When you do not have LABOUR BAN?

NO LABOUR BAN – SCENARIOS

In the past I have written about when labour ban is applicable to you. However, recent Ministry of Labour New Labour Law rule amendment means, things have changed a bit. No longer do individuals under Skill Level 1, 2 or 3 face any labour ban, provided they follow the new labor law rules. Many of us are curious as to whether we face labour ban if we change our jobs. Many of us are under limited or unlimited contract. The scenarios are different and there are different ways in which you can avoid labour ban. 

In this post today, I wanted to cover on circumstance or scenarios under which you will not face labour ban under Limited Contract or Unlimited Employment Contract.

Limited Contract – No Labour Ban – Scenarios

First I’d like to cover when you will have no labour ban under Limited Employment Contract:

1. If your employment contract has expired or has not been renewed:

-A limited contract is time bound and if you have completed the expiry date of your limited labour contract, you will not face labour ban.

2. Either you resign or your company ends your employment contract after it has expired:

-Whoever terminates the contract, should serve notice period as per the employment contract issued by Ministry of Labour;

-You must continue to honour your obligations under labour contract;

-The terminating party indemnifies (settle) the other party amount as agreed in the employment contract issued by MOL;

3. You and your employer agree to terminate the contract during its term, you will have no labour ban provided you are under Skill Level 1, 2, 3. For Skill level 4, 5, you have to complete minimum 6 months of service to avoid labour ban.

4. Your company terminates your employment without your fault, you will have no labour ban. Skill Level 4, 5 need to be minimum 6 months with the company.

5. When you do not receive your salaries for continuous 2 months (60 days), you can resign and you will not face labour ban. 

6. If your company is shutting down, you will not face labour ban.

7. If you have filed a case at MOL and you have won the case against your employer/company, you will not face labour ban. You are also eligible for the below entitlements:

-Wages accrued till the last working as deemed by MOL Court;

-Compensation for early termination of limited contract (usually 3 month gross salary);

-Your End of Service Gratuity payment;

-Accrued leave en cashed;

-Any other obligation of your company as per labour contract;

Unlimited Contract – No Labour Ban – Scenarios

Under Unlimited Contract too, you have similar rights. An unlimited contract is one which does not have an end date and is renewed automatically. Here are the scenarios where you will not face labour ban under Unlimited Contract:

1.  Either you or your employer terminates the employment contract:

-You and/or your company serve the notice as per your employment contract;

-You and/or your company continues to honour the obligations as per your employment contract;

-You have completed at least 6 months of service under your contract if you are skill level 4 or 5. For Skill Level 1, 2, 3 this is not required.

2. You and your employer agree to terminate the contract during its term, you will have no labour ban provided you are under Skill Level 1, 2, 3. For Skill level 4, 5, you have to complete minimum 6 months of service to avoid labour ban.

3. Your company terminates your employment without your fault, you will have no labour ban if you are under Skill Level 1, 2, 3. Skill Level 4, 5 need to be minimum 6 months with the company.

4. When you do not receive your salaries for continuous 2 months (60 days), you can resign and you will not face labour ban.

5. If your company is shutting down, you will not face labour ban.

6. If you have filed a case at MOL and you have won the case against your employer/company, you will not face labour ban. You are also eligible for the below entitlements:

-Wages accrued till the last working as deemed by MOL Court;

-Compensation for early termination of limited contract (usually 3 month gross salary);

-Your End of Service Gratuity payment;

Knowing your rights under limited contract and unlimited contract will serve good to you and your career. Most of the time

So now you know the scenarios in which you will not receive a labour ban. Sometimes, this can be confusing. So read as many times. If you have not understood, do let me know through comments.

About Deepak 505 Articles
Deepak is a passionate blogger with interests in bitcoin, online marketing, and writing.
  • Hi deepak,
    My cousin brother got job as a nurse in a private hospital UAE , But when the visa issued only he realised the posting and location is not as promised earlier. So he decieded not to join in that facility as they are not ready to change the decision. The visa issued on 15/12/15. Till then he didnot use that and he is still in India. The hospital hold his certificates and asked us to pay the expences which is around 3200 dirham to get back the certificates. I just want to bring my brother on a visit visa to find another job . But howlong I need to wait for that and when the current visa will expire?
    Kindly help us
    sony
    abu dhabi

  • dear sir.,
    am dineshkumar working sharjah i joined one company i came april 2016 month but i would like to change my job i already give my resignation to my company i have to one doubt incase they are accept my resignation they are applied to ban with me in six months

  • Sir. I just wanted to leave my job but the company is forcing me to pay 3500 dhirams.
    Initially i have signed the offer letter but havent undergone medicals and havent had my visa stamped. As things were not promised i would like to know if i were to pay the amount or what should i do?

    • I join in the company 06-16-2014 and holding a unlimited contract i finish may first contract ….and renewed 4months ago for the 2nd contract but i decided to resign immediately for the reason i got an good offer … but what happened my employer is scaring me that if i resign they will terminate my wife and sister working also in same company.. and they told me that i have a ban 6mnths to one yr… pls advice….

  • Hello sir,
    I am firoz jamal from kerala, india. I had worked abudhabi for 1 year in 2014. I got annual leave for one month and went to India. But after one month I could not return to abudabi because of my family issues. My visa did not cancel. But visa period expired. Now I want to get a job in UAE. Can I enter UAE for another job with out cancelling my previous visa.? Pls help sir.

  • I join in the company 06-16-2014 and holding a unlimited contract i finish may first contract ….and renewed 4months ago for the 2nd contract but i decided to resign immediately for the reason i got an good offer … but what happened my employer is scaring me that if i resign they will terminate my wife and sister working also in same company.. and they told me that i have a ban 6mnths to one yr… pls advice….