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Everything You Need To Know About Labour Laws In The Middle-East

Introduction

The middle east region of this globe is popular for ostrich history and natural resources. This region is also the source of talents that employers throughout the world may love to have. Mainly three countries belong to this region.

Here We will talk about the labor laws of two countries of the middle east region. If you want to know the laws of specific regions, you can contact a law firm in DIFC.

United Arab Emirates

UAE, Or the United Arab Emirates, is situated in the Arabian Peninsula. Have you heard of the Gulf Cooperation Council? It is basically an economic and political alliance among the member countries. The UAE is one of the six members of it.

Though the largest city of the UAE is Dubai, The capital of this country is Abu Dhabi. Apart from this, Arabic is the Official Language of the United Arab Emirates, but English is really common there as well.

The Ministry of Labor has set several laws, and they govern employment in the region. Here are some key requirements.

1. Employment Contacts

For every case, employment contracts are a must here. On the basis of the expectations and duration of the project, limited and unlimited contracts can be there.

2. Annual Leave

Employees who have successfully completed six months of service but it does not exceed a one-year time period; the employee will receive two days of leave monthly. After completing one year of service, the employees are entitled to 30 days’ leave.

3. Notice Periods

At the time of termination of their contracts, either the employment or the employer part have to offer a minimum of 30 days’ notice, and it should not exceed the duration of 3 months. In lieu of notice, it is mandated to compensate the employee.

For both limited and unlimited contacts, all these need to be done. But in case any party commits violations, is found of gross misconduct, or fails to perform their functions, no notice is required here.

4. Pensions

To the social security authority and general Pension, the government, employee, and employer all contribute. The contribution of the employee is 5%, it is 12.5% for the employers, and 15% for the government.

There is another unique element in The United Arab Emirates, which is “emiratisation,” or an incentive for hiring local UAE citizens for the projects.

Egypt

If we calculate the working population, it is around 32 million individuals in Egypt. In order to focus on training initiative and workforce capability development, this country has partnered with the United States.

And every piece is designed for increasing sustainable prosperity within the nation.

1. Employment Contacts

The employment contracts can include the probation period as well, but when it comes to the length, it can not exceed more than three months. In addition to this, there are actually three types of contracts that are typically used.

Those are fixed-term, indefinite, or open-ended, and lastly, contracts for performing specific project-based tasks.

2. Annual Leave

If an employee has worked for at least one year, he or she will receive 21 days of annual leave. And if the employees have been working for more than 10 years, then they are eligible for 30 days to leave. Employees crossed 50years of age will also receive 30 days.

3. Notice Periods

On the basis of the length of the service, the notice period differs. This differs from for less than ten years, two months of notice, up to 3 months notice for more than ten years of service.

4. Pensions

Towards the pension, the employer will contribute 15%, and for employees, the amount is 10%. Every seven years, the contributions of each party are set to increase by 0.5% until capped at 26% in total.

Bottom Line

I have mentioned the labor law in the two countries of the Middle East, Egypt and the United Arav Emirates. The policies of Saudi Arabia are nearly the same as the UAE. Each of these countries is considered as the powerhouse of educated and highly qualified citizens.

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