The Dubai International Financial Centre has launched a public consultation on proposed amendments to some of its key laws. It will end on 28 March 2021.
The proposed amendments will affect the 2019 Employment Law (DIFC Law No. 2/2019 as amended last year by DIFC Law No. 4/2020), the Employment Regulations, the 2020 Data Protection Law (DIFC Law No. 5/2020), the 2019 Insolvency Law (DIFC Law No. 1/2019) and the Insolvency Regulations.
The amendments have been proposed in light of international best practices and the specific factors relating to the DIFC as well as the need to provide an appropriate regulatory environment for businesses to operate in or from the Centre.
The proposed amendments to the Employment Law are aimed at clarifying the application of limitations periods to claims made under the Employment Law, including claims for deductions to an Employee’s Remuneration, the accrual of vacation leave and the duration of the probationary period for short term fixed-term contracts and certain defined terms used in the Law. In addition, they are aimed at amending the basic workplace health and safety requirements under the Employment Law to account for working from home arrangements.
They are also proposing issuing new Employment Regulations to provide further clarity in relation to the Qualifying Scheme regime to bring it in line with the Dubai Financial Services Authority’s Employee Money Purchase Scheme so only a single layer of regulation is applied to these schemes; and make them fit for purpose from a consumer protection perspective.