New Amendments in MOHRE Dispute Resolution

New amendments are made in Labour Dispute Resolution. Federal Law 20 of 2023, is introduced now as amendment for MOHRE Dispute Resolution. The new Law was the amendment of Federal Law 33, 2021.

MOHRE is given more powers than before where MOHRE can play a better role than before. This is called the change or amendments in Labour Dispute Resolution. MOHRE stands for Ministry of Human Resource and Emirtization.

The MOHRE has been provided with more authority than before. The Article 54 of UAE Labour Law, explains this act as “MOHRE Authority Expansion”. MOHRE is granted authority to work as an Ultimate Decision Maker if the employment disputes are less than 50000 AED.

The new amendments in Law, also allow the MOHRE to pass executable judgements, if there is non-compliance matter and the conditions are amiable settlement because MOHRE has the authority to manage the mediation before the court.

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These decisions by the MOHRE (in the above-defined situations only), will be executable which shows that these decisions do have the status of a verdict from court. MOHRE was only up to mediation or referrals to court before. Now employment disputes of less than 50000 AED and non-compliance matters, can be decided by MOHRE at the mediation centre. This decision can also be appealed. Lets explore it now, how.

An appeal process is also available here. Now the applicant or counter party can file the appeal in appeal court against the decision of MOHRE but in 15 Days. For other normal verdicts from 1^st court provide 30 days. The normal court provides usually 30 days. When the appeal is registered then execution cannot be continued.

This appeal format just allows 15 days, unlike the court format where 30 days are available for filling, the appeal. But there are limitations and thresholds which are also the exception. The role of MOHRE will be like before, otherwise if the limitations or thresholds are not met. MOHRE has the authority to order to continue the salary payments, which is during the conflict, for up to two months, in case of suspension.

The MOHRE can also have the right to order decree that the employer should avoid creating further disputes with employee/employees.

The Decree/new rule will be implemented from 1st January 2024, as per the available news as of now. As of now, there is no further details or the explanations are available. What could be complete MOHRE’s extensions in exercising the decisions, needs to be clarified. This step is specially taken to protect the employees having outstanding claims of unpaid salaries or others, less than 50000 AED.

MOHRE’s decisions can also be appealed in Appeal Court, it shows that MOHRE has been awarded the decision-making powers. Therefore, the decision is allowed to be challenged in the appeal court, but for Non-Compliance issues (MOHRE defines the rules), and employment contracts less than 50000 AED.

It is decided that MOHRE will be increased especially in small cases where immediate action needs to be taken. UAE Government is bringing improvement every year in order to provide quick solutions to people. The new news or amendments can also come before 1st January 2024. 1st Jan 2024 is announced as the implementation date.

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At this moment Labour and Employment Lawyers can also not offer the ultimate solution. The initial details are available and declared by the Judicial Ministry. But Employment Lawyers here can’t provide the final words in this regard. We need to wait until the final implementation comes or the Ministry releases some more information.

MOHRE also introduces a new employment contract for the students in UAE, for the students enrolled in NAFIS, Emirati Talent Competitiveness Council. The occupation details for the students are also designed/explained by MOHRE. The student has to work in a company for the duration of 1 year, after the graduation. They will also become the part of Emiratization rule. These students can’t take the dual benefits together.

The employer has to issue a work permit for the student employee. Occupation can be provided as per the list of occupations allowed by MOHRE. The law also says that the minimum salary will be 4000 AED. The job should not be other than mentioned in the employment contract or work permit. When students want to be part of a company after finishing their education then a new contract has to be signed between employer and employee. Student employee also has to, obey all the rules mentioned in the contract.

Search More: Employment Contracts by Employment Lawyers