UAE Announces updates work permit system, extending validity to three years
Following recommendations to lessen financial obligations, the Federal National Council (FNC) of the United Arab Emirates (UAE) has approved the extension of work licences from two years to three years. The fee waiver for work permits and the necessity that employees work for an employer for a minimum amount of time are further recommendations.
The United Arab Emirates (UAE) Federal National Council (FNC) recently approved extending work permits from two to three years. The choice was taken in response to a request from a FNC committee to lessen the cost of applying for work permits.
Extending the duration of a work permit
Work licences for the UAE are currently given out by the Ministry of Human Resources and Emiratization for a two-year duration. It is crucial to remember that working in the nation without a current permit is completely forbidden.
To speed up the process and reduce costs for individuals and businesses, the FNC Committee on Financial, Economic, and Industrial Affairs recommended increasing the time limit to three years. The fact that the FNC approved this suggestion shows a substantial change in the work market.
The following recommendations
The FNC committee also made a number of other recommendations to improve the effectiveness and adaptability of the work permit system. To promote increased employee mobility within the UAE, one of these ideas is to waive work permit payments for job transitions.
Another suggestion that was passed calls for employees to stay with a company for at least a year after their probationary period. However, if the employer agrees, this stipulation may be disregarded.
Measures for Enhanced Inspection
The Ministry of Human Resources and Emiratization briefed the FNC of its thorough inspection activities carried out around the nation during deliberations.
Over 72,000 inspection visits were made this year alone, 2,300 of which were in connection with possible instances of fraudulent emiratization. The ministry discovered about 430 cases, some of which were forwarded to the public prosecution for additional action.
Policies that Protect Employers
Abdulrahman Al Awar, the Minister of Human Resources and Emiratization, emphasised three crucial measures intended to protect companies from various dangers during a recent FNC meeting.
1- System of Worker Protection Insurance
In the event of corporate bankruptcy or the inability to make payroll, employers are required to provide insurance coverage to safeguard employees. Currently, this programme covers more than 96% of registered workers.
2- system for wage protection
The timely and secure payment of employee salary is made possible by this technology. Companies and enterprises must pay their employees through reputable banking institutions.
3- Indemnity for Unemployment
More than 2 million people have signed up for the unemployment insurance programme, including 40,000 Emiratis. In order to avoid penalties, eligible employees in the UAE must enrol in this programme before June 30. The programme offers low-cost employment security for employees who might lose their jobs.
Bottomline
In conclusion, the UAE government's commitment to improving the labour market and streamlining administrative processes for employees and enterprises is shown in the FNC's approval of the extension of work permits to three years.
The Ministry of Human Resources and Emiratization's new policies seek to create a balance between safeguarding workers' rights and helping businesses achieve their Emiratization objectives.
