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Kamel Abu Saqer
Legal Consultancy 75303
Dubai AE
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U.A.E, FEDERAL LAW NO 8, FOR 1980 ON REGULATION OF LABOUR RELATIONS


 CHAPTER 3     EMPLOYMENT CONTRACTS, RECORDS & WAGES

SECTION I   Individual Employment Contract

Article 35
Subject to the provisions of Article 2, an employment contract
shall be written in duplicate, with one copy to bedelivered to the worker and the other to the employer. In the absence of written contract, adequate proof of its terms maybe established by all admissible means of evidence.

Article 36
An employment contract shall particularly specify
the date of its conclusion, the date on which work is to begin, the type and place of the work, the duration of thecontract, (if definite) and the amount of thewage.

Article 37
A worker may be employed on probation for a period not
exceeding six months, during which the employer without notice or severance pay may terminate his services.A worker shall not be placed on probation
more than once with the same employer. Where a worker successfully completes the period of probation andcontinues in employment, the said period shall be calculated as part of his period of service.

Article 38
An employment contract may be for a definite or indefinite term
. A definite term contract shall notexceed four years; however, it may be renewed by mutualagreement for an equal or a shorter term(s).Where a contract is renewed, the renewal shall be deemed as an extension of the original term andshall be added thereto when calculating the worker's totalperiod of service.

Article 39
An employment contract shall, from its inception, be considered as an indefinite term contract
if and only if it:
 

1-1- Is not written.
2-2- Is concluded for an unspecified period.
3-3- Was originally written and concluded for a definite term but both parties, without a written agreement between them, continued to perform it after its expiry; or
4-
4- Was originally concluded for the execution of a specific work that had no specific duration or that is recurrent by nature, but the contract continued after completion of that specific work.

Article 40
Where the parties to the contract continue - after expiry of its initial
term or completion of the work agreed upon - to perform the contract without explicit agreement, theoriginal contract shall be deemed to have beenextended on the same conditions except for
the term.

Article 41
Where an employer subcontracts any of
the principal operations or any part thereof to a third party, the latter shall be solely liable for all entitlements of employees engaged in such subcontracted work in accordance with the provisions of this
Law. 

SECTION II    Apprenticeship &Vocational Training Contracts 

Article 42
An apprenticeship contract is one whereby a firm
owner undertakes to provide fullvocational training consistent with the professional standards to another person who has completed at least 12 years of age, who, in turn, undertakes to work for the employer during the training period subject tosuch terms and for such period as mutually agreed.

The
apprenticeshipcontract shall be in writing; otherwise it shall benull and void. The employer or the training providershall be sufficiently qualified and experienced in the relevant vocation ortrade. In addition, the firm shall satisfy the
technical requirements and facilities necessary for providing such training.

Article 43
An
apprenticewho has reached the age of maturity may conclude thetraining contract himself. Those under the
age of 18 years may not conclude a training contract directlywith an employer, but shall be represented by their naturalguardians, legal trustees, or personal ad litem.

Article 44
1-
 Anapprenticeshipcontract shall be made in at least three copies, one of which shall be deposited with the competent labour department for registration and endorsement. Each partyshall keep an endorsed copy.
2-
  If anapprenticeship contract submitted for registration contains any clause contrary to this Law or the executive regulations thereof, the competent labour departmentmay require the contracting parties to delete suchclause.
3-  where the competent labour department does not make
any comment or objection within one monthfrom the date on which anapprenticeshipcontract is deposited with it, the contract shall constructively be deemed tohave been endorsed with effect from the date of its deposit. 

Article 45
An
apprenticeshipcontract shall contain details of the identityof the contracting parties or their representatives, as the casemay be, and of the procedures, duration, phases, and subject of the training.

Article 46
An employer shall allow a trainee sufficient time to acquire
theoretical knowledge and shall, throughout the period fixedin the contract, train him on the principles of the occupationand the skills for which he was recruited. The Employer shallissue the trainee a certificate on completion of each phase oftraining in accordance with the provisions ofthis Section, and also a final certificate on completion of thetraining period. Such certificate shall be attestableby the competent labour department in accordance with the rules and procedures to be specified in a resolution by the Minister ofLabour and Social Affairs.
 

Article47

A worker may undertake in the
apprenticeshipcontract that, upon completion of his training, he will work for the employer, or inthe establishment where he has been trained, for a period not toexceed twice the period of training. The employer mayundertake in the contract to employ the trainee upon
completion of the latter's period of training.

Article 48

An
apprenticeshipcontract shall specify the wage payableduring each phase. The wage payable in the finalphase shall not be less than the minimum prescribed for an identical
work and shall in no circumstancesbe fixed on a piecemeal or output basis.

Article49

An apprentice who is under 18 years of age shall, before his
training starts, undergo a medical test to determine his ability to carry out the work involved in theprofession for which training is sought. If such profession calls for specific physical and health requirements, the medicalreport shall state whether the training candidate meets suchrequirements, both physical and psychological.

Article 50
The Minister of Labour and Social Affairs may issue resolutions to regulate
training for those professions and tradesrequiring training, and prescribe the period of such training, the theoretical and practicalprogrammes, the testing conditions and the certificates to be issued on completion of the trainingperiod.

The Minister's resolutions in this respect shall be made after
consulting the public institutions concerned. The Ministermay in all cases appoint one or more experts in the professionor trade for which the training is to be regulated, to advise him on this matter.

Article 51
The Minister of Labour and Social Affairs may issue resolutions for
the establishment of vocational training centers, whether independent or in association with professional or non-profit national, foreign orinternational organizations. The resolution establishing a center shall specify the profession for which training is to be provided, the conditions for admission to thecenter, the programmes of theoretical and practical study, the rules governing vocational examination and certification, and any other provisions for theoptimum operation of the centre. 

Article 52
The Minister of Labour and Social Affairs may require such firms, companies, and owners of industrial, professional and craft units as he may specify, to accept for employment a specified number or percentage of National trainees, subject to such terms and conditions, and for such periods, as he may specify.

The Minister may also require such firms, companies, and owners of industrial, professional and craft units as he may specify, to accept for the purpose of training and completion of practical experience a specified number or percentage of the students of industrial and polytechnic institutes and centres, subject to such terms and conditions, and for such periods, as may be agreed with the management of the firms concerned.

SECTION III   Records and Files

Article 53Every employer of five or more workers shall-

(a)  Keep a special file for each worker, showing his name, job or occupation, age, nationality, place of residence, marital status, date of employment, wage and any adjustments thereto, penalties imposed on him, occupational injuries and diseases he sustains and the date of and reasons for termination of his service.

(b) Create a leave card for each worker, to be kept in the employee's file. It shall be divided into three parts: the first for annual leaves, the second for sick leaves and the third for other leaves. The employer, or his representative, shall record on this card all leaves taken by the worker, for future reference when any leave is requested.

Article 54
Each employer of 15 or more workers shall maintain
the   following records and documents in each one of his work placesor branches:
 

1-1-   A wage register, listing the workers’ names by thedate of employment, together with the amount of each worker’s daily, weekly or monthly pay, fringe benefits, piecemeal or commission pay,days of work and the date of termination.

2-2-   An occupational injuries register, where all work-related injuriesand occupational diseases sustained by the workers shall be entered as soon as
 the employee knows them.

3-3-    Basic work rules, which shall particularly specifythe timings of daily work and weekly rest, official holidays and the necessary measures and precautions to be taken to prevent work-related injuries and fire hazards. Such rules shall be conspicuously displayed at the workplace, and neither they nor any amendments thereof shall become effective unless endorsed by the Labour Department within 30 days of submission to it; and 

4-4-    Disciplinary rules, whichshall be conspicuously displayed at the workplace, and shall show the disciplinary actions imposable upon defaulting workers, and the conditions and circumstances of such imposition. Neither these rules nor any amendments thereof shall become effective unless endorsed by the Labour Department within 30 days of submission to it.

SECTION IV   WAGES 

Article 55
Wages shall be paid in legal tender on a working day, at the
place of work, in the official national currency.

Article 56
Workers employed on yearly or monthly wage basis shall
be paid at least once a month; all other workersshall be paid at least once every two weeks. 

Article 57
The daily wage of workers employed on piecemeal basis
shall be calculated as an equivalent to the average wagereceived for actual days of work during thesix months preceding the termination of his service.

Article 58

Evidence of payment to workers of their due wages, irrespective of their amount or nature, shall not be admissible unless it is in the form of documentary proof, admission or oath.. Any agreement tothe contrary shall be null and void, albeit made prior to the date this Law comes into force.

Article 59

Workers shall not be required to purchase food or other
commodities at any particular shop, or ofemployer’s produce. 

Article 60
No amount of money may be deducted from a worker's
wage in respect of private claims, except in the following cases:

(a)
(a)    Repayment of loans or money advances paid to theworker in excess of his entitlements, provided that theamount deducted in this case shall not exceed 10 per centof his wage.
(b)(b)   Contributions that the workers are required by law to make from their wages, towards social security andinsurance schemes.
(c)
(c)   The worker’s contributions to a provident fund or repaymentof loans due thereto.
(d)
(d)    Contributions towards any welfare scheme or in respect of any other privileges or services provided by the employerand approved by the labour department.
(e)
(e)          Fines imposed upon the worker for any offence hecommits.
(f)
(f)     Any debt exacted in execution of a court ruling, provided, however, that thededuction made in execution thereof should not exceed one-quarter of the wage due to the worker. Where there are several debts or creditors, the maximum deduction shall be half the worker’s wage, which shall be divided pro rata among the creditors, after payment of any legal alimony to the extent of one-quarter of the worker’s wage. 

Article61
Where a worker, either through his own fault or as a result of violating
the employer's instructions, causes a loss, damage or destruction to any tools, machines, products or materials that are owned by or in the custody of the employer, the employer maydeduct from the worker's wage such amount as may
be necessary for repair or restoration,providedthat the amount so deducted shall notexceed five days’ wage for each month. However, the employer, through the concerned labour department, may request the competent court for permission to deduct a higher amount if the worker has money or any other source ofincome.

Article 62
An employer may not transfer a monthly-paid worker,
without his written consent, to the daily, weekly, hourly or piecemealpaidcategory. 

Article 63
The minimum wage and the cost-of-living
index payable to workers in general or in a particular area or occupation shall be fixed by a federal decree based on a proposal to be made by the Minister of Labour andSocial Affairs and approved by the Council of Ministers.

The Minister shall put forward his proposal for
determining, or reviewing, the minimum wage,after consulting the competent authorities and the labour organisations of workers and employers, if any, and after having reference to studies and tables of fluctuations in the cost of living indicesdrawn up by the competent authorities in the State, to ensure that the said minima are sufficient to meet the worker’s basic needs and guarantee his livelihood. 

Article 64
The minimum wage rates and any amendments
thereto shall take effect from the date the decree
announcing them is published in the official Gazette.
 

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