A reader from Dubai asks: I have been working in a company for almost four years on an unlimited labour contract. I was 19 years old when my employer asked me to sign a three-year non-competition clause. I am now 23; is this clause still binding on me? As per the Ministry of Labour, it is against the law for the employer to take such an undertaking, but my employer claims that the letter has become legal now because I did not object to it. What are my chances if I take the matter before the labour court?
Article No 127 of the Federal Labour Law No 8 of 1980 states that “where the work assigned to a worker allows him to become acquainted with the employer’s client or become familiar with the secrets of his business, the employer may require him to refrain, after the termination of his contract, from competing with him or participating in any enterprise competing with his own. Such an agreement shall be valid only on condition that the worker is at least 21 years of age at the time of signing the clause and that the agreement is limited, as regards the time, the place and nature of the business, to the extent necessary to safeguard the employer’s lawful interest”.
According to this article, the competition clause which the questioner has signed is invalid since the employee had to be at least 21 years of age when signing it so as to be held responsible for the outcome. The responsibility in this case lies with the employer.
Contract termination
A reader from Dubai asks: Last month, my employer reported me as absconding in the labour ministry because I was absent for eight days. However, my employer had approved my short leave verbally. My labour contract was also terminated without notice. Does the employer have the right to terminate my labour contract without notice? Does the employer have the right to file a false absconding case against an employee in the labour ministry? Is it easy to lift this type of complaint in the labour ministry and/or labour court?
Article 120, item (j) states that “an employer may dismiss a worker without notice in any of the following cases: If the worker is absent from work without a valid reason for more than 20 non-consecutive days, or more than seven consecutive days”.
Therefore, the employer has the right to file a absconding complaint against the employee. In order to lift the complaint, the questioner has to report to the labour ministry and file an objection, prove that the complaint is false and request the ministry to lift the complaint. In case the ministry rejects his request, he should request the ministry to refer the matter to the labour court where he will have to prove that the complaint filed by the employer is false. In case, it is proved in the labour court that the complaint is false, the ministry will lift the ban.
Questions answered by lawyer Mohammad Ebrahim Al Shaiba of Al Shaiba Advocates and Legal Consultants.
— Compiled by Bassam Za’za’, Legal and Court Correspondent
