Employer can't take fee for training

Dubai - Training costs can't be demanded from employee even if he/she doesn't complete the contract

I am working on a limited period contract in an LLC company in Abu Dhabi. My contract will end in July. I am currently undergoing company-sponsored training which costs Dh5,000. As per company policy, if I resign within two years of the date of training I have to compensate the employer with the same amount. I may resign seven or eight months after the date of renewal of the contract. Do I also have to compensate the employer 45 days salary? Does it also depend on the new contract, and whether it is limited or unlimited?
It is the responsibility of the employer to provide sufficient training to the employees and the employer may not deduct the training costs from the salary of the employee or demand the same from the employee at the time of termination of the employment contract. Pursuant to your question, with effect from January 1, 2016, a 'ministerial decree No. 765 of 2015 issued by the Ministry of Human Resources and Emiratisation on Rules and Conditions for Term-nation of Employment Relations' has come into force .Article 1 (1) of the aforementioned Ministerial Order states: "An employment relation between employer and worker may be terminated as follows:1 - In the case of fixed-term con-tracts (approved by the ministry for a term of no more than two years), an employment relation is terminated if any of the following in-stances occurs:1) The term of the contract expires and the contract is not renewed.2) Employer and worker mutually consent to terminate the con-tract during the course of its term.3) Either party acts unilaterally to terminate the contract and complies with the legal steps that are described in clause (4) of this article. The terminating party bears any legal consequences of early termination.4) Either party acts unilaterally to terminate a renewed term con-tract, whether renewal has occurred before or after this decree enters into effect, provided the terminating party complies with the following legal steps:
a) Notify the other party in writing of its intent to terminate the contract in accordance with the notice period to be agreed to by the two parties, not to be less than one month and not to exceed three months. If renewal occurred before this decree enters into effect and the parties had not agreed to a notice period, this notice period shall be three months. b) Indemnify the other party to the level that was agreed to by both parties, not to exceed the equivalent of three months of gross wages. If renewal occurred before this decree enters into effect and the parties had not agreed to the amount of indemnification, this indemnification shall be the equivalent of three months of gross wages.5) Either party acts unilaterally to terminate the contract without complying with the legal steps that are described in clause (4) of this article, and for no reason of non-compliance by the other party; in this case the terminating party bears any legal consequences of early termination.6) The Employer acts to terminate the contract of a worker who commits any of the violations that are described in Article 120 of the Federal Labour Law." In accordance with the aforesaid regulation, you and your employer may mutually consent to terminate the contract before the expiry of the term of the current employment contract. In case you intend to terminate your employment contract after its renewal then the terms of renewed employment contract will apply and the contract period may be changed to unlimited period contract if it is mutually agreed by you and your employer. The renewed employment con-tract may be altered provided it is advantageous to the employee subject to the approval of the ministry in accordance with Article 4 of ministerial decree No. 764 of 2015, which states: "The employer must retrieve from the ministry system a standard con-tract that captures exactly the terms of the employment offer and obtain the worker's signature on the contract prior to presenting the contract for registration with the ministry. No alteration or substitution of terms may be entered unless such alteration or substitution benefits the worker and after the alteration or substitution is approved by both the worker and the ministry."
I have been working with a firm in Dubai as a mechanical engineer for more than six months. I am on an unlimited contract, and have completed my probation period. Recently, I got a better offer from a firm inAbu Dhabi, and the salary is double to what I currently earn (Dh3,500). I have sent my resignation letter to my employer by email, but he says he won't accept it. I am ready to complete my notice period of 30 days. Before I joined, I had signed an offer letter which stated that I won't join a competitor for two years after leaving the company, and that I have to pay my employer a fee of Dh9,000 in case I leave my job before my contract period ends. What will be the legal consequences if I join the Abu Dhabi firm? Can my employer put a ban on me?
According to Article 1 (II) of the ministerial decree No. 765 of 2015, issued by the Ministry of Human Resources and Emiratisation on Rules and Conditions for Termination of Employment Relations' which came into force on January 1, 2016, in case of unlimited contracts, an employment relation between employer and worker may be terminated if any of the following instances occurs:1) The two parties consent to termination.2) One party acts, at any time, to terminate the contract subject to notifying the other party and continuing to honour contractual obligations for the duration of the notice period, which cannot be less than one month and cannot exceed three months.3) One party acts unilaterally to terminate the contract, without complying with the legal conditions described above and without reason of non-compliance by the other party; in this case the terminating party bears any legal consequences of early termination.4) The employer acts to terminate the contract of a worker who commits any of the violations that are described in Article 120 of the Federal Labour Law." Since you commenced your employment prior to effective date of the aforesaid Ministerial Order, for an unlimited contract, the notice period to be served is 30 days as mentioned in Article 117(1) of the Federal Law No. 8 of 1980. It reads: "Both the employer and the worker may terminate a contract of employment of unlimited duration for a valid reason at any time following its conclusion by giving the other party notice in writing at least 30 days before the termination." Your employer has no merit in asking you to pay Dh9,000 which we assume is for your visa-related expenses. Further, you may rely on other terms and conditions of your offer letter if such terms are advantageous to you in accordance with Article 7 of the Labour Law, which states: "Any stipulations contrary to the provisions of this Law, even if it was made prior to its commencement, shall be null and void unless they are more advantageous to the worker." Further, there should not be an employment ban on you as you have completed six months of employment with your employer in accordance with Article 1(II)2 of Ministerial Order No. 766 of 2015 of ministry which states: "One of the parties acts to terminate the contract and notifies the other party and continues to honour his/her obligations under the contract for the duration of the notice period, which shall be not less than one month and not more than three months, provided the worker has completed a period of not less than six months with the employer; the latter provision is waived for workers that qualify for skill levels 1, 2 and 3, as per the Ministry's classification."
Terminating an unlimited contract
The law states that an employment relation can be terminated when:
1) The two parties consent to termination.
2) One party acts, at any time, to terminate the contract subject to notifying the other party and continuing to hon-our contractual obligations for the duration of the notice period, which cannot be less than one month and cannot exceed three months
.3)One party acts unilaterally to terminate the contract, with-out complying with the legal conditions described above and without reason of non-compliance by the other party; in this case the terminating party bears any legal consequences of early termination.
4)The employer acts to terminate the contract of a worker who commits any of the violations that are described in Article 120 of the Federal Labour Law.
 Ashish Mehta is the founder and Managing Partner of Ashish Mehta & Associates. He is qualified to practise law in Dubai, the United Kingdom, Singapore and India. Full details of his firm on: www.amalawyers.com. Readers may e-mail their questions to: news@khaleejtimes.com or send them to Legal View, Khaleej Times, PO Box 11243, Dubai.