Cabinet and Ministerial resolutions on Employment Licensing

Cabinet resolutions Resolution No. 356/4 FOR 2005

Ministerial Resolutions Resolution No. 467 FOR 1995 Resolution No. 233 FOR 1998 Resolution No. 370 FOR 2005 Resolution No. 854 FOR 2005 Resolution No. 500 FOR 2005

Ministerial Decree Decree No. 87 for 2006 Decree No. 92, for 2006

United Arab Emirates Ministry of Labour and social Affairs Ministers Office

Ministerial Resolution No. 467 for 1995, Amending Ministerial Resolution No 52 for 1989, Setting Out the Rules and Procedures to be followed by Employment Licensing Sections with respect to Import of non-Nationals for Employment in the UAE

The Minister of Labour and Social Affairs; After having reference to Federal Law No.( 1) for 1972, on the functions of ministries and the responsibilities of ministers; And to the Federal Law No. (8) for 1980, on regulation of labour relations, and the amending laws thereof; And to the Council of Ministers resolution no 5 for 1980, on the organisational skeleton of the Ministry of Labour and Social Affairs; And to the ministerial resolution No 52 for 1989 on the rules and procedures to be followed by labour licensing sections with respect to import of non-National labour for employment in the UAE; And based on the recommendations of the ad hoc committee set up by the Higher Follow Up Committee for examining the group licensing procedures;

Resolves as follows: Article (1) Article 5 of the Ministerial resolution no 52 for 1989 regarding the rules and procedures to be followed by employment licensing sections with respect to importing non-National labour for employment in the UAE, shall be amended to read as follows: Applications for import of non-National labour shall be made on individual basis unless it becomes necessary to make a group application, such as when the labour are urgently needed. The justification of urgency shall be communicated to the Ministry which reserves the right to reject the request for group licenses if it is not justified. The number of employees included in a group license shall in no case be lower than twenty five (25) employees. Article (2) This resolution shall take effect as of the date hereof and shall be published in the official Gazette.

Saif bin Ali Al Jarwan Minister of Labour and Social Affairs Made on 19.8.1985

MINISTERIAL RESOLUTION NO 233, FOR 1998, ON RULES OF LICENSING EMPLOYMENT AND EXPATRIATE MANPOWER SUPPLY AGENCIES

The Minister of Labour and Social Affairs; After having reference to the Federal Law No 1, for 1972, on the functions of the Ministries and the powers of the Ministers, and the amending laws thereof; And to the Federal Law No 8 for 1980, on regulation of labour relations, and the amending laws thereof; And to the Council of Ministers resolution No 17, for 1997. on modifying the value of bank guarantees and fees and penalties applicable to employment agencies or expatriate manpower supply agencies and nursery homes; And to the Ministerial Resolution no 845 for 1997 on modifying the value of bank guarantees and fees and penalties applicable to employment agencies or expatriate manpower supply agencies and nursery homes; And to the Ministerial Resolution no 57 for 1987 on the rules of licensing employment agencies and expatriate manpower supply agencies; And to the minutes of the tenth meeting of the Higher Committee for Labour Affairs, held on 13.1.1998; And based on the submission of the Ministrys Under-Secretary;

RESOLVES AS FOLLOWS CHAPTER ONE LICENSING CONDITIONS ARTICLE ONE No one, whether a natural or legal person, may serve as agent for employment or for supply of expatriate manpower unless he is duly licensed pursuant to this Resolution. ARTICLE TWO Issue of licenses for practicing employment brokerage or supply of expatriate manpower shall be confined to the Nationals of the United Arab Emirates; if applicant is a company, it must be a UAE company and all the partners therein must be Nationals.

ARTICLE THREE As precondition for licensing agencies for employment within the UAE or for supply of expatriate manpower from abroad, applicant shall: 1. submit to the Ministry an undertaking that he will not take any commission or financial award from workers in return for employing them within the UAE or bringing them in from abroad; 2. furnish a bank guarantee for an indefinite period, for one hundred thousand Dirhams, issued by a bank operating in the UAE, to be at the Ministrys disposal pursuant to the measures it shall specify; 3. Maintain a furnished office or premises for carrying out his activities, and shall not carry out any activity related to manpower supply anywhere other than the proclaimed premises. ARTICLE FOUR There shall be a written contract between the employer and the licensee, in Arabic, and in English if necessary, containing specifically the following details: A. Agencies for Employment within the UAE: 1. Occupation 2. Nature of work 3. Wage 4. Employers undertaking to employ the employee according to the regulations in force. 5. Employers undertaking to observe Federal Law No 8 for 1980, on regulation of labour relations, and the amending laws thereof and other applicable laws. 6. Specifying licensees commission.

Agencies for Supply of Manpower from Abroad: 1. Occupation 2. Nature of work 3. Wages of supplied workers, according to occupation. 4. Employers obligations. 5. The countries from which the employees are to be procured. 6. Licensees commission. 7. Medical examination. 8. Undertaking to repatriate the employee immediately within a specific period to be mutually agreed upon, in case he fails to pass the medical examination, or is found unfit for the work. 9. Employers undertaking to present the entry permits issued by the competent Nationalisation and Residence Department. 10. Employers undertaking to observe Federal Law No 8 for 1980, on regulation of labour relations, and the amending laws thereof and other applicable laws. No employer may enter into contract for employment of manpower from within the UAE or for supply of manpower from abroad except with one of those licensed by the Ministry of Labour and Social Affairs to carry out this activity. ARTICLE FIVE A manpower supply agents relationship with the supplied workers ceases once they join work; thereupon they become directly affiliated to the employer and have nothing to do with the supplier.

B.

CHAPTER TWO LICENSING CONDITIONS ARTICLE SIX Whoever wishes to obtain the said license shall submit, either personally or through a representative, an application on the appropriate form duly supported with the following documents: Copy of the National ID (Nationality certificate). Copy of passport. Copy of specimen signature from the concerned authority (Form 7). Certificate of good conduct issued by the competent authority. An undertaking to be bound by all the provisions of Federal Law No 8 for 1980, its amendments and implementing resolutions, particularly those prohibiting taking commission from workers in return for their employment. Copy of the license issued by the Economic Department/Municipality for practicing activity (upon renewal). Receipt of payment of the prescribed fees. Documents 1, 2 3, and 4 shall be submitted for each one of the partners (in case applicant comprises natural persons).

1. 2. 3. 4. 5.

6. 7. 8.

ARTICLE SEVEN The prescribed fees for issue of first-time licenses, renewals, or duplicates for damaged or lost licenses shall be collected pursuant to the pertinent resolutions. The fees shall be paid upon filing the application, subject to the prescribed procedures and fees. ARTICLE EIGHT Each labour office shall maintain a special register wherein it shall enter the received applications in serial numbers according to the date of application. It shall provide applicant with a receipt evidencing receipt of the application and supporting documents and the prescribed fees. After verifying compliance with the applicable conditions, the competent office shall refer the application to the Ministrys office in Abu Dhabi or Dubai, as appropriate, within one week at most from the offices receipt of the application. ARTICLE NINE The committee set up by resolution of the Minister of Labour and Social Affairs to consider applications for licenses to establish agencies for employment or for import of expatriate manpower shall examine each application and approve or reject it within one month from receipt of an application fulfilling all the conditions shown under article 6. The committees decision shall be communicated in writing to applicant. Applicants whose applications are rejected

my file an appeal with the Minister within two weeks of notification of the rejection. The Ministers disposition on the appeal shall be final. ARTICLE TEN Upon approval of application, applicant shall furnish the Ministry, within one month from approval of his application, with the bank guarantee referred to under Article 3 hereof, in the form approved by the Ministry. If applicant fails to furnish the required bank guarantee within the specified period, his application will become null and void.

ARTICLE ELEVEN The license validity period shall be one year from the date of the approving ministerial resolution. It may be renewed for further durations subject to the rules set forth in this resolution. ARTICLE TWELVE At least one month before expiry of the license, licensee shall apply for its renewal, using the appropriate form and supported with the following documents: 1. The original license to be renewed. 2. Copy of the license issued by the competent Economic Department or Municipality. 3. The periodic statements referred to under article 15 hereof. 4. Receipt evidencing payment of the prescribed fees. 5. Other documents specified in the laws and regulations in force, which the Committee considers necessary for license renewal.

ARTICLE THIRTEEN The Ministry reserves the right to suspend the license temporarily for a definite period or cancel it permanently if licensee breaches any of its obligations. The Ministry may cancel the license in the following cases: 1. If the particulars furnished by applicant, in connection with obtaining or renewing the license, are found, after issue or renewal, to be untrue. 2. If licensee or an employee thereof received money from the workers in return for employment within the UAE or importation from abroad. 3. If licensee or an employee thereof contravened the labour Law, the resolutions issued in implementation thereof and the other laws in force in the UAE. 4. If licensee dies and his heirs are not willing to continue practicing the activity.

5. If the license remained un-renewed for more than (90) days after its expiry. ARTICLE FOURTEEN In case the license is lost or damaged and licensee applies for a duplicate, the Ministry shall, after verifying the occurrence of such loss or damage, issue him a duplicate copy, after paying the prescribed fees pursuant to the pertinent resolutions. CHAPTER THREE LICENSING CONDITIONS ARTICLE FOURTEEN Each licensee shall furnish the Ministry with periodic statements after six months from the license issue date and at six-month intervals thereafter, using the appropriate form. ARTICLE SIXTEEN Each licensee shall post his license in a conspicuous place at his place of business and shall keep all contracts he concludes with business concerns and the other documents required by the Ministry, for the purpose of monitoring the implementation of this Resolution through the labour inspectors assigned by the Ministry to conduct such monitoring. ARTICLE SEVENTEEN Whoever practices employment brokerage or manpower supply without license, violates an imperative provision of this resolution, uses the Ministrys approval in an illegal way, or presents false data or documents in order to obtain the license, shall be liable to the penalties provided for under Chapter Eleven of the Federal Law No 8 for 1980, as amended. ARTICLE EIGHTEEN The Ministrys Under-Secretary shall set the rules governing the bank guarantee, the license application forms, the license forms, and other rules necessary for implementation of this resolution. ARTICLE NINETEEN The bank guarantees submitted to the Ministry will be returned to their owners in the following cases: 1. Rejection of the license application (and after the lapse of the petition period). 2. Cancellation of the license after the licensing ministerial condition is issued.

ARTICLE TWENTY This license is personal, whether licensee is a natural or corporate person. Accordingly, licensee may not assign the license to anyone else or entertain a new partner therein except after submitting an application to the Ministry, meeting all the conditions stipulated in this Resolution, and obtaining the Ministrys approval of such application. ARTICLE TWENTY ONE Holders of licenses upon the issue of this Resolution shall adjust themselves accordingly by submitting a bank guarantee in the amount specified in this Resolution, instead of the previously submitted bank resolution. ARTICLE TWENTY TWO This resolution shall be published in the official Gazette and shall come into force on its date of issue.

Issued on 5.2.1998. Mattar Humaid Al-Tayer Minister of Labour and Social Affairs

CABINET DECISION NO. (356/4) FOR 2005 The Cabinet of Ministers, in its Session No. (17), held on 23rd May 2005, decided to cancel the condition of educational qualification for all expatriate workers in all sectors, previously stipulated in Article (4) of the Cabinet decision No. (563/1) for 2001, dated 08.10.2001 and Article (1) of the Cabinet decision No. (7/7) for 2003 dated 13.01.2003. The decision excludes jobs that require certain levels of qualification. The Prime Minister

MINISTERIAL DECISION NO. 370 FOR 2005, REGARDING THE SPECIAL MISSION ENTRY PERMIT The Minister of Labour and Social Affairs; After having reference to Federal Law No.( 1) for 1972, on the functions of ministries and the responsibilities of ministers and the amended laws thereof; And to the Federal Law No. (8) for 1980, on regulation of labour relations, and the amending laws thereof; And to the Cabinet Decision No. (5) for 1990 regarding the organization structure of the Ministry of Labour and Social Affairs And to the ministerial decision No. 401 for 1997 regulating temporary and part-time work in the UAE private sector; And to the ministerial decision No. (37/2) for 1982 on the standards of medical care to be provided by employers; And to the General Directorate of Naturalization and Residency; And based on the proposals presented by the ministrys undersecretary for labour sector;

Decides as follows: Article 1 Without prejudice to the provisions of Article (3) of the ministerial decision No. 401 for 1997 regulating temporary and part-time work in the UAE private sector, the Ministry of Labour and Social Affairs may grant temporary mission work permits for ninety (90) days only, to companies whose work conditions require this type of permit. Article 2 Companies requesting temporary mission permits shall be committed to: 1. grant each worker a return travel ticket to the UAE and back to his country of domicile or any other destination agreed upon;

2. ensure that the worker is medically fit to perform the intended assignment, and that he is free from any epidemic diseases according to an authenticated medical certificate; 3. pay a fee of Dh 500 for each worker granted a temporary mission permit; 4. prepare a work contract upon the arrival of the worker to UAE, duly signed by the company and the worker and approved by the competent labour department; 5. provide medical care at the standards stipulated in the ministerial decision No. (37/2) for 1982, in addition to adequate health insurance; 6. present the Ministrys approval for hiring expatriate workers on temporary mission permits, to the General Directorate of Naturalization and Residency for the issue of the necessary entry visa; 7. not allow the temporary worker under his sponsorship to work for any other employer; 8. regularly pay the workers salaries every month, throughout their assignment, on a working day and at the workplace, provided payment lists are presented to the competent labour department monthly; 9. repatriate the worker to his country or any other destination agreed upon, once the work is completed or within a period of time not exceeding seven days from the expiry of the permit; and 10. fulfill all other requirements stated in the Ministrys application form designed for the purpose, or any further conditions that may be made by the Ministry. Article 3 The Ministrys undersecretary for labour sector shall determine necessary measures, conditions and forms to implement this decision. Article 4 Companies seeking temporary work permits shall apply to the Establishments Affairs Department at the Ministry, and in case the application fulfills the required conditions, it shall be referred to the e-committee. Article 5 An e-committee shall be formed to determine the eligibility of the applying companies and their actual need for this type of permits, and to specify a quota for each eligible applicant based on certain criteria.

Article 6
Applications for temporary work permits to the Ministry or the competent regional office, as well as their response to the applicants, shall be made electronically and according to the form specified for the purpose.

Article 7
The Ministry may renew the temporary work permits for another period based on conditions it considers fit.

Article 8 Any company that is in breach of the conditions required for granting the temporary work permits, presents false information or documents to get the Ministrys approval, or otherwise violates any of the provisions of Federal Law No. (8) for 1980 and the amended laws and executive orders thereof, shall have its firm card cancelled from the register forthwith and shall be subject to legal measures according to clause (11) of the labour law and relevant ministerial decisions issued for the purpose. Article 9 This decision shall take effect as of the date of its issue and shall be published in the official gazette.

Dr. Ali bin Abdulla Al Kaabi

Minister of Labour and Social Affairs MINISTERIAL RESOLUTION NO 854 FOR 2005, DATED SEPTEMBER 2005 ON WORK PERMITS, TRANSFER OF SPONSORSHIP AND RENEWAL OF WORK CARDS FOR EMPLOYEES WHO REACH THE AGE OF 60 YEARS The Minister of Labour and Social Affairs; After having reference to Federal Law No.( 1) for 1972, on the functions of ministries and the responsibilities of ministers; And to the Federal Law No. (8) for 1980, on regulation of labour relations, and the amending laws thereof; And to the Cabinet Resolution No. 18 for 2005, on transfer of sponsorship and secondment of employees and the relevant fees; And to the Cabinet Resolution No. 19 for 2005, on the fee and bank guarantee structure; And to the Federal Law No. (529) for 2005, on the executive bylaws of the Cabinet Resolution No. 19 for 2005; And to the ministerial resolution No 826 for 2005, on the executive bylaws for transfer of sponsorship. And based on the submission of the Ministrys Under-Secretary for the Labour Sector Resolves as follows: Article (1) Work cards for those who reach the age of 60 years shall be amended as follows: A. For employees 60 to 65 years old, employment cards shall be renewed annually after payment of the prescribed fee. This applies to all categories of workers.

B. For employees over 65 years old and up to 70, employment cards shall be renewed exclusively for the following categories: 1. Engineers. 2. Physicians. 3. University teaching staff. 4. Accountants and auditors. 5. Technicians working on scientific electronic equipment and in laboratories. 6. Professionals in private petroleum companies. 7. Media and journalism professionals. 8. Lawyers. 9. Translators. 10. Holders of higher qualifications and rare technical specializations. 11. Consultants in all fields. 12. Any other category to be approved by the Ministrys Under-Secretary or the Assistant Under-Secretary for the Labour Sector, as appropriate.

Article (2) Exclusively for occupations listed under Article 1 (B) hereof, new work permits (for import from abroad) for employees 60 up to 65 years old, subject to payment of the prescribed fees and the bank guarantee (if required). Article (3) Transfer of sponsorship of employees who reach the age of 60 may be permitted subject to the following: A. A. Sponsorship of employees 60 up to 65 years old may be transferred after payment of the prescribed fees and submission of the bank guarantee (if required). This shall apply to all categories of workers. B. B. Sponsorship of employees over 65 years up to 70 years old may be transferred exclusively for the occupations listed under Article 1 (B) hereof, subject to payment of the prescribed fees and submission of the bank guarantee (if required). This resolution shall take effect as of the date hereof and all concerned organisations shall implement it, each in its respective area.

Dr. Ali Abdulla Al Kaabi Minister of Labour and Social Affairs

MINISTERIAL RESOLUTION NO. 500 FOR 2005

The Minister of Labour and Social Affairs; After having reference to Federal Law No.( 1) for 1972, on the functions of ministries and the responsibilities of ministers; And to the Federal Law No. (8) for 1980, on regulation of labour relations, and the amending laws thereof; And to the ministerial circular No 14 for 1995, on procedures for deletion from firms workforce balance; And based on the submission of the Ministrys Under-Secretary for the Labour Sector; And in pursuit of public interest; Resolves as follows: Article (1) Employment cards of employees who has left the country before six months or more shall be cancelled subject to the following conditions: B. The employer shall apply for deletion after the lapse of at least six months from the employees departure, using the appropriate form, and paying AED 200 for each employee to be deleted. C. The employer shall submit a certificate by the competent Naturalization and Residence Office confirming that the subject employee has left the country and not returned. D. The Ministrys employee in charge shall check the expiry date of the employees employment card, by referring either to the card or to the ministrys database: i. If the card has expired prior to the employees departure, then a penalty shall be payable by the employer. ii. If the card has expired after the employees departure, i.e. while the employee was abroad, then the card may be cancelled without penalty

Article (2) This resolution shall supercede items first and Second of Section 2 Exceptional Cases of the Ministerial Resolution No 14 for 2005 on procedures for deletion from the firms workforce balance, and any other previous instructions that contradict with it. Article (3) This resolution shall take effect as of the date hereof and shall be strictly adhered to.

Dr. Ali Abdulla Al Kaabi Minister of Labour and Social Affairs

Ministerial Decree No. 87 for 2006, Dated 25.1.2006,

The Minister of Labour and Social Affairs; After having reference to Federal Law no 1 for 1972, as amended, on the functions of the ministries and powers of the ministers; And to federal law no 8 for 1980, as amended, on regulation of work relations; And to the Cabinet Resolution no 19, for 2005, on the fees and bank guarantee regulations; And based on the submission of the concerned Under Secretary of the Ministry; Resolves as follows Article One Work permits shall remain valid for 60 days. The prescribed fees shall be paid within the validity of the permit. Article Two Employers requests for extending the validity of work permits shall be accepted after the lapse of the validity period of 60 days, or as from the date of issue of this Decree. Article Three Extension of validity of a work permit shall be subject to the following: 1. That not more than 60 days have lapsed since the work permit expired. 2. Payment of a fee of AED500 for an additional respite of ten days from the permit expiry date, and for each subsequent respite, subject to a maximum of six 10-day respites, for a fee of AED500 per work permit per employee. 3. Procedures for renewal of work permits shall be finalized after payment of the prescribed fees.

Article Four A work permit that has expired but not renewed shall be cancelled. However, it shall be exempt from the pertinent fees.

Article Five A fee of AED 500 shall be collected for canceling an unused work permit if six (6) months have lapsed since it has expired. Otherwise, an unused work permit shall be cancelled without charge if it has expired less than six (6) months ago. Article Six This decree shall go into force as on 11.2.2006 and shall be strictly adhered to.

Dr. Ali Abdullah Al Kaabi Minister of labour and Social Affairs

Ministerial Decree No. 92, for 2006, Dated 25.1.2006,

The Minister of Labour and Social Affairs; After having reference to Federal Law no 1 for 1972, as amended, on the functions of the ministries and powers of the ministers; And to federal law no 8 for 1980, as amended, on regulation of work relations; And to the Cabinet Resolution no 19, for 2005, on the fees and bank guarantee regulations; And based on the submission of the concerned Under Secretary of the Ministry; Resolves as follows Article One Firms employing 100 or more workers, that have satisfied the following requirements: 1. Met the prescribed Emiratisation quota. 2. Employed a National government relations officer. 3. Promptly paid employees wages and submitted periodical wage reports to the Ministry on the prescribed times. may apply for issue of individual work permits in lieu of those removed from their records. Such requests shall be processed at the service window, and need not be referred to the work permit committees. Article Two A request for a new work permit shall be approved only if submitted within 90 days from removal of the employee from employers records. The replacement must be of the same nationality, sex, and profession. Also, the departure of the cancelled employee must be substantiated. Article Three This decree shall go into force as on 11.2.2006 and shall be strictly adhered to.

Dr. Ali Abdullah Al Kaabi Minister of labour and Social Affairs