions are met, according to a senior administrator at the ministry.

“We are still imposing the six-month labour ban on employees who quit their jobs before completing two years of service, but the ban can be lifted if the new employer offers the candidate a higher position and a salary equal or above the salary set by the minister against his or her qualifications,” he said.

The ministry said that if the employee has violated the contract in any way, then irrespective of resignation or termination, a ban can be enforced.

Women sponsored by family: Do they have labour ban?

A six-month ban imposed by the Ministry of Labour on people who fail to complete the period of employment stipulated under labour rules also applies to working women sponsored by their family members.(Father or Husband)

An official from the Ministry said women seeking to change their jobs or leave work before completing the contractual obligation of two years with their employer would automatically attract the labour ban.

The official said the labour ban would take effect the moment a woman under the sponsorship of her husband or father cancels her labour card.

He said the mandatory six-month labour ban applies to both men and women, even if individuals are sponsored by family members, and is calculated from the date an employee’s labour card is cancelled at the Ministry of Labour.

“This is an administrative ban, meaning that a block is inserted into the ministry’s computer system preventing an application for labour approval being processed against [the] banned person’s name and passport number,” he said.

The ban cannot be lifted by paying a fine.

Complaints

Some workers have complained that the Ministry of Labour is still seeking approval from sponsors if they wish to change their jobs after two years.

Those affected point to the Ministry’s earlier reforms to the labour law which did away with the need for a sponsor’s approval for employees who have been with their sponsors for two continuous years. The workers complained that they were being banned for one year for failing to secure such approval.

The labour rules, which were implemented in 2011 by the Ministry of Labour, allowed workers to switch jobs at the end of their employment contracts without the need for a no-objection certificate.

But a legal consultant at the Ministry of Labour clarified the rules and said expatriate workers would still receive a one-year ban if they failed to get their sponsor’s consent before changing jobs.

“No one is allowed to switch jobs even if they complete many years in their [current job], without the consent of their sponsor,” he said.

He also said the new law allows workers to change employment in cases such as when the company employing them has closed down and no longer exists.

“But those workers will be given one-year ban if they do not file a complaint at the Ministry in less than two months after the [closure] of their company.”

Which professions do not have labour ban?

Article 2 of the Ministerial Order No. 13 of 1991 on ‘The organisation of the transfer of sponsorships of non-national labours the rules governing the same’, which states, “Non-national labourers may be allowed to transfer one job to another and hence transfer of their sponsorship of they fall under the following categories:

(a) Engineers

(b) Doctors, pharmacists and male and female nurses

(c) Agricultural guides

(d) Qualified accountants and account auditors

(e) Qualified administrative officials

(f) Technicians operating on electronic equipment and laboratories

(g) Drivers who are licensed to drive heavy vehicles and buses.”

If you get a labour ban, you may subsequently have the ban lifted on the basis of your qualifications. Also, you may have the ban lifted if your subsequent job provides you the required salary for non-imposition/lifting of a labour ban.

The salary requirement are in accordance with Article 4 of the Ministerial Order No. 1186 of 2010 which states, “As an exception to the provision of Item No. 2 of Article 2 of this Resolution, the Ministry may issue a work permit to an employee without requiring the two year period in the following cases:

(a) In the event that the employee is starting his new position the first, second or third professional levels after fulfilling the conditions for joining any of these levels according to the rules in force at the Ministry, and provided that his new wage is not less than Dh12,000 at the first professional level, Dh7,000 at the second professional level and Dh5,000 at the third professional level.”