Labour law updates are beneficial

This country's rules and regulations have evolved and improved over the nearly 44 years since the union of the seven emirates. So it should come as no surprise that the labour laws will be refined through three decrees issued by Minister of Labour Saqr Ghobash this week. As The National has reported, the focus is on the transparency of job terms and employment contracts, spelling out how contracts can be terminated and making it easier for workers to switch employers.

As Mr Ghobash has said, the changes are predicated on the free consent of both parties to an employment contract. The decrees direct that workers be presented with a unified, standard employment offer with clear, enforceable terms and conditions, before their entry to the UAE. This will, hopefully, eliminate so-called “ghost contracts” or contract substitution, in which an employee who has signed up abroad discovers on arrival in the UAE that the terms of the job have radically changed to their disadvantage. Under the new rules, no changes to the contract will be allowed unless they extend a worker’s benefits with that person’s agreement.

The new decrees build on the 2011 labour law that simplified the process of ending a contract with one company and moving on to another employer. New mobility and flexibility initiatives will have a positive impact for employees, because they can aspire with greater certainty to take up a more suitable position with better pay and conditions when the opportunity presents itself. Employers will also benefit because the pool of qualified and readily available workers will be both broadened and deepened.

These changes are examples of the development and implementation of good policy that we have already seen in many other areas. Flaws or pitfalls in the existing system have been identified and fixed, and improvements have been made.

The UAE has long appreciated the contribution of its large foreign workforce and has consistently striven to improve conditions for those workers, in particular unskilled or inexperienced people who may be vulnerable to exploitation. These changes, which clarify aspects of the employer-employee relationship and serve to protect both parties, are another welcome step in that process.