The German Medical Centre in Abu Dhabi, where some staff have resigned over delays in pay and new contracts. Delores Johnson / The National
The German Medical Centre in Abu Dhabi, where some staff have resigned over delays in pay and new contracts. Delores Johnson / The National
The German Medical Centre in Abu Dhabi, where some staff have resigned over delays in pay and new contracts. Delores Johnson / The National
The German Medical Centre in Abu Dhabi, where some staff have resigned over delays in pay and new contracts. Delores Johnson / The National

UAE medical centre staff quit over 'withheld pay'


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ABU DHABI // Staff at a popular medical centre are saying they are leaving their jobs after having wages withheld, meaning patients’ appointments are being cancelled.

The Al Rawdah German Medical Centre, has been losing staff at a rapid rate over the past few months, employees say.

Those who continue to work at the facility, despite saying they have not received wages since January, are in the process of cancelling patient appointments.

When the centre was fully staffed, the clinic would see between 70 and 100 people a day.

Problems started to arise last year after a change in management, said a former staff member, who has since found work elsewhere.

“The financial difficulties started about June/July, with the payments being late with our salaries. Otherwise, everything else was fine,” said the female expatriate, who asked to remain anonymous.

“There are so many people who have not been paid.”

While some former staff have been able to afford to stay in the country while they try to reach a settlement with their former employer, others have had to move back to their home countries.

Staff claimed they were not given warning about their wages being delayed.

“We were being told that this was all a technical issue with the change of management; that the money was there but there were issues,” the female expatriate said.

Emails sent to the new management were largely ignored, staff also claimed, with the issue coming to a head in January.

Hermann Sieler, the general manager of the centre, said that over the past four or five months the company had been trying to restructure and that involved changes to staff contracts. Most staff had now been paid, he said.

He denied that staff had not been informed of the impending contract changes, saying there had been meetings to explain the situation and some of the doctors had initially agreed to what had been proposed.

Some employees are claiming, however, that besides not being paid they have also not been given their end-of-service gratuities and cannot look for other employment until the dispute is over.

“The problem is, I have resigned, and I got my resignation acceptance and everything but, because they owe me two salaries and my end-of-service benefits, I cannot cancel my visa,” one said.

“Effectively, for the last six weeks, I’ve been prevented from working. All my other colleagues have the same issue.”

If employees were to sign off on their visas being cancelled, they would have to also sign a waiver stating they had received all due wages.

When wages were eventually paid to staff last month, they said there was an unexplained reduction in salaries.

New contracts, which former and current employees claimed were not given to them to sign, were given as the reason behind the cut in pay.

“The contract was a considerable reduction of salary,” the male former employee said. “We were already two behind and then the one that came in January was considerably lower.”

Mr Sieler said: “We had to change a number of things in the company. We had to look at the spending. Up until now, the centre was financed by German investors.

“But we have told them, we have signed agreements, we have the new partner and we will talk to everybody to find out a new base.”

Most staff received their pay for February, said Mr Sieler. Some, who have gone to court, will not be able to receive wages until legal proceedings are over, he added.

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FIGHT%20CARD
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'Falling%20for%20Christmas'
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Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

Company%20profile
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French business

France has organised a delegation of leading businesses to travel to Syria. The group was led by French shipping giant CMA CGM, which struck a 30-year contract in May with the Syrian government to develop and run Latakia port. Also present were water and waste management company Suez, defence multinational Thales, and Ellipse Group, which is currently looking into rehabilitating Syrian hospitals.

Your rights as an employee

The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.

The new measures passed by the Cabinet in 2016 were an update to the Wage Protection System, which is in place to track whether a company pays its employees on time or not.

If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.

Despite those measures, late payments remain an issue, particularly in the construction sector. Smaller contractors, such as electrical, plumbing and fit-out businesses, often blame the bigger companies that hire them for wages being late.

The authorities have urged employees to report their companies at the labour ministry or Tawafuq service centres — there are 15 in Abu Dhabi.

WHAT IS A BLACK HOLE?

1. Black holes are objects whose gravity is so strong not even light can escape their pull

2. They can be created when massive stars collapse under their own weight

3. Large black holes can also be formed when smaller ones collide and merge

4. The biggest black holes lurk at the centre of many galaxies, including our own

5. Astronomers believe that when the universe was very young, black holes affected how galaxies formed

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.”

The five pillars of Islam

1. Fasting

2. Prayer

3. Hajj

4. Shahada

5. Zakat 

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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.

How to apply for a drone permit
  • Individuals must register on UAE Drone app or website using their UAE Pass
  • Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
  • Upload the training certificate from a centre accredited by the GCAA
  • Submit their request
What are the regulations?
  • Fly it within visual line of sight
  • Never over populated areas
  • Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
  • Users must avoid flying over restricted areas listed on the UAE Drone app
  • Only fly the drone during the day, and never at night
  • Should have a live feed of the drone flight
  • Drones must weigh 5 kg or less