We recently shared all the latest information with you regarding labor law in the Emirates. We are now focusing on one of its important points: the possibility of working for multiple employers. As of February 2, 2022, employees will be able to work for more than one employer in the Emirates, in accordance with the new labor legislation announced a few weeks ago.
What changes have been made to employment contracts in the Emirates?
Under Federal Decree-Law No. 33 of 2021 regulating labor relations, private-sector employees can now work part-time, temporarily, or flexibly.
The Ministry of Human Resources and Emiratisation (MOHRE) highlighted the benefits of its multi-employer contract, which allows an individual to work for more than one employer in the United Arab Emirates.
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Under the multi-employer contract, the Ministry allows you to work for more than one employer once the establishment has issued your part-time work permit, without the approval of your original employer or other secondary employers," MOHRE tweeted.
This new system, introduced in 2018, is intended to increase labor-market flexibility in the Emirates and meet employers' needs based on the existing labor market, with the aim of reducing dependence on labor from outside the country.
The addition of these new work arrangements, alongside the regular full-time system familiar to everyone, helps protect employees' rights by allowing them to hold multiple jobs and use their skills in different ways.
Private- and public-sector workers can now combine several work models. The rule is that total working hours must not exceed 48 hours per week (the number of hours specified by law).
These new work models obviously offer workers a degree of flexibility, but employers also benefit. They can choose the type of contract best suited to the requirements and objectives of their industries.
The different work models
- Part-time work allows employees to work for one or more employers for a specified number of hours or days designated for that work.
- Temporary work may be a contract for a specific period or based on a project that ends when the work is completed.
- Flexible work gives employees the freedom to work at different times depending on the conditions and requirements of the job, in addition to the full-time work currently prevailing in the labor market. The contract provided for by the new law covers working hours or days that may change depending on the employer's workload, economic variables, and operational variables.
The above options are not the only ones. Other work models, including freelance work and compressed workweeks, are expected to be introduced once the executive regulations are established to oversee implementation of the law.
The law also provides employers with the possibility of hiring people whose contracts have expired but who are still in the country. The procedure is simple and flexible.
Farewell to indefinite-term contracts in the Emirates
One of the major changes concerns the duration of employment contracts - Article 8 of the new law. Only limited-term contracts will be used and valid in the United Arab Emirates.
Deadline of February 1, 2023 for drafting new employment contracts
For now, existing indefinite-term contracts remain valid. It is only from February of next year that it will become mandatory to convert indefinite-term contracts into fixed-term contracts. The labor market of the United Arab Emirates will then use only limited-term contracts, effectively abandoning unlimited contracts.
These fixed-term employment contracts will have a duration of three years and may be renewed under the same conditions, with the consent of both parties, for a similar or shorter period.
The Emirates' policy is clear: they are doing everything possible to facilitate the hiring of new employees and attract talent from around the world.
More information is expected in the coming weeks. The changes introduced by this new law will need to be carefully reviewed once the law is officially published.
Companies will have to comply with this new law and will have until 1/02/2023 to make the necessary changes, particularly converting all indefinite-term employment contracts into fixed-term contracts.
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