Unwelcome resignation

Question 1: I have been a construction company employee for more than two years. A month ago the company’s manager said I had reported work secrets to a competitor and due to this the company had lost a major project. Therefore, he asked me to submit my resignation; otherwise, the company would dismiss me as per article No 120 of the Labour Law. In this case I would be deprived of my end-of-service gratuity and all other rights. Their accusation is totally untrue and without proof. My salary has been stopped until I submit my resignation. I’m under great pressure. Will I really face a problem if the company dismisses me as per article No 120 of the Labour Law?

Answer 1: I would like to assure you that if the said company had evidence against you in connection with its allegation it would use it and dismiss you immediately. Therefore; I advise you not to submit your resignation, so that it does not affect your end-of-service gratuity, as well as weaken your legal position. You should immediately file a complaint against the company with the labour ministry in this regard.

Contract renewal

Question 2: A questioner from Dubai asks: I have worked in a company for almost two years under a limited contract which is going to expire in December this year. Am I entitled by law, upon the expiry of my current employment contract, to renew with an unlimited contract? As per my company I should only renew my labour contract with a limited one as long as my current contract is for a limited period, as per the UAE Labour Law as mentioned by my company.

Also, with regards to the transfer of employees’ salaries to the bank in accordance with the Ministry of Labour, is the employee obliged to pay the transfer charges or should they be borne by the employer?

Answer 2: Upon the expiry of your current contract as per the labour law, you have the right to decide, so you may renew with another contract for an unlimited period. As for the question on the salary transfer, as per the labour law, the employer is responsible for paying the bank’s transfer charges. Working extra hours

Question 3: I’ve worked for a company for more than two years. My contract states that I should work eight hours a day. Now my company has imposed new rules saying I have to work ten hours/day without overtime. They are telling that if I do not obey the company rules I should submit my resignation. Do I have the right not to obey the rules imposed by my company as per the labour law? What if the company terminates my contract in case I do not follow their new rules?

Answer 3: The UAE Labour Law, article 65, states the following: “The maximum normal hours of work of adult workers shall be eight a day or 48 a week. The hours of work may be increased to nine hours a day in commercial establishments, hotels and cafes and guard duties and any other operations where such an increase is authorised by order of the Minister of Labour and social affairs. The daily hours of work may be reduced in the case of arduous or unhealthy operations by order of the Minister of Labour and social affairs.

The normal hours of work shall be reduced by two during the month of Ramadan.

The periods spent by a worker in travelling between home and place of work shall not be included in his hours of work”.

Therefore, the employer has violated the above article and if he refuses to pay the value of overtime hours, the questioner should file a complaint before the Ministry of Labour. If the employer terminates the employment contract because of this, he will be in breach of the employment contract.

Readers’ questions answered by Advocate Mohammad Ebrahim Al Shaiba of Al Shaiba Advocates and Legal Consultants