I have been working for a company for about three years and recently submitted my resignation. My job is to manage and organise stock but I am not a manager and do not make any decisions for the company.
I am serving my two months’ notice as required by my contract, which is unlimited, but the owner now insists that I sign a non-compete and non-disclosure letter that she says should be part of my contract. She says they will not cancel my visa or pay me if I do not sign the document and will also apply for a labour ban to be imposed on me.
The company has never mentioned this before and everything was fine until the owner, who we hardly saw, became involved. Can the company force me to sign this before I leave? LC, Abu Dhabi
are a number of issues to address here. Firstly, employers are not permitted to change the terms of a contract of employment, provided the original contract complies with the UAE Labour Law. If they wish to make changes to the contract, it can only be done if the employee agrees.
This means that it is not permitted to add in a clause, such as a non-compete clause, at this stage to benefit the employer and potentially disadvantage the employee.
Article 127 of the UAE Labour Law states: “Should the work entrusted to the worker enable him to meet the clients of the employer or know the business secrets thereof, the employer may require from the worker not to compete with him or participate in any competing project upon the termination of the contract for the validity of such agreement ... and the agreement shall be limited, with regards to time, place and type of work, to the extent necessary for the protection of the legal interests of the employer.” Given LC’s role in the company, this is not relevant to their situation.
This clause is intended to prevent employees who are party to sensitive corporate information from using it elsewhere, not to stop people from changing jobs, and is not relevant for junior employees. For such a clause to be applied, the employer would have to go to court to make a case against any worker. In this case, they would have no chance of winning, so it is an unfair threat.
The employer cannot apply for a ban in this case as LC has given notice under the contract terms, has not absconded and has been with the employer for about three years. There must be a proper reason for a ban to be requested and that is not the case here; it is another empty threat.
It is always disappointing to read about businesses that treat their employees in this manner
Under UAE law, an employer must pay any money owed to the employee and cancel the visa in a timely manner. They should not delay or demand the acceptance of additional work-related clauses.
This employer’s demands and threats are illegal and LC should register a case against them with the Ministry of Human Resources and Emiratisation by contacting their helpline on 800 60.
It has come to my attention that a business near to where I live is not operating within the law. I know that they make their staff work very long hours, for up to 12 hours a day and sometimes seven days a week, keep their passports and are always late in paying their salaries.
The staff are afraid of the owner and are shouted at if they complain or ask for their salary on time. Is there a way that they can make a complaint without giving their names, or can I do this for them? For my own reasons, I cannot be too involved but I want to help. TW, Dubai
It is always disappointing to read about businesses that treat their employees in this manner. The working hours and retention of employee passports are illegal under UAE law. There are also rules in place about the payment of salaries that come under the Wages Protection System.
The best option is to contact Al Ameen, a service set up by Dubai Police in 2003 that allows residents and visitors to make anonymous reports and complaints about a range of issues.
I understand it was designed to assist with the reporting of serious crimes but it can also assist with any issue in which the UAE law is being broken.
You can call Al Ameen toll-free on 800 4888 or email your complaint to alameen@emiratesnet.ae. They can also be contacted via various social media channels. All enquiries are treated in confidence and the identity of the complainant is not released to any third party or to the employer, in this case.
Keren Bobker is an independent financial adviser and senior partner with Holborn Assets in Dubai, with more than 25 years’ experience. Contact her at keren@holbornassets.com. Follow her on Twitter at @FinancialUAE
The advice provided in our columns does not constitute legal advice and is provided for information only
Dubai Creek Open in numbers
- The Dubai Creek Open is the 10th tournament on this year's Mena Tour
- It is the first of five events before the season-concluding Mena Tour Championship
- This week's field comprises 120 players, 21 of which are amateurs
- 15 previous Mena Tour winners are competing at Dubai Creek Golf and Yacht Club
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
COMPANY PROFILE
Name: Mamo
Year it started: 2019 Founders: Imad Gharazeddine, Asim Janjua
Based: Dubai, UAE
Number of employees: 28
Sector: Financial services
Investment: $9.5m
Funding stage: Pre-Series A Investors: Global Ventures, GFC, 4DX Ventures, AlRajhi Partners, Olive Tree Capital, and prominent Silicon Valley investors.
Meydan race card
6.30pm: Baniyas (PA) Group 2 Dh125,000 (Dirt) 1,400m
7.05pm: Maiden (TB) Dh165,000 (D) 1,200m
7.40pm: Maiden (TB) Dh165,000 (D) 1,400m
8.15pm: Handicap (TB) Dh170,000 (D) 1,900m
8.50pm: Rated Conditions (TB) Dh240,000 (D) 1,600m
9.25pm: Handicap (TB) Dh175,000 (D)1,200m
10pm: Handicap (TB) Dh165,000 (D) 1,400m
The specs
Engine: 3.9-litre twin-turbo V8
Transmission: seven-speed
Power: 620bhp
Torque: 760Nm
Price: Dh898,000
On sale: now
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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115 Special programme for artists
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Tom Fletcher on 'soft power'
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Bert van Marwijk factfile
Born: May 19 1952
Place of birth: Deventer, Netherlands
Playing position: Midfielder
Teams managed:
1998-2000 Fortuna Sittard
2000-2004 Feyenoord
2004-2006 Borussia Dortmund
2007-2008 Feyenoord
2008-2012 Netherlands
2013-2014 Hamburg
2015-2017 Saudi Arabia
2018 Australia
Major honours (manager):
2001/02 Uefa Cup, Feyenoord
2007/08 KNVB Cup, Feyenoord
World Cup runner-up, Netherlands
Fight card
1. Bantamweight: Victor Nunes (BRA) v Siyovush Gulmamadov (TJK)
2. Featherweight: Hussein Salim (IRQ) v Shakhriyor Juraev (UZB)
3. Catchweight 80kg: Rashed Dawood (UAE) v Khamza Yamadaev (RUS)
4. Lightweight: Ho Taek-oh (KOR) v Ronald Girones (CUB)
5. Lightweight: Arthur Zaynukov (RUS) v Damien Lapilus (FRA)
6. Bantamweight: Vinicius de Oliveira (BRA) v Furkatbek Yokubov (RUS)
7. Featherweight: Movlid Khaybulaev (RUS) v Zaka Fatullazade (AZE)
8. Flyweight: Shannon Ross (TUR) v Donovon Freelow (USA)
9. Lightweight: Mohammad Yahya (UAE) v Dan Collins (GBR)
10. Catchweight 73kg: Islam Mamedov (RUS) v Martun Mezhulmyan (ARM)
11. Bantamweight World title: Jaures Dea (CAM) v Xavier Alaoui (MAR)
12. Flyweight World title: Manon Fiorot (FRA) v Gabriela Campo (ARG)