employment contracts
employment contracts

Due to the Veroy Corona proliferation crisis: new amendments to employment contracts between expats and employers in the Gulf states

In Saudi Arabia: The Ministry of Human Resources and Social Development clarified the details and reasons for its decision, issued yesterday regarding the improvement and protection of the contractual relationship between workers and employers, in light of the current conditions resulting from the pandemic of the emerging corona virus.
The Ministry stated that an article number (41) has been added to the executive regulations of the labor law, which states: “In implementing the provisions of paragraph (5) of Article (74) of the system:

1- In the event that the state, on its own initiative or based on what is recommended by a competent international organization, takes measures regarding a situation or circumstance that requires a reduction in working hours, or precautionary measures that limit the aggravation of that case or that circumstance, which is included in the description of the force majeure mentioned in the paragraph (5) From Article (seventy-fourth) of the system, the employer agrees with the worker - within the six months following the start of taking these measures - on any of the following:

- Reducing the worker's wages, in proportion to the actual number of working hours.

- Granting the worker leave that is calculated from the days of his annual leave due.

- Granting the worker exceptional leave, as stipulated in Article (116) of the Law.

2- The termination of the work contract after that is not legitimate; if it is proven that the employer has benefited from any state subsidy to face this situation.

3- This does not prejudice a worker’s right to terminate an employment contract.

In the UAE: The preamble to the contract stipulates that “where the first party has indicated its desire to sign an additional temporary supplement to the employment contract number (- -) with the second party, and has agreed to one of the three options mentioned, namely paid leave, early leave without pay, reduced pay Temporarily with a value of (..) after the reduction, so that the wage value is from the date (- -) to (- -) ».

According to the contract, the first clause stipulated that “the previous preamble shall be considered an integral part of this appendix, as the term of this temporary additional appendix starts from the date of its signature by the two parties, until the end of the date specified in the previous preamble,” while the second clause includes, Acknowledgment from the first party (the employer) that he briefed the second party (the worker) in detail on all the items mentioned in this temporary annex, and he also acknowledges that the second party signed it without coercion.

The third item is concerned with the acknowledgment of the second (working) party that he has examined in detail all the items mentioned in this provisional appendix, and has known all of the provisions contained therein, and also acknowledges that he has accepted and signed this provisional appendix within the state, while the fourth item is concerned with editing this provisional appendix In two copies, so that each party has one copy in its possession, and the first party (the employer) is obligated to provide that copy to the Ministry in the event that it is required to do so, in the fifth clause, that “if the two parties agree to amend or extend this temporary attachment, a temporary supplement must be concluded new".