New rules announced for resolving labour disputes

The UAE's Ministry of Human Resources and Emiratisation (MoHRE) has announced new rules aimed at expediting the process of settling labour disputes.

As per the changes that will come into effect from January 1, 2024, the Ministry will directly resolve disputes with claims of up to AED 50,000, involving companies and employees in the private sector, as well as domestic staff and domestic worker recruitment agencies.

Regardless of the claimed amount, this latest move also applies to disputes related to non-commitment to amicable settlement decisions previously issued by the Ministry.

"The new process aims to save customers’ time and effort, streamline procedures, and expedite the process for claimants to collect their legal entitlements," the MoHRE said in a statement.

The amendments also allow either party in a dispute to file a lawsuit before the Court of Appeals within 15 working days of being notified of the Ministry’s decision to resolve the dispute. The court then schedules a hearing within three working days.

The Ministry added that it will continue with its usual process of working to find amicable settlements for disputes exceeding AED 50,000, and referring cases to the relevant court if an amicable settlement is not reached.