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Weekly Spotlight

Weekly Spotlight: New Consultation Launched by the ADGM on Amendments to the Market’s Employment Regulations

  • 08/04/201911/12/2019
  • by Benjamin Filaferro

The Registration Authority of Abu Dhabi’s Global Market has launched a public consultation on proposed amendments to the Market’s Employment Regulations. The consultation ends on 28 April 2019. The consultation includes a proposal for a new rule to govern work carried out by individuals not sponsored by Global Market entities in the Global Market.

The amendments aim to enhance the Market’s employment framework and make it appealing for both employers and employees. The proposed amendments have been developed in light of international practices and standards. The key proposals include introducing a temporary work permit regime which will allow individuals seconded from other jurisdictions or outsourced from non-Global Market entities to officially work in the Market and facilitate the engagement of interns, with or without pay by Global Market entities

It will also allow temporary freelancers to operate in the Global Market subject to a temporary work permit being obtained for them and add provisions for ‘overtime’ and ‘overtime compensation’ for employees, except for those who are employed in managerial or supervisory positions.In addition, it will introduce amendments to the Ramadan working hours provision and sick leave pay provisions and introduce a one-way repatriation flight ticket entitlement to employees

Finally, it will add protective provisions for the employment of young people between 15 and 18, add a provision to confirm the application of the Federal Law Concerning the National and Reserve Service in the Global Market and introduce amendments to the Protection of Wages and Hiring Employees sections of the Abu Dhabi Global Market Employment Regulations (Compensation and Awards Limits) Rules 2016.

News developments

Bahrain: Calls to End the System of Flexible Work Permits

  • 08/04/201911/12/2019
  • by Benjamin Filaferro

Bahraini MPs have called on the Government to end the system of flexible work permits used by freelancers immediately and compensate merchants for damage caused by the system. The Labour Minister has said flexible workers do not have the right to establish a private company and added the practice does not hurt Bahraini employment. Workers will not be allowed to move to another sponsor until two years of service and will pay 500 Dinars in insurance when entering the country to cover any claims against them.

Weekly Spotlight

Weekly Spotlight: Greater Insights into the Implications of the UAE Standalone Healthcare Data Protection Law

  • 31/03/201911/12/2019
  • by Benjamin Filaferro

An insight piece from Clyde & Co provides greater insights into the implications of the standalone healthcare data protection law in the UAE. Federal Law No. 2/2019 regulates the use of technology in healthcare and is the first piece of federal legislation which directly addresses data protection principles. The new rules will be relevant to healthcare providers, insurers and companies delivering healthtech solutions in the UAE market. Affected organisations will include healthcare providers but also medical insurance businesses, healthcare IT system suppliers and providers of outsourced services to the health sector, such as cloud service providers.

Amongst other things, the Law establishes a central IT system and mandatory interoperability standards for the health sector throughout the UAE and creates a national IT strategy for healthcare. In addition it creates ‘data protection’ obligations and restrictions, in particular in relation to confidentiality, integrity, sharing, storage and retention of data. However there are derogations from data sharing restrictions to promote scientific and clinical research and to allow the necessary exchange of information with the insurance industry. Finally disciplinary committees in each local Emirate health authority to enforce the law and apply sanctions for breach will be established. Federal Law No. 2/2019 was published in UAE Official Gazette, 647 of 2019 on 14 February 2019.

News developments

Bahrain: Independent Family Medicine Clinics for Healthcare Professionals

  • 30/03/201911/12/2019
  • by Benjamin Filaferro

Bahrain’s Cabinet has amended standards for health professionals. Doctors qualified to work in public and private hospitals are to be permitted to open and run their own independent clinics, following a training program launched by the Arab Gulf University. The Cabinet amended the requirements for such professionals to permit Bahrainis with at least a masters’ degree in family medicine to become licensed and open private family medicine clinics. The amendments are a part of the National Employment Program, seeking to create more jobs for Bahrainis. The Prime Minister has set a target to employ 240 Bahraini doctors over the coming two years.

News developments

Egypt: Amendments to Egypt Law No. 196/2017 Regulating the Gas Market Activities

  • 30/03/201911/12/2019
  • by Benjamin Filaferro

Egypt’s President has issued a Decree amending the Law regulating the activities of the gas market, promulgated by Egypt Law No. 196/2017. The Decree revokes Article 10(6) of Egypt Law No. 196/2017. It had said the Board of Directors of the Gas Regulatory Authority will adopt a system for monitoring and determining the performance criteria of licensees with respect to gas market activities. The Decree has been published in the Official Gazette.

News developments

Dubai: Private Schools Allowed to Increase Fees Again

  • 30/03/201911/12/2019
  • by Benjamin Filaferro

Dubai private schools will be allowed to increase their fees again in the next academic year, following an approval by the Ruler at a meeting of the Dubai Executive Council, on the condition that their quality rating has not slipped in the last year’s government inspections. Schools are expected to work within an approved framework instituted by the Dubai Knowledge and Human Development Authority (KHDA).

Weekly Spotlight

Weekly Spotlight: Saudi Arabia Has Issued New Zakat Regulations

  • 24/03/201911/12/2019
  • by Benjamin Filaferro

Saudi Arabia’s General Authority for Zakat and Tax has issued the updated Zakat Regulations in Arabic.

The Regulations are subject to certain exceptions, effective for financial years beginning on or after 1 January 2019 and supersede the provisions of all the previous Regulations and any conflicting circulars, instructions and Decisions.

The key changes include, amongst other things, new rules on how finance activities will be treated for Zakat purposes and a change to the Zakat rate applicable to the Zakat base. A permanent establishment of a non-resident Saudi or GCC national will be treated as a Zakat payer subject to a certain condition being met.

News developments

Saudi Arabia: Transfer Pricing Guidelines Published

  • 24/03/201911/12/2019
  • by Benjamin Filaferro

Saudi Arabia’s General Authority for Zakat and Tax has issued guidelines on transfer pricing in Arabic and English. They cover the basic concept of transfer pricing and arm’s length principle. The Authority provides specific guidance on financial transactions, intangibles and business restructuring. The guidelines also provide guidance on selection of transfer pricing method, transfer pricing documentation, valuation, transfer pricing adjustments and details on audits.

News developments

Kuwait: New Decree Establishing Real Estate Broker’s Book

  • 23/03/201911/12/2019
  • by Benjamin Filaferro

Kuwait’s Commerce and Industry Minister has issued a Decree establishing a Real Estate Broker’s Book. The Book will be online and is aimed at finalising the regulation of the country’s real estate sector and eliminate market manipulations. Under the Decree, the Commerce and Industry and Justice Ministries, Kuwait Municipality and the Public Authority for Civil Information will establish a database with details of any property which is being traded in terms of disputes and ownership status. Those who have obtained the relevant e-permits from the Public Authority for Civil Information will then be able to register on the e-booking system.

News developments

UAE: New Measures to Increase the Regulation of the Pharmaceutical Industry

  • 23/03/201911/12/2019
  • by Benjamin Filaferro

The government of the UAE is set to pass new measures to increase the regulation of the pharmaceutical industry. Under the legislation, currently under review, those caught selling counterfeit medicine with be punished with up to five years in prison and a 1 million AED fine. There will also be prison sentences for up to a year in jail and a 500,000 AED for those selling poisonous substances. In addition, pharmacies caught overcharging for products could be fined up to 100,000 AED, with fines doubling for repeat offenders. Existing UAE legislation for in this area pharma industry dates back to 1983. The Federal National Council has said the draft laws would shortly be referred to the Cabinet. The FNC has also added pharmacists found to have faked a licences would be fined up to 200,000 AED and sentenced to two years in jail.

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