June 25, 2024

Tullio Corradini

Trusted Legal Source

Proposed Amendments to the DIFC Employment Law

Proposed Amendments to the DIFC Employment Law

The DIFC Work Regulation arrived into power on 14 January 2020 amending the DIFC Legislation No. 2 of 2019. The principal purpose of the amendment was to substitute the thought of end-of-support gratuity with the DIFC Staff Place of work Cost savings System (DEWS) or an option qualifying plan. The introduction of DEWS aligned the framework with global ideal practices.

Now, 1 calendar year on, the DIFC intends to even more amend the present legislation to present clarification and address any other locations of uncertainty. The proposed legislative modifications find to explain described terms and rectify probationary periods beneath short, fixed-phrase contracts as very well as the accrual of annual go away.

Importantly, the amendments will render any agreement or arrangement that seeks to reclassify recurring payments to workers as non-recurring payments to be null and void and unenforceable. This prevents companies from decreasing an employee’s primary wage calculation for the purposes of the main gain contributions by an employer beneath DEWS.

The DIFC Authority has printed the proposed legislative modifications for a 30-working day public consultation period of time, ending on 28 March 2021. The session paper is obtainable listed here.

For further data in relation to the DIFC Employment Law, please call
Joanna Stewart ([email protected])