Live Currency Rates
 
  Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

UAE- Firms can't use article 120 to avoid paying workers' dues  Join our daily free Newsletter

MENAFN - Khaleej Times - 27/12/2008

No. of Ratings : 0
Add to Mixx!


 


(MENAFN - Khaleej Times) Firms are not allowed to invoke Article 120 of the Labour Law to terminate the services of workers without clearing their financial dues and end-of-services benefits, said a senior official at the Ministry of Labour (MoL).

Mohammad Al Zaabi, Director of Disputes Department in the MoL, told Khaleej Times on Thursday that the companies are not allowed to do that because the law defines specific cases of termination under Article 120.

Workers, whose services are terminated for no fault or the cases listed in Article 120, should lodge complaints with the Labour Office.

The provision can be applied only in the case of workers who have indulged in gross irregularities.

But some companies, especially in the construction sector, are reportedly invoking this provision to terminate workers in order to avoid paying their legitimate compensation and dues.

The employees would even find it difficult to get alternative employment if they are terminated under this provision.

"In such cases, the ministry will investigate the complaints and if the employers are at fault, we will report to the top officials to fix the penalties," said Al Zaabi.

If the violators refuse to settle the cases and pay the workers their dues as per the articles of normal terminations, the ministry will refer the complaint to the court, he added.

Meanwhile, workers, whose cases are referred to court, are allowed a six-month temporary work permit from the MoL if they find jobs in other companies.

A Dubai-based contracting company in Jebel Ali had recently issued termination notices to 41 people under this provision.

Khaleej Times is in possession of the general notice, but the company has sought time till Sunday next to give its side of the story.

It remains to be seen how many employees will file a complaint with the MoL.

When Khaleej Times tried to speak to some of those who had received termination notices, they insisted that their names be not published.

Most of them were apprehensive that such a step could make their position more insecure even when they are seeking alternative employments.

They were also worried that the companies might delay or deny their dues, if they resort to legal recourse.

 






  MENA News Headlines


 
Live Currency Rates






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help