News developments
UAE: Amendments to the Rules on Transfer of Employees, Salary Payments and Recruitment
Following the publication last week of Ministerial Decision No. 279/2020 on employment of non-citizen employees in the private sector during the COVID-19 crisis which changed rules on transfer of employees, salary payments and recruitment, the UAE’s Ministry of Human Resources and Emiratisation has published an addendum to the Decision. This addendum was referred to in Article 5 of Ministerial Decision No. 279/2020. Article 5 says companies looking to reduce the wages of a non-citizen employee temporarily during the relevant period have to conclude a ‘temporary additional appendix’ to the labour contract between the two parties, provided it expires with the expiration of the term of the contract or the period of validity of this Decision, whichever is earlier. It goes on to say the appendix can be renewed with the approval of both parties and two copies must be prepared. Both the employer and employee should keep a copy. The employer will have to submit it to the Human Resources and Emiratisation Ministry when asked to do so.
