Contributed By D&C Legal Services
Qatari Labour Law does not classify workers under the categories of blue-collar and white-collar workers.
A worker under Qatari Labour Law is "any natural person who receives a remuneration or to whom a remuneration accrues in respect of services rendered under the employer’s management and control," and work “means any human effort, whether intellectual, technical or physical exerted in return for remuneration.”
Some categories of employees are excluded from the application of the Labour Law, such as:
However, the Council of Ministers holds the authority to extend Labour Law provisions to categories 3, 4, 5, and 6.
Generally blue and white-collar workers are divided as such:
"Blue-collar workers" is a term that typically describes a person working in a physically demanding job or manual labour. It is usually associated with industries such as construction, agriculture, etc. It can also describe skilled workers in a specific trade such as plumbers, electricians, carpenters, car mechanics. They are usually paid hourly wages and might work in shifts or fixed schedules.
In contrast, "white-collar workers" is a term that typically describes a person working in a job that requires mental labour. It is usually associated with industries such as banking, IT, law, etc. The term usually applies to people who work in offices and perform tasks that are mentally demanding. White-collar workers also often have fixed salaries and working hours.
Types of Employment Contracts
Indefinite contract
An indefinite contract does not have a fixed end date. It continues until terminated by either the employer or the employee, following the required notice period.
Definite contract
A definite or fixed-term contract specifies a predetermined duration for employment that does not exceed five years and is renewable for a similar period by the agreement of the two parties. Once the contract term ends, the employment relationship is deemed terminated unless it is renewed by mutual agreement, or unless the two parties continue to execute it without clear agreement. The contract is then considered renewed for an unlimited time. Both types of contract must be written, attested by the Labour Department, and include three copies: one for each party and one deposited with the Labour Department.
The contract should include:
It is important to note that the Labour Law sets the minimum standards that must be adhered to in employment contracts. However, employers and employees have the flexibility to negotiate terms that are more favourable, provided they do not contradict the minimum requirements set by the law.
The provisions of this law shall not apply to the following categories:
However, the Council of Ministers holds the authority to extend Labour Law provisions to categories 3, 4, 5, and 6.
Additionally, the Ministry of Labour has introduced E-contracts, with specific templates provided by the ministry and to which the employers must adhere.
The maximum working hours per week are 48, distributed over eight hours per day, throughout the year. However, during Ramadan, the weekly working hours are reduced to 36, with six hours per day. These hours exclude travel time between work and home. There must be intervals for prayer, rest, and meals, lasting from one to three hours, ensuring that workers do not exceed five consecutive hours of work.
Overtime
Flexible arrangements are possible, but the actual daily working hours should not exceed ten, unless needed for preventing a significant loss or dangerous situations. In such cases, additional work should be compensated with a rate not less than the basic wage plus a 25% increment. For work done between 9pm and 6am, an additional 50% is added to the basic wage, excluding for shift workers.
Workers are entitled to a paid weekly rest of at least 24 consecutive hours, usually on Fridays. If the worker is given tasks on the weekly rest day, they should receive compensation equivalent to the rest day's wage or the basic wage plus an increment of at least 150%. Additionally, employing a worker for two consecutive Fridays, except for shift workers, is not permitted.
Minimum Wage
The Minimum Wage Law, effective since March 2021, has introduced important changes. It sets a monthly basic wage of QAR1,000 and mandates decent accommodation, food, or allowances totalling QAR500 for housing and QAR300 for food.
Indemnity and end of service gratuity
Common employee benefits in Qatar are mainly indemnities and end of service gratuity. The indemnity, mandated by the Labour Law, is calculated based on basic salary.
The employer shall pay at date of termination the end of service gratuity in addition to any amounts due to the worker who spent one year or more in employment. This gratuity shall be agreed upon by the two parties, provided that it is not less than a three-week remuneration for every year of employment. The worker shall be entitled to gratuity for the fractions of the year in proportion to the duration of employment. The worker's employment shall be considered continuous if it is terminated in cases other than those stipulated in Article 61 of this law and is returned to work within two months of their termination. The last basic wage shall be taken as the basis of the calculation of the gratuity.
The employer shall be entitled to deduct from the service gratuity the amount owed to the employer by the worker.
Additionally, employers often provide further benefits such as health insurance, housing, and transportation allowances, which vary by position and employer.
Bonuses are not mandatory as per Qatari Labour Law; however, many employers offer bonuses to employees as forms of performance-based incentives. An example of such is that when employees attain a certain work-related target they may be offered a bonus equal to the basic salary or more.
Government protection
Government intervention in salaries and increases exists through the Wage Protection System (WPS), which ensures timely salary payments, transparency and solving wage disputes. Employers must register their employment contracts and salary details with the WPS, which monitors and enforces payment of wages. Increases in wages are generally determined through mutual agreement between the employer and employee. The government's role primarily revolves around enforcing wage protection and ensuring that employees receive their due salaries on time, rather than directly dictating wage increases or bonuses.
Any delay in payment may lead the employers to be subject to legal pursuit, arrest and to serious criminal trials.
Holidays and Holiday Payment
Annual leave
Annual leave is a primary aspect of employment benefits. Employees who have completed a continuous year of service are entitled to annual leave with remuneration. They are paid remuneration for the work performed up to the date of annual leave in addition to the due leave allowance prior to the date of annual leave. The remuneration amount is calculated based on the employees’ basic wage. If they work on a piecework basis, the calculation shall be based on their average remuneration for the three months preceding the date of leave. The duration of leave varies based on the length of employment: a minimum of three weeks for employees with less than five years of service and four weeks for employees with five years or more of service.
Sick leave
Sick leave is granted to employees with pay after three months of employment. The duration of sick leave is as follows: employees receive full pay for the first two weeks of the sick leave and half pay for the following four weeks. After 12 weeks of sick leave, if a licensed physician certifies that the employee cannot resume work, employment may be terminated.
Maternity leave
Maternity leave is provided for female employees who have completed a full year of service. It is for 50 days, including both prenatal and postnatal periods, with at least 35 days postnatal. Nursing mothers also have entitlements for nursing breaks, allowing one hour daily for nursing during the first year after maternity leave.
Special leave
Special leaves include those for public holidays and a provision for Muslim workers to perform pilgrimage duties. They are allowed special leave without remuneration for not more than 20 days once throughout their service period for the performance of pilgrimage. The employer is the one who determines the number of workers offered such leave every year, while prioritising workers who have spent the longest continuous period in service.
Also, the Labour Law mandates that employers do not terminate employment contracts or notify workers of termination during their leave periods.
Confidentiality
Regarding confidentiality and non-disparagement, there might be contractual clauses addressing these matters in the employment contract. Employees are required to perform their work diligently and responsibly, adhering to company policies. However, the extent of liability and any limitations may vary depending on the nature of the employment and specific contractual agreements. In general, the Labour Law states that workers shall undertake not to disclose the confidentiality of the employer even after the end of the contract.
Non-compete Clauses
Non-compete clauses in employment contracts are subject to specific requirements to ensure their validity and enforceability. The inclusion of such clauses must be clearly stipulated in the employment contract. They are applicable solely to prevent employees from engaging in competitive activities within the same economic sector as their former employer. Moreover, as per the Labour Law the maximum duration of the non-compete obligation is one year.
Enforceability of Non-competes
For a non-compete clause to be enforceable, it must not contradict Labour Law stipulations and be reasonable in terms of the geographical scope and the nature of the prohibited activities. Qatar's courts assess the reasonableness of such clauses on a case-by-case basis, ensuring that they do not unduly restrict the employee's ability to find alternative employment. It is essential that the employer demonstrates the clause's reasonableness and necessity to protect their legitimate business interests.
Nullity of Non-compete Clauses
It is important to note that non-compete clauses are rendered null in special cases, such as:
Furthermore, any non-compete condition stipulated in the Employment Contract shall be considered void if it included an undertaking from the worker to work for life with the employer, or abstain from carrying out for life any other craft or profession that could be practised after leaving the employment.
This nullity of non-compete clauses applies to all employment contracts, even the ones signed before the enforcement date of the law.
In general, non-solicitation clauses are often included in employment contracts to prevent employees from soliciting clients, customers, or other employees of their former employer for a specific duration following the termination of their employment.
Non-solicitation Clauses to Employees
With regard to employees, non-solicitation clauses restrict departing employees from actively recruiting former colleagues to join them in their new employment. Such clauses prevent unnecessary disruption within the company.
Non-solicitation Clauses to Customers
Similarly, non-solicitation clauses aimed at customers are designed to protect a company's client base. These clauses prohibit departing employees from contacting or soliciting the company's existing clients or customers with the intention of diverting business away from their former employer.
Enforceability of Non-solicitation Clauses
It is essential to note that the enforceability of non-solicitation clauses depends on various factors, including the specific terms outlined in the contract and their reasonableness. Qatar's courts assess the reasonableness of such clauses on a case-by-case basis, ensuring they do not unduly restrict employees’ rights. As such, non-solicitation clauses that are overly broad or unduly restrictive may not be upheld by the courts. For example, the general period for non-solicitation clauses is six to twelve months, with a maximum duration of one year.
Nullity of Non-solicitation Clauses
It is important to note that non-solicitation clauses are rendered null in special cases, such as:
This nullity of non-solicitation clauses applies on all employment contracts, even the ones signed before the enforcement date of the law.
Personal Data Privacy Law
Data privacy laws that apply to the employment sphere are established within the framework of the Personal Data Privacy Law. This law aims to safeguard the rights of individuals with regard to the processing of their personal data, including within the context of employment relationships.
Under this law, employers are required to obtain consent from employees before collecting, processing, or disclosing their personal data. This includes data such as employees' names, contact details, financial information, and any other data that can directly or indirectly identify an individual.
Employers are also obligated to ensure the security of the personal data they collect and process. This involves implementing appropriate technical and protective measures to prevent unauthorised access, loss, or misuse of employees' personal information.
The law extends its protection also to the information or data received by employees during the terms of their employment. This could mean data concerning potential clients, other employees, the employer, etc. The Data Privacy Law protects any kind of personal information or data, no matter who it belongs to.
Employees’ rights
Furthermore, the law grants employees certain rights, such as the right to access their personal data held by their employer, the right to rectify inaccurate data, and the right to request the deletion or erasure of their data under certain circumstances.
The Personal Data Privacy Law requires employers to provide employees with clear and concise information about how their personal data will be processed and for what purposes. Employers are also expected to inform employees about any data breaches that may compromise the security of their personal information.
In Qatar, the employment of foreign workers is subject to certain limitations and regulations:
Kafala system: It is a legal system where migrant workers need sponsorships from companies registered in Qatar, and in some minor case from Qatari National. The worker’s immigration status is legally bound to an individual employer or sponsor under this system. However, there have been numerous amendments and legal reforms to dismantle this system.
Recently Qatar introduced one significant change, which is the elimination of the No Objection Certificate (NOC) requirement for workers to change jobs. In the past, foreign workers were bound by this requirement, making them heavily reliant on employers and susceptible to potential exploitation. Under new legislations, workers can change jobs without needing an NOC from their current employer. Also, the ability for foreign workers to switch employers during their contract tenure has been introduced. Following a notice period of up to two months, employees now possess the right to change employers.
Quota system: There are some Labour Law clauses that establish the need and priority of Qatari nationals to foreigners in employment:
Recruitment Regulations: The recruitment of foreign workers must adhere to established regulations. Employers are required to use licensed recruitment agencies, and they may, after approval of the Labour Department, directly recruit workers from abroad.
Foreign Workers Approval
Non-Qatari workers must obtain work permits adhering to stipulated conditions, such as medical fitness, clean criminal records and the absence of qualified Qatari workers for the required role.
Work permit validity and cancellation
The validity of work permits for non-Qatari workers is tied to their residence period and cannot exceed five years unless approved by the department. The minister holds the authority to cancel work permits under specific circumstances, including unjustifiable cessation of employment or working with another employer.
Requirements for Employers
Reporting employment opportunities
Employers are obligated to notify the Department of Labour regarding available employment opportunities. This notification includes essential details such as job descriptions, remuneration packages, and the intended employment start date.
Submission of registration certificates
Within seven days of concluding contracts with foreign workers, employers are required to return the registration certificates of these workers to the department. These certificates are accompanied by comprehensive reports that detail the worker's job description, remuneration package, and commencement date of employment.
Direct recruitment from abroad
While employers are generally required to utilise the services of qualified or licensed agencies/persons to recruit workers from abroad, there are exceptions. Employers or their representatives can directly recruit workers from abroad if approved by the department.
Licensing for recruitment agencies
A crucial aspect of the registration process involves licensing for recruitment agencies. Individuals or entities wishing to recruit workers from abroad for third parties must obtain licences that are valid for two years and renewable.
It is important to note that while mobile work is becoming more prevalent, the same employment rights and protections apply to employees whether they are working on-site or remotely. These rights extend to :
Sabbatical Leave in Qatar
Sabbatical leave is a concept that provides employees with the opportunity to take extended periods of time off from work for various purposes, such as personal development, further education, or other pursuits. Sabbatical leaves however do not exist under Qatari Labour Law. Nevertheless, an employer or an organisation can decide to include them in their internal work policies.
Types of sabbatical leave in general
Some employers and organisations may choose to provide sabbatical leaves in their internal policies.
In general, the two types of sabbatical leave are:
General possible restrictions to sabbatical leave
Some restrictions that sabbatical leave can face are:
The landscape of work is evolving, there are a lot of “new work” concepts that have appeared in recent years that are gaining traction, such as:
Status and Role of Unions
As per Article 116 of the Labour Law, the privilege of forming or joining a labour union is conferred exclusively upon the Qatari workers, which grants authority to the Qatari workers to establish or become the members of a union to safeguard the rights and enables them to represent before the employer or any government authorities in the event of violation of their rights.
It is important to note that the law restricts the right to create or join a union solely for the Qatari workers, ie, non-Qatari workers do not possess any legal right under the law to form or join any union to safeguard their rights.
Role of Representative Bodies
According to Article 126 of the Labour Law, the representative bodies are established in a “joint committee” whose role is to study and discuss all the following matters related to the work in the establishment, and in particular:
Institution of Representative Bodies
Provision for the institution of representative bodies is mentioned under Article 124 of the Labour Law, in which each establishment employing 30 or more workers shall form a “joint committee” comprising representatives of the employer and workers. The number of joint committee members shall be four if the number of workers of the establishment is 200 or less, and shall be six if the workers’ number is more than 200 and less than 500, and it shall be eight if the number of the workers is 500 or more.
Furthermore, it should be noted that half of the members of the committee represent the employer, and the other half of them represent the workers. The employees of each facility shall select their representatives on the joint committee by direct election.
Collective bargaining agreements are the instruments where the employer and the representative bodies of the employees enter into an agreement to solve and discuss any conflict between the employee and the employer in relation with the employment contract.
Collective bargaining includes all negotiations between an employer, a representative body of the employees to set working conditions, terms of employment and the regulation of employer-worker relations. Its aim is to improve working conditions and productivity by reaching an agreement between the employee and the employer. Collective bargaining must be done in good faith with co-operative decision-making to develop trust and respect between parties.
Under Article 127 of the Labour Law, the employers and workers have granted the right to do collective negotiation, ie, collective bargaining, and to conclude joint agreements on all or any matters related to the work. However, the procedure and rules for such collective negotiation shall be based on the decision issued by the Minister of the Administrative Development, Labour and Social Affairs.
Motivation Requirement
Normally an employer gives a valid reason in the case of dismissing an employee from employment who is on a definite period or on fixed period. The reason shall be valid, justifiable and in accordance with the provisions of the Labour Law. However, there are grounds of dismissal on which employees have the right to get gratuity and are not entitled to gratuity. Under Article 51 of this law, the employee may terminate the employment contract before the expiration of its duration if it is a fixed-term contract, and without notifying the employer if it is an indefinite term contract, along with reserving an employee's full right to the end of service gratuity in any of the following cases:
Moreover, as per Article 61 of the Labour Law, an employer may dismiss the employee without notice and without payment of the end-of-service gratuity in the following instances:
Collective Redundancies
Collective redundancies means when an employee needs to terminate a significant number of employees due to business conditions such as downfall of the business, or recession. The law is silent on collective redundancies; ie, there are no specific provisions which protect the collective redundancies of the employees. However, under Article 52 (bis) of the Labour Law, the employer shall, before terminating the employment contract for reasons of an economic or structural nature or other reasons not related to the employment contract, notify the ministry within 15 days from the date of termination, and shall submit a written statement of the reasons for termination, the number of workers likely to be affected by the termination, their categories, the period during which the termination is intended to be implemented, and other relevant information requested by the ministry.
The Ministry of Labour (MoL) approval is required for collective redundancies in Qatar.
To obtain MoL approval for collective redundancies, an employer must submit a written application to the MoL that includes necessary information, such as:
The MoL will review the application and may request additional information from the employer. If the MoL approves the application, the employer will be able to proceed with the redundancies.
Requirement of Notice Period
There are a number of provisions under the Labour Law which require notice:
Moreover, it is important to note that, if the employment contract is terminated without observing these periods, the one who terminates the contract shall pay to the other party a compensation equal to the worker’s basic wage for the notice period or the remaining period of it.
Requirement of Severance
As per Article 53 and 54 of the Labour Law, the Employer shall, upon the expiration of the employment contract, give the employee upon their request and without any charges:
External Advice and Authorisation
External advice and authorisation are required as per the Article 52 of the Labour Law. The employer shall, before terminating the employment contract for reasons of an economic or structural nature or other reasons not related to the employment contract, notify the ministry before 15 days from the date of termination, and shall submit a written statement of the reasons for termination, the number of workers likely to be affected by the termination, their categories, the period during which the termination is intended to be implemented, and other relevant information requested by the ministry.
Summary dismissal/dismissal for serious cause is when the employer terminates the employment contract of the employee due to any act of misconduct.
As per Article 61 of the Labour Law, during the employment, if the employee commits any misconduct, including but not limited to acts like assuming a false identity, submitting false documents, causing significant financial loss to the employer, disclosing confidential information, being intoxicated during working hours, being absence from work without notice, and other severe breaches, the employer has the right to dismissal the employee.
Necessary Formalities
Formalities to be followed for summary dismissal/dismissal for serious cause of the employee are mentioned under Article 62 and Article 63 of the Labour Law, which include:
Consequences
Consequences of summary dismissal/dismissal for serious causes include:
As per the Labour Law, there are no specific provisions which deal with the termination agreement in Qatar. However, if either party decides to make a termination agreement, such agreement shall be as per the provision of laws and Law no. 22 of 2004 of the Civil Code of Qatar, which shall be considered an amicable termination. While making any termination agreement, there should be no prejudice of any provision of the Labour Law or the Civil Code of Qatar and the employee should not be submitted to undue pressure or coercion from the employer. Furthermore, it is important to note that such termination agreement does not contain any provisions which are against the Labour Law and the Civil Code. Also, such agreement shall not waive an employee's right to file a complaint with the Ministry of Labour or to take legal action against the employer.
The law is silent on the provisions which highlight the specific protection against dismissal for particular categories of employee. The law exempted the applicability of the law for the mentioned categories under Article 3 of the Labour Law. There are no specific categories of employees who are protected against dismissal. However, under Article 85 of the Labour Law, an employee is protected against dismissal if they are on leave as per the Labour Law. Moreover, in relation to chapter 9 of the Labour Law, women are protected from dismissal if such dismissal is related to their marriage or on the grounds of maternity leave.
An employee representative (ie, union or employee committee) plays an important role when it comes to the protection of the rights of the employee. However, only the Qatari employees are eligible to form or join such committee or union.
Grounds for Wrongful Dismissal Claim
The law is silent on the grounds of wrongful dismissal. However, the general rule for the defined employment agreement is that employees can raise a claim on the following grounds:
According to Article 64 of the Labour Law, if the committee finds out that the dismissal is unfair or contravenes the provisions of this law, a decision shall result in the following possible consequences:
The Labour Law does not provide any provisions for discrimination. However, in general circumstances, the Qatari constitution and Civil Code prohibit any kind of discrimination. Such discrimination includes, but is not limited to:
It is important to note that within the Labour Law there is some permitted discrimination between Qatari workers and non-Qatari workers.
In general circumstances, if an employee believes that there is any kind of discrimination, they can file a complaint. The burden of proof shall be on the employee who raised the complaint.
If such discrimination happens with the employee, the court may entitle the employee (for example) to the following relief and compensation:
The Ministry of Labour’s online platform is playing a very important role in lodging the complaint to the competent authority. In 2021 an online complaint platform was established which helps the individual worker to file a complaint anonymously for the violation of rights of the workers. This step plays an important role of which previous workers were not aware, who feared that their employer might file a complaint against them.
However, this development also makes it very easy for workers or their representatives to file complaints against the violation of their rights, which may bring its own complications.
Specialised Employment Forums
The Labour Law provides provisions for the settlement of any disputes between the employee and the employer. According to Article 115 bis of the Law, any disputes which arise between the employee and the employer shall be presented before the Department of Labour Relations or the National Human Resources Development Department of the Ministry and solved amicably. If such dispute is not resolved amicably in the specified time limit, the parties can represent their dispute in front of the Labour Dispute Settlement Committee. The Labour Dispute Settlement Committee shall follow the provisions of the Civil and Commercial Procedures Law of Qatar during the process. If either party is not satisfied with the Labour Dispute Settlement Committee, they can file the appeal before the court of appeal.
In chapter 14 of the Labour Law, provisions for solving collective disputes are established, stipulating that any conflict arising between employers and their workers can be filed as a dispute collectively to the department concerned. However, if the decision of the department is not satisfactory, the parties have the right to go for alternate dispute resolution, including mediation, conciliation and arbitration. The Law provides that the decision of the arbitration committee shall be final and binding on the parties.
Arbitration in Labour Law
Chapter 14 of the Labour Law provides for the settlement of collective disputes arising between the employer and the employees. However, it is important to note that arbitration is applicable for the collective disputes only. Collective disputes can be solved by the process of arbitration. If the party is not satisfied with the decision of the mediation or conciliation committee, the party can entreat the arbitration committee to solve the disputes.
If any dispute is presented before the arbitration committee, the arbitration committee under Article 132 of this law shall judge and use the pre-disputed arbitration agreement, depending upon the circumstances and nature of the dispute, and deliver the final award on a majority basis.
Court Fees or Attorney’s Fees
According to Article 10 of the Labour Law, employees are exempt from paying any judicial fees to the court. However, the Labour Law is silent on awarding attorney’s fees and other costs; therefore such shall be at the discretion of the court or the labour disputes committee, who will award payment of costs.
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