21/06/2021
UAE's construction workforce gets caught up job losses, unpaid salary and gratuity | Property – Gulf News
“It is necessary to proceed and take proper legal procedures without waiting for the appointment of a liquidator
and announcing his name for fear of wasting time without benefiting. In all cases, they must file a complaint and
demand the company for the sums owed through the judicial channels.”
Elsamra emphasises that affected workers should not waste any time and state their claims at the Ministry of
Labour. This way, they also ensure that their right to be paid is “non-time barred from prosecution”.
Workers must go to the Ministry of Labour to file a temporary
labour complaint. The matter will end once a liquidator is appointed,
as all workers at this time must go and notify the appointed
liquidator of their stalled dues’’
- Hesham Elsamra of Abdulla Alawadi & Associates on options available for those workers when their company is in liquidation.
Liquidator takes control
In Arabtec’s case, the court will appoint a liquidator who will then work through the process of winding down the
company. “After appointing the liquidator, he prepares a list of all the creditors, including the company's
employees,” said Elsamra. “They are included among the company's creditors. According to their amounts, the
sums obtained from the liquidation are distributed by dividing the liabilities in order of debts and creditors
according to their amounts.
“In all cases, the workers are ‘senior creditors’ and have the same privileges as banks.”
For all those on the Arabtec payroll, that will indeed be some relief. But those at other construction businesses
facing various degrees of cashflow issues, relief will come only when new project activity picks up. And no one has
a clear line on when that will happen.
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Hesham El Samra of Abdulla Alawadi & Associates: "Article 6 of the Labour Law regulates the entire financial rights of the worker up VIEW OF
to a maximum of one year from the date of their maturity..."
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