Weekly Spotlight: The UAE Announces Changes to Guarantees System for Domestic Workers

UAE officials have announced changes to the country’s guarantees system for domestic workers. Under the changes, domestic workers will now be able to be replaced or the hiring fees fully or partially refunded within the two-year recruitment contract.

The guarantee for those domestic workers who are recruited through the Tadbeer system has been extended to two years, in line with the Implementing Regulations to the Domestic Workers’ Law. The Law had previously granted a six-month guarantee period during which time an employer could get their recruitment fees refunded or replace a worker.

Under the new rules full recruitment fees will be refunded or an employee is replaced as an employer may want during the first six month of the contract or the probationary period in the event of termination of the contract by an employee illegally, quitting without an acceptable reason, the employee being unfit or unable to carry out their duties as required and agreed on.

After the probationary period and up to the end of the recruitment contract, part of the recruitment fees will be refunded if an employee terminates the contract illegally or quits without an acceptable reason. The amount refunded will be calculated on the basis of the remaining period of the contract. Recruitment firms will have to refund the fees to an employer within a month of the date an employer returns an employee or reports their absence from work. Where an employer specifically named a domestic worker to be recruited and the recruiting firm hired them, no recruitment fees will be refunded.

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

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.

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

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.