(MENAFN-Khaleej Times) The verdicts were given after the ministry submitted the files of the three establishments separately to the public prosecution
‘Don’t keep staff on visa after company closes’
The Labour Ministry will continue crackdowns with the aim of catching owners of registered establishments which have shut down without rectifying the status of employees. Such owners will be referred to the public prosecution for legal action.
The confirmation came following three consecutive verdicts issued by the criminal court circuits in Abu Dhabi, which imposed fines amounting to Dh1 million on three employers for failing to rectify the status of employees who remained on the visas of their companies despite the companies shutting down.
“The verdicts were given after the ministry submitted the files of the three establishments separately to the public prosecution,” said Mohsen Ali Al Nasi, director of inspection at the Ministry of Labour’s office in Abu Dhabi.
He said the ministry had discovered that workers were still on the visa of the three companies, though they had shut down, in contravention of the labour relations regularising law.
The first establishment dealing with oil fields services and equipment was fined Dh45,000; the second, a carpentry and metalwork company was fined Dh200,000; and the third company dealing with ceramics and marbles was slapped a fine of Dh350,000.
The labour law stipulates that: “While observing the provisions stated in the entry and residency of foreigners, and without prejudice to any strictest penalty provided by another law, a fine amounting to Dh50,000 will be imposed on each owner of an establishment if it is shut down without rectifying the status of those sponsored by the company.”
The law also calls for multiplication of the fines equal to the number of employees who report the violation, and at a maximum of Dh5 million.
Al Nasi said: “The ministry, in pursuance of the instructions of Saqr bin Ghobash, Minister of Labour, attaches utmost concern over the issue of closed establishments where employees are on the company’s visa. The ministry will intensify inspection campaigns or refer them to the public prosecution for punitive actions as per law.
“The ministry will also take administrative action by not granting the offending employers new work permits, and rejecting opening cards for new establishments owned by them, and will refer their files to the public prosecution.
The ministry will not tolerate such employers, especially when they continue to keep employees on the company visa even after shutting it down. This could lead to the supply of illegal workers which adversely impacts the market and the society in general.
He called on employers to abide by the law and report to the ministry after a company shuts down.
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