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Characteristics Employment Contract Lawyer Dubai Lawyers Abu Dhabi In accordance with the UAE Federal Law No. 5 of 1980 and its amendments The employment contract is considered a nominate contract in the Federal Law of the Civil Transactions the provisions of which are regulated by articles WhatsApp: +971555570005
CHARACTERISTICS OF EMPLOYMENT CONTRACT
In accordance with the UAE Federal Law No. 5 of 1980 and its amendments
The employment contract is considered a nominate contract in the Federal Law of the Civil Transactions the provisions of which are regulated by articles 897-923 and it identified the employment contract as follows; “An employment contract is a contract whereby one of its parties undertakes to perform some work to the benefit of the other party under his supervision and administration, in consideration of a salary which other party undertakes to pay.
If, however, the wage earner is not prohibited to work for another employer, or if he is not tied up in his work by a specific time to the benefit of the employer, the employment contract does not apply to him and he is entitled to his remuneration in accordance with the agreement’’.
The characteristics of the employment contract are as follows;
1. The Employment Contract is a Consensual Contract:
The consensual contract is the contract that is held as soon as the will of the contractors meets in any way and when the intention of the parties is to establish the contract, in addition to the formal contract which is not legally concluded unless the will is expressed in the context prescribed by law. The formality is a requirement for its conclusion. Accordingly the formal contract is considered void it lacks of the formality which is one of the required conditions for its conclusion. As states in Article 210/01 of the said law: “The void contract is the illicit one, by origin and description, due to a defect in one of its constitutive elements, its object, purpose or the form imposed by law for its valid formation. This contract shall have no effect and cannot be ratified.”
Recently the Emirate Legislator did not require the formality for the employment contract for the benefit of the worker, as it may cause difficulties and narrow the will in contracting which may not be commensurate with the reality of the business and the preservation of workers’ rights towards the employer, as states in Article 39/01 of the U.A.E Federal Law No. 8 of 1980 : “An employment contract is considered a contract for an unlimited period effective from the day of its commencement in any of the following cases: 1.If it is not concluded in writing . The said Article explicitly stated that the employment contract is valid even if it is not written, and as law considered the interest of the worker on the other hand by facilitating the proof of the contract as states in Article 35 of the said law” Subject to the provisions of Article 2, the employment contract shall be made in duplicate, on copy to be given to the employee and the other to the employer. In absence of a written contract all of its conditions may be proved by all legal means of evidence”
The second part of the text facilitated the proof of the contract if it was unwritten by stipulating that the employment contract and its conditions may be proved by all means of proof without taking into consideration the limitation of the amount claimed, which means if it exceeded more than five thousand dirhams.
2. The Employment Contract is a Binding Contract for both Parties:
The binding contract of the two parties is the contract for which the parties have corresponding obligations towards each other’s, and the general provisions of the binding contract are based on provisions of the non-performance and the termination for the non-performance .
Describing the employment contract as a binding contract for the parties reflects the fact that the employment contract establishes obligations for the worker such as performing the work agreed upon, in return the employer shall pay the remuneration to the worker.
3. The Employment Contract is a Compensatory Contract:
The compensatory contract means that each party shall gives in exchange for what he takes, which means that the compensatory contract is binding on each party. However not all the binding contracts are compensatory Contracts, such as the insurance contract it is a binding contract however it is not a compensatory contract.
Therefore, employment contract should take into consideration compensatory and fees description to the worker, otherwise similar fees should be paid, which is a mandatory compensation of contract.
Accordingly, denotation description is invalid in contract, whereas donation require ownership without compensation, which disagree with employment contracts since employee work, is a paid service.
4. The Employment Contract Shall Apply to Work;
The purpose of determining this characteristic in the employment contract is the subject of the worker’s obligation, which is specifically a work, other than the subject of the employer’s obligation to provide the remuneration. It may be in cash and may not be in cash.
This characteristic of employment contract refer to employment commitment, which is a mere work that is paid in cash or other means.
A work is what the worker performs under the supervision of the employer in exchange for remuneration as identified in Article No. 1 of the said law “Any human effort, be it intellectual, technical or physical, extended against a remuneration whether the said work is permanent or temporary”
5. The Employment Contract is a Term/duration Contract:
The employment contract is a term contract, as the duration is an essential element, where the employment contracts are divided into two types 1) a fixed term contract 2) undetermined contract, where the performance of the worker for his work is usually linked to the duration of work, and that the remuneration is linked to the determination of a period of time as a monthly wage or monthly salary.
One of the most visible aspects of the fixed term contract is that the annulment occurs as of its date, not retrospectively.
6. The Employment Contract is A Personal Contract:
It means that the personality of the work is considered in the conclusion of the contract and in implementing his obligation, which means that the employer concludes the employment contract with the worker who will perform the work intended as required, based on his scientific and practical experience and his ability to perform such work faithfully
In the event that the establishment is transferred to a private successor or a successor or even in the case of the merger of two enterprises that does not allow the worker to refrain from executing his contractual obligations, claiming that he contracted with a certain worker.
One of the most invisible aspects of the personal characterization in the contract is that the performance of the obligations shall be made by the same worker without the contract being accepted by a delegated in the performance of these obligations. For example: A faculty member contracted with the University of Al- Sharjah cannot legally delegate another person to perform his contractual obligations, such as the lecturing of students, since his personality is considered in the contract which concluded with the university, and if the worker died, the contract is terminated because his personality is considered in the contract and cannot be replaced, as states in Article No. 1 of the Article No. 905 of the civil transactions law “The employee must Perform in person the work and use, in so doing, the care of an ordinary man”.
In light of the aforementioned, we described the most important characteristics of the employment contract as states by the legislator, where these characteristics distinguish this contract from the other contracts.