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Lexis Middle East HR Alert – January 2026 News developments

Lexis Middle East HR Alert – January 2026

  • 24/02/202624/02/2026
  • by Tanya Jain

In this edition of Lexis Middle East HR Alert – January 2026, we examine the legal reforms, compliance priorities, and workplace trends shaping employment across the GCC. From wage protection system updates in the UAE and Saudi Arabia to new disability obligations in Qatar and evolving Emiratisation enforcement, this issue delivers concise, practical insight for HR professionals, legal advisers, and business leaders.

With expert commentary, regional news updates, case analysis, and practitioner perspectives, we provide the clarity needed to navigate regulatory change with confidence and stay ahead in a fast-moving employment landscape.

Stay informed, compliant, and connected with the developments shaping the future of HR in the region.

Happy reading!


This edition features a diverse range of content, including:

FEATURE: WAGING WAR ON WPS COMPLIANCE

Natalie Jones of Mischon de Reya LLP reviews recent changes to the UAE and Saudi wage protection systems and outlines the key compliance obligations for employers.


TREND SETTER: MENTAL HEALTH ABSENCE IN SAUDI

Fatima Al-Sabahi of Dentons explores employer and employee rights in cases involving mental health-related absences in Saudi Arabia.


NEWS ROUND-UP: COVERING RECENT KEY DEVELOPMENTS – REGION-WIDE

A summary of the latest HR and employment law updates, including the latest DIFC Courts Practice Direction on employment disputes and other significant HR updates.


IMMIGRATION FOCUS: RECENT GCC IMMIGRATION AND VISA CHANGES

Sponsored by Vialto Partners, this section reviews key immigration reforms and lessons from the UAE’s 2025 Emiratisation enforcement approach.


IMMIGRATION FOCUS: EMIRATISATION COMPLIANCE

Anir Chatterji and Gordon Barr reflect on 2025 Emiratisation trends and provide practical guidance for meeting 2026 requirements.


LAW CHANGES: NEW AND PROPOSED MENA LAWS

Sarit Thomas and Emma Higham assess the impact of Qatar Law No. 22/2025 on disabilities and the resulting employer compliance obligations.


CASE FOCUS

A review of Zia Ur Rehman v Forvis Mazars LLC [2025], a QICDRC ruling addressing costs considerations for litigants in person.


MOVES AND CHANGES

A regional overview of the latest executive movements, leadership appointments, and HR leadership changes across key industries.


Enrich your understanding of the HR landscape and stay up-to-date with the latest trends, cases, and policies through the newest issue of Lexis Middle East – HR Alert.


For all the latest industry updates and developments, opt for a free HR Alert subscription!

Want to learn more about Lexis® Middle East? Visit, https://www.lexis.ae/lexis-middle-east-law/.

Lexis Middle East HR Alert_January 2026

Have you read the Lexis® Middle East HR Alert – previous editions? Click the links below to access and read these editions.

Lexis Middle East HR Alert_May 2025
Lexis Middle East HR Alert_July 2025
Lexis Middle East HR Alert_January 2025

HR PROFILE: UNDER STARTER’S ORDERS

Arjenney Cakar shares how working on pre-opening projects strengthened her HR expertise and supports ongoing business growth.


IN-HOUSE PROFILE: PRACTITIONER PERSPECTIVE

Jenika Pankhania explains recent amendments to the ADGM data protection regulations and their implications for employers.


POLICY POINTERS: ANTI-BULLYING POLICY

Mary Rintu Raju provides a practical anti-bullying policy template to help organisations strengthen workplace standards.


Kuwait: New Freelance Residency Scheme News developments

Kuwait: New Freelance Residency Scheme

  • 19/02/202619/02/2026
  • by Hannah Gutang

Arab Times, 16 February 2026: Kuwait has announced a new freelance residency category, set to launch within two months, with fees ranging between KD 750 and KD 1,000.

Kuwait’s First Deputy Prime Minister and Minister of Interior announced a broad package of labour‑market reforms, including the introduction of a new freelancer residency permit designed to curb visa trading and offer a regulated framework for independent workers. The permit will carry government fees ranging between KD 750 and KD 1,000, and is expected to be implemented within the next two months.

Strict penalties would be imposed for labour‑law violations, especially where workers are found operating outside their authorised sponsorship. Employers were warned that violations could trigger criminal action, and authorities have been directed to streamline procedures and expand communication channels to support compliant companies.

Last year, 39,000 illegal workers were deported following intensified inspections targeting unlawful employment and residency breaches. Parallel measures were also announced, including inspections of nurseries, delivery‑app companies, and health institutes operating in violation of labour rules, as well as upcoming regulations for subcontracting arrangements involving foreign entities.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

You can also explore the legal landscape by subscribing to our Weekly Newsletter.

Want to learn more about Lexis® Middle East? Visit https://www.lexis.ae/lexis-middle-east-law/.

Lexis Middle East Law Alert: January-February 2026 Edition Publications

Lexis Middle East Law Alert: January-February 2026 Edition

  • 10/02/202610/02/2026
  • by Hannah Gutang

The January–February 2026 edition of Lexis Middle East Law Alert delivers essential insight into the latest legal, regulatory, tax, and financial developments across the Middle East. This issue features an in-depth analysis of key amendments to the UAE Commercial Companies Law, Bahrain’s strengthened anti-money laundering framework impacting notaries, and major regulatory changes across the GCC. It also covers evolving tax and finance regimes, capital market liberalisation, AI governance and digital transformation, alongside expert commentary, case analysis, and a roundup of significant leadership moves across the region.

This edition offers a comprehensive yet concise look at the shifting legal and regulatory landscape in the Middle East.

FEATURE: IN BETTER COMPANY

Federal Decree-Law No. 20/2025 introduces amendments to just 15 articles of the UAE Commercial Companies Law, but as Ashley Connick of Curtis, Mallet-Prevost, Colt & Mosle LLP explains, these targeted changes are likely to be far-reaching.


FEATURE: AML CHANGE OF NOTE

Noor Al Rayes and Fatema Sarha of Al Tamimi & Company explore how a new Bahraini decision is transforming notaries into key gatekeepers in the battle against money laundering.


IN-HOUSE PROFILE: AN AI ON EXPANSION

Roula Khaled, General Counsel and Head of Ethics and Compliance at Khazna Data Centres, shares her insights on how AI and emerging technologies are reshaping legal practice and opening up new pathways for business expansion.


IN-HOUSE PROFILE: PRACTITIONER PERSPECTIVE

Nick O’Connell of Bird & Bird unpacks Saudi Arabia’s AI Adoption Framework, offering insight into how the Kingdom is shaping responsible AI use.


MOVERS AND SHAKERS

Promotions, appointments, and leadership changes—discover the career moves driving change across the region’s legal sector.


CONTRACT WATCH: EMPLOYMENT CONTRACTS

Sarit Thomas from Clyde & Co highlights Saudi Arabia’s new employment contract reforms, introducing dual registration, standardised contracts, and faster wage enforcement, with phased implementation through 2026.


TAX AND FINANCE ROUND-UP

Keep pace with the region’s evolving tax and finance landscape, including important updates on the GCC sugar tax.


Lexis Middle East Law Alert_January-February 2026

Explore the past editions of the Lexis® Middle East Law Alert and stay up-to-date with the latest news! Click the links below for instant access to older editions.

Lexis Middle East Law Alert_July-August 2025
Lexis Middle East Law Alert_May-June 2025
Lexis Middle East Law Alert_March-April 2025

LEGAL ROUND-UP

Stay up to date with our latest legal round-up, including updates on the UAE Civil Code and other significant regulatory developments.


LAW MONITOR

Discover the latest legal developments across the GCC, including key amendments to the Kuwaiti Capital Market Authority legislation.


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Want to learn more about Lexis® Middle East? Visit, https://www.lexis.ae/lexis-middle-east-law/.

Kuwait: Central Bank Cuts Daily Cash Cap at Exchange Firms News developments

Kuwait: Central Bank Cuts Daily Cash Cap at Exchange Firms

  • 05/02/202605/02/2026
  • by Hannah Gutang

Arab Times, 2 February 2026: Kuwait’s central bank has tightened controls on cash transactions by sharply reducing the amount exchange companies may accept from customers each day.

The Central Bank of Kuwait lowered the maximum daily cash amount that exchange firms may accept from a customer to KD 1,000, down from the previous ceiling of KD 3,000. The restriction applies to all customer dealings, including foreign remittances and the buying or selling of currencies, and took effect as part of strengthened supervisory measures.

Under the directive, exchange companies are prohibited from accepting cash payments exceeding the new limit, or its equivalent in foreign currency, from any customer in a single day. The regulator clarified that the decision does not impose a cap on the overall value of transfers or currency transactions. Any amount above the KD 1,000 cash threshold must instead be settled through bank account deductions or other non‑cash payment methods approved by the central bank.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

You can also explore the legal landscape by subscribing to our Weekly Newsletter.

Want to learn more about Lexis® Middle East? Visit https://www.lexis.ae/lexis-middle-east-law/.

Kuwait: Cabinet Approved Amendments to Civil‑Service Law News developments

Kuwait: Cabinet Approved Amendments to Civil‑Service Law

  • 29/01/202629/01/2026
  • by Hannah Gutang

Significant amendments to Kuwait Law No. 28/2016 amending Certain Provisions of Kuwait Decree-Law No. 15/1979 on the Civil Service gave been approved to strengthen administrative efficiency, improve public‑sector performance, and modernise workforce management.

According to the Deputy Prime Minister and Minister of State for Cabinet Affairs, the Civil Service Council have endorsed a package of amendments aimed at raising efficiency within Kuwait’s administrative system and aligning state management with modern governance standards. The amendments have been designed to enhance the optimal use of human resources while improving the quality and consistency of public services.

The reforms have focused on reinforcing productivity, linking job‑related incentives to actual performance, and strengthening the principles of job justice and equality across the civil‑service structure. The changes also introduce stronger mechanisms for oversight, accountability, and unified recruitment policies, ensuring that organisational inconsistencies will be addressed more systematically.

The amendments have promoted the use of automated assessment systems and information‑driven decision‑making tools, enabling government agencies to evaluate employee performance through modern, data‑supported methods.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

You can also explore the legal landscape by subscribing to our Weekly Newsletter.

Want to learn more about Lexis® Middle East? Visit https://www.lexis.ae/lexis-middle-east-law/.

Kuwait: Health Sector to Implement Unified Employee ID System News developments

Kuwait: Health Sector to Implement Unified Employee ID System

  • 23/01/202623/01/2026
  • by Hannah Gutang

Arab Times, 19 January 2026: Kuwait’s Ministry of Health moved to unify employee identification across all public and private healthcare facilities after issuing a ministerial decision standardising official work IDs, seals, correspondence and digital applications.

A regulatory framework governing the design and use of official ID cards for medical, paramedical, pharmaceutical and administrative staff has been approved. The standardised IDs must follow unified specifications for basic data, photographs, fonts and links to electronic access systems, including sensitive facility areas.

The decision also harmonised official correspondence—paper and electronic—and mandated a uniform logo for all communications and digital platforms. Administrative leaders and healthcare‑facility managers has been tasked with oversight and with reporting violations immediately.

A six‑month transitional period, extendable to ten months, has been set to allow institutions to implement the new requirements gradually.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

You can also explore the legal landscape by subscribing to our Weekly Newsletter.

Want to learn more about Lexis® Middle East? Visit https://www.lexis.ae/lexis-middle-east-law/.

Kuwait: New Residency Law Aims to Modernise Labour Market News developments

Kuwait: New Residency Law Aims to Modernise Labour Market

  • 15/01/202615/01/2026
  • by Hannah Gutang

Arab Times, 12 January 2026: Kuwait has introduced a new residency law designed to streamline work permits and enhance labour market flexibility as part of its economic modernisation agenda.

Kuwaiti government announced reforms under a new residency law that will simplify procedures for foreign workers and employers. The law seeks to reduce bureaucratic delays, improve transparency in employment contracts, and align residency rules with international best practices.

Officials stated that the changes aim to attract skilled talent, support private sector growth, and curb illegal employment practices. The Ministry of Interior confirmed that implementing regulations will follow, detailing compliance requirements for businesses and workers.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

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Kuwait: Government Launches GCC Customs‑Link System to Enhance Trade Control and Security News developments

Kuwait: Government Launches GCC Customs‑Link System to Enhance Trade Control and Security

  • 08/01/202608/01/2026
  • by Hannah Gutang

Gulf Press, 4 January 2026: Kuwait launched the first phase of its electronic customs‑link project with the GCC Customs Union Authority on 2 January 2026, aiming to modernise customs procedures, accelerate the movement of goods and improve regional oversight.

The General Administration of Customs announced that the new system enables the secure digital exchange of customs‑declaration data and supporting documents between all GCC member states. Authorities stated that the platform is not merely a digitisation exercise but a strategic step toward a unified, transparent and interoperable customs framework across the region. The system is being deployed through the Gulf network under the regulatory framework previously approved by the GCC Customs Union Authority.

Officials said the initiative will standardise customs procedures, reduce administrative burdens for traders and shorten clearance and shipment‑release times at ports of entry. Enhanced data‑sharing capabilities are expected to strengthen risk‑management measures, support auditing and verification processes, and improve detection of smuggling and other illicit trade activities. The project aligns with Kuwait’s broader digital‑transformation goals and forms a key pillar of its efforts to improve operational readiness and supply‑chain efficiency throughout the GCC.

Inspection visits at key customs points—including the Nuwaiseeb land border and terminals at Kuwait International Airport—were conducted to assess technical readiness and ensure that the upgraded system balances efficiency with high security standards. Authorities reiterated that enhanced coordination among GCC customs agencies will help safeguard national economies while ensuring compliance with applicable laws and regulations.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

You can also explore the legal landscape by subscribing to our Weekly Newsletter.

Want to learn more about Lexis® Middle East? Visit https://www.lexis.ae/lexis-middle-east-law/.

Kuwait: New Residency Rules for Expats Come into Force News developments

Kuwait: New Residency Rules for Expats Come into Force

  • 24/12/202524/12/2025
  • by Hannah Gutang

Arab Times, 22 December 2025: Kuwait’s Ministry of Interior will introduce comprehensive new residency rules for expatriates from 23 December 2025, aiming to streamline procedures and enforce stricter controls.

Kuwait has issued Ministerial Resolution No. 2249/2025, which brings into effect updated executive regulations under the Decree‑Law on the residence of foreigners, starting 23 December 2025. All categories of entry and visit visas will incur a standard fee of KD 10 per month.

Domestic workers must now return to Kuwait within four months or risk cancellation of their residence permit unless an official exit permit is obtained. Additionally, newborns of expatriates must be registered within four months of birth. Failure to do so will result in fines starting at KD 2 per day for the first month, increasing to KD 4 per day afterwards.

New age restrictions for domestic workers will also be enforced: sponsors can bring in workers aged between 21 and 60 only. The entry visa must be requested by the employer.

Kuwait is introducing a residence-entry visa for foreign investors under Kuwait Law No. 116/2013, administered via the Kuwait Direct Investment Promotion Authority (KDIPA). Successful applicants may receive residence permits for up to 15 years, subject to Council of Ministers guidelines and KDIPA support.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

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Kuwait: Ministry Launches Digital Service for Accessing Full Court Rulings News developments

Kuwait: Ministry Launches Digital Service for Accessing Full Court Rulings

  • 18/12/202518/12/2025
  • by Hannah Gutang

Kuwait Times, 15 December 2025: Kuwait’s Ministry of Justice has introduced a new feature on the Sahel e-services app, which enables users to obtain complete court rulings electronically as part of its digital transformation strategy.

Litigants can now access the full text of court judgments through the Sahel application without having to visit court premises. The service aims to streamline procedures, save time, and allow individuals to submit official rulings to government entities and other institutions which require legal documentation.

This initiative follows the launch of two other additional services in November 2025— Family Insurance Fund certificates and Court of Cassation rulings.

For more news and content, try Lexis Middle East. Click on lexis.ae/demo to begin your free trial of Lexis® Middle East platform.

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