30112010 YOU & The LAW (KSA / KUWAIT / QATAR / UAE)

KSA – I have been working for a company for four years. I want to know how would my end-of-service benefits (ESB) be calculated if I resign now. Secondly, what is the rule for returning to Saudi Arabia to work for another company in the same or a slightly different profession? Is there a need for a no-objection certificate (NOC) for the new visa?

As you have worked here for four years the end of your contract is the expiration date of your work permit, not the period of time written in your contract. Therefore,  for legal termination you must wait until the expiration date of your work visa.

The ESB is calculated on the basis of the last monthly wage (LMW), which is salary plus all other allowances. You get half of your LMW for each of the first five years of your employment. You get a proportional amount of your LMW for any incomplete year.

Beyond five years, you will get a full LMW for each year of service.

You may look for another employer after termination if your present company does not object. It may even help in transferring your iqama to your new employer if you get a job in a firm that does not compete with its business.

But it is up to the sole discretion of your company to give you an NOC, even if it does not require your service any more. At the same time you may try to negotiate with the management by letting go some of your present rights. If your company does not cooperate, you will have to leave the country, but can return after one year to work for another employer.

KSA – I have been working for a company for more than five years. I did not sign a contract with them. First one year I worked for them without being in their sponsorship. Now I am planning to resign. They informed me that my first year will not be included in service and they will not include it in the calculation of my end-of-service benefit (ESB). They are also asking me to pay for my ticket home. Please advise.

What your company says about your first year of service is not correct. You are entitled to the ESB from the very first day of your work irrespective of the sponsorship transfer. As to the payment of the air ticket: If you are resigning according to the provisions of contract then it is the responsibility of the company to pay for your return ticket. If your resignation is in breach of  contract terms then the company has the right to ask for compensation, which often includes asking you to pay for your return home.

KSA – I have been working in a company’s branch office for 10 years. Due to some serious differences with the management, I decided to resign from the job, which my employer encouraged me to do.

I submitted my resignation notice 30 days in advance. They did not respond to my resignation in writing, but they recently appointed my replacement — one I helped them find. I am now being told that I must stay through August to provide ample time to train my replacement, which I do not want to do. They are also withholding my salary for May. I want to leave the job on the date I cited in my resignation notice. Should I approach the Labor Office in order to secure my end-of-service benefit (ESB)? Will I face any legal problems with claiming my ESB? How should my company calculate my ESB? Besides my basic salary, I was receiving SR12,000 per year with health insurance.

You said that your employer pushed you to resign. This is extremely important. What have been the actions taken by your company in this regard? Can you provide evidence of these actions and/or witnesses? Your case constitutes an employer-side termination of contract, which automatically makes you eligible for your full ESB. But if there’s a dispute you need to provide proof that your employer encouraged you to resign.

Also, if they are withholding your salary you should complain immediately to the Labor Office and all future communications with your company should pass through the Labor Office. 

If everything you say is accurate and you can provide evidence in the case of being forced to resign, then you are entitled to your full salary to the date of your resignation stated in the letter. You are entitled to 10 years worth of ESB (including factoring in the allowance you cited), as well as any unclaimed paid-vacation days. Your ESB should also include any out-of-pocket expenses you have paid related to your health plan.

KUWAIT – I am an expat and have been working with my current employer for 3 years and 4 months. My contract was for 2 years and renewable for an unlimited period. Last month I gave my 3 months notice of intention to terminate my contract, but my employer is asking me to pay them 5 months of my salary as penalty, because, according to them my contract should be terminated on the same date I started working for them which is in April next year.
My question is, does my employer have the right to demand payment for those 5 months (from Nov-April) as penalty? I believe that I have the right to get a release and half of my indemnities since I have been working for more than 3 years.The employer is wrong. According to the Ministry of Social Affairs and Labor decision, the company can’t keep you if you don’t want to stay with them after three years of service, even if it has hired you from abroad.
Secondly your contract was of two years, so what is the company talking about. You are right and according to the new Labor Law you are entitled to half the indemnity.

KUWAIT – My query is … can a person resign from his job while on vacation? Secondly, if a person is 7 days late on duty from vacation can he be terminated and can the company file an ‘absconding case’ against him?Yes a person who is on vacation can resign as there is nothing in the law against it. Secondly, if you are absent from work for 7 consecutive days without a valid excuse, the company can terminate you but you will be considered as having ‘resigned’ and not terminated. In this case you are entitled to indemnity according to your service.

KUWAIT – Since January 2008, I have been working with a maintenance contracting company on a Ministry project. I hold a project visa. Can I get my residence transferred to another company?According to the latest rules you can transfer to another company if you have worked at least one year with the company and are a graduate and after three years if you are not.

KUWAIT – I signed a termination letter recently but my manager on instructions from the HR Department says I have to resign because I have got already a new job. My question is does this manager have the right to hold me.
1. Can he file a case if I walk out, as I have already signed the termination letter?
2. Can I file a case with the Ministry of Labor?
3. Do we still have to continue with the 3-month notice, even though we have already found new jobs?
4. Why are they insisting on me resigning although I have already signed the termination paper?
5. They said also that we don’t have the right to stop working with them.The company is right on all aspects. When you resign or are terminated with a 3-month notice, you have to keep working for the three months on the regular timings. The only difference is that if you resign you have to find work in your own time but if you are terminated the company has to give you one day a week to find a new job. If you, however, wish to leave early it has to be done by mutual consent. If any party doesn’t want to implement the 3-month notice period it has to pay the other party a salary equal to the remaining part of the notice period. If you stop work, a case can be filed against you. You are being asked to resign because you are in violation of the rules

KUWAIT – I am on a dependent visa, joined a company but decided not to transfer my residence after the probation period and left the job after completing 4 months. They did not pay my salary for the 4th month. How do I get that money from the company? And does the Kuwait Labour Law help me to get this salary?First of all how many times have we said that people on dependent visas are not allowed to take up jobs according to the law. Some companies take advantage of this fact and the result is always the same — people are deprived of their rights. But if you have proof that you worked for this company for that period, you can go to the Labour Dept in your area and file a complaint. Yes, you will be admonished for working on a dependent visa but then the company also made the mistake by hiring you. They can’t wriggle out of paying you. However, you can tell the company, before filing the complaint, that you are going to file one. They might move on this action.

KUWAIT – My wife came to Kuwait 2 weeks ago on a dependent visa. I have completed the medical and residence permit. Now my question is, if she gets a job, is it possible to change her residence to work visa if the company agrees or can she work for 1 year and change after that?First of all, she has to wait for at least one year before she can change to a work permit. Secondly, if she is caught working on a dependent visa she can be deported.

KUWAIT – Our establishment has been closed and blacklisted. I have found a new job and the new company wants to transfer my visa but I can’t find my sponsor. So how can I transfer my visa to a new sponsor?You can’t transfer your residence as long as your company is blacklisted. The only way out of this problem is to file a case against your company, through the Labour Dept in the area, and the court can issue an order sanctioning your transfer

QATAR – A hotel worker is asking about the validity of what is happening with his colleagues, stating that whenever a staff member resigns from work, he/she is to pay the equivalent of two months’ salary while he is supposed to receive those benefits by the end of their service. He is surprised that his colleagues pay double their salary to the employer if they are to resign, and therefore wishes to be informed of the procedures to be followed when submitting his resignation.

Article No. 49 of the Labor Law No. 14/2004 refers that the worker and employer may terminate the contract without giving any reasons. If the employment contract of indefinite duration, provided that party wishing to terminate the contract is obligated to notify the other party in writing as follows:

1. For workers who are paid annually or monthly, a notice is sent before termination of the contract no later than one month if the service is five years or less. If the duration increased to more than five years, the notice period is at least two months.

2. For other cases, notification is directed in accordance with the following dates:

• If the length of service less than one year, notification period shall be of one week’s notice at least.

• If the length of service more than one year and less than five years the duration of the notification is at least two weeks.

• If the length of service is more than five years the duration of the notification is at least a month.

Employer must pay the worker full wages for the duration of the notification, if the worker had operated as usual.

QATAR – A person says that he travelled to Qatar to work in a hairdresser’s with a contract. However, after two months, the sponsor asked him to find a job in some other place. He did not find a job or a new sponsor. Therefore, he left Qatar. He does not have a residence permit in his passport. He asks if it is permissible for him to enter the country again or must he spend at least two years to be able to enter the country again?The law No. 4/2009 on the organisation of entry and exit of expatriates, their residence and sponsorship indicates that the sponsor should end the proceedings and renovation of residence within a period not exceeding 9 days from the date of termination.
It also stipulates that a worker cannot be granted a visa for two years after leaving Qatar.
By applying this in this case, we find that this person did not get a residence permit in Qatar and he left the country within the grace period. She can enter Qatar anytime without applying the two-year condition.

QATAR – A female resident wants to know about the procedures for getting a work permit issued from the Labour Department. She has joined a private company and wants to stay under her husband’s sponsorship.

Women may work without the condition of sponsorship transfer, provided that she shall be family-sponsored. Article 23 of Labour Law No 14 of 2004 states that non-qatari workers may be employed only after the approval of the Department and after obtaining the work permit of the State in accordance with the regulations and procedures set by the Ministry of Labour. Work permit is determined according to the residence period on the condition that the permit shall not exceed five years and on presenting the following papers:

• Copy of the company’s registration.

• Copy of the employee’s passport and valid residence visa.

• Copies of education certificates and experiences attested and translated.

• Copy of the sponsor’s (husband’s)
ID card.

• Valid good conduct certificate.

• After the initial approval of the Labour Department, three copies of employment contract shall be attested.

Payments of work permit fees plus contracts attestation fees.

QATAR – A company worker wants to get some information about the terms of Qatari Labour Law No. 14/2004, which regulate the work of women.

Chapter 9 of the Qatari Labour Law No. 14/2004 contains a full list of conditions related to the employment of women in Qatar. These conditions include the following:

Payment: Women must be paid equally with men who perform the same job. Women must also be given the same chances for training and promotion.

Vacations and other rights: Female workers with more than one year of service must enjoy the following rights:

1. Paid maternity leaves - Having served in a given company or agency for one year, female workers are entitled to a 50-day paid maternity leave. This includes vacations taken before giving birth and after it. Post giving birth, vacations must not be less than 35 days.

2. Annual vacations - In case female workers consume their 50-day maternity leave before giving birth, they can be given extra time after giving birth, but this must be deducted from their annual vacation. This extra time will be unpaid.

3. Unpaid vacations - Female workers can be given 60-day unpaid vacations after birth if their health condition is not suitable for work resumption. But this makes it necessary for them to submit medical certificates, proving that they can not go back to work at this stage.

4. Mothers’ Rights – According to Article No. 97 of Labour Law No. 14/2004, working mothers must be given a one-hour paid leave every day to breastfeed their children. These paid leaves are taken after the maternity leave comes to an end and mothers return to work. Mothers are free to decide when exactly they want to take such leave during company time.

5. Employers’ Commitments - Female workers may not be dismissed for getting married or getting maternity leave. Female workers may not be left to work in tough environments that expose them to health hazards.

UAE – I would like to ask if someone who has been working in a private company for more than seven years can leave the company because he received a better offer.
Even if the present company releases him, will there be any obstacles as he has got a bank loan and credit card (but in both cases until now all payments were made on time). What are the options available for him and which one would be the best?

I would like to advise the questioner if he is fully dependent on such a job, where he is currently employed, to repay his debt to the bank. I would advise him, if he is not desirous to continue in his current job, to look for another job, when he makes sure that the new job is secured, he may submit his resignation from the current work so as not to subject himself to any trouble with the bank due to such debt.

UAE – I am a mechanical engineer with 14 years' experience in India. My diploma is from a government college and was certified by the UAE embassy. I had an agreement with a company in the UAE to work as a supervisor but they processed my visa as a worker. My contract is unlimited and my salary is Dh4,900. Before I came from India, I had refused to come on a worker's visa. But I was told that it is only due to the availability of visa and I was promised that the post would be changed to engineer/supervisor. The company did not change the post despite many reminders. I also want to sponsor my family here this year. What will be the problem in future due to this current post in the contract?

If the reader failed to reach a solution with the company regarding adjusting his status, giving him the post and salary commensurate with his certificate and experience, he may resign from the company after providing a resignation notice, especially since his contract is for unlimited period.

Besides, try with the company to get a no objection certificate to transfer the sponsorship if his service with the company does not exceed three years. If the company refuses to provide him with a no objection certificate, he shall leave the country and return after the expiry of the ban period of six months.

UAE – I worked in a company for more than two years. Two months ago, I had an accident at the site of work because of which I was severely injured and I am still undergoing treatment. The company, where I was employed, terminated me due to the said accident as I was declared unfit for work as stated by the company. Also, I signed a paper, provided to me by the company which stated that the company is not responsible for any accident that may affect the worker and it may terminate the worker’s contract due to an accident he may incur. I asked the company to allow me to have treatment on my account from my leave amount, which I had not used, but the company declined the same. Is the company entitled to do what it has done? Have I waived my right for treatment by signing that letter? Has the company the right to terminate my contract forthwith? Please note that the employment contract does not include such condition.

Article No 124 of the Federal Labour Law No 8 of 1980 states the following: “An employer may not terminate the service of a worker for lack of medical fitness before the worker exhausts all the periods of leave legally due to him. Any agreement to the contrary shall be null and void, even if concluded before this law comes into effect.” Therefore, based on the above points, I would advise the questioner to file a labour complaint against the company claiming his right against the arbitrary dismissal together with an appropriate compensation for the accident which he had during work. Based on such complaint, the Ministry of Labour will refer the complaint to the competent court if no amicable settlement has been reached in this regard.

UAE – I am working in an automation-based company in Dubai. I had joined on August 16, 2009 with designation of an application engineer. My visa is not an engineer visa and it is a general technician visa as my company wanted my attested degree at that time to give me an engineer visa, which I didn’t have at that time.
My question is in case I want to leave my present company and join another company, and in case my present employer denies me a no objection certificate, what options do I have?

A worker who has not completed three consecutive years with the employer may not transfer to a new employer unless he obtains the existing employer’s consent, especially if the employer is committed to give the employee his legal rights. Therefore, if the questioner failed to obtain a no objection certificate from the sponsor amicably, the Ministry of Labour, if the questioner quit work, would impose ban on the questioner regardless of his designation or degree.

KSA – Answers given by  Muhammad Jaber Nader

KUWAIT  – Answered as per Kuwait Law

QATAR – Answered as per Qatar Law

UAE – Questions answered by Advocate Mohammad Ebrahim Al Shaiba of Al Bahar Advocates and Legal Consultants.