01/09/2020 Changes in the labour market in Qatar: Dismantling the kafala system and introducing a minimum wage mark new era for Qatar lab… marks the beginning of a new era for the Qatari labour market. Additional legislation, Law No. 17 of 2020, adopted today also establishes a minimum wage of 1,000 Qatari riyals (QAR) which will enter into force six months after the law’s publication in the Official Gazette. The new minimum wage will apply to all workers, of all nationalities and in all sectors, including domestic workers. In addition to the basic minimum wage, employers must ensure that workers have decent accommodation and food. The legislation also stipulates that employers pay allowances of at least QAR 300 and QAR 500 to cover costs of food and housing respectively, if they do not provide workers with these directly – a move that will help ensure decent living standards for workers. The adoption of these laws supports the transition towards a more skilled and productive workforce, which is a key goal in Qatar’s National Vision 2030 . It will also help promote economic recovery from the fallout of the COVID-19 pandemic , as well as the growth of the economy over the longer term. “ By introducing these significant changes, Qatar has delivered on a commitment. One that will give workers more freedom and protection, and employers more choice. We are witnessing what can be achieved when governments, workers and employers work together with the ILO to promote decent work for all" Guy Ryder, ILO Director-General In addition to removing the need to obtain an NOC, the adoption of Law No. 19 of 2020 provides greater clarity regarding termination of employment. To terminate an employment contract and change jobs, workers must provide at least one month’s written notice if they have worked with the employer for two years or less, or two months’ notice if they have worked with the employer for over two years. Minister of Administrative Development, Labour & Social Affairs Yousuf Mohamed Al Othman Fakhroo said, “The State of Qatar is committed to creating a modern and dynamic labour market. In line with Qatar Vision 2030, these new laws mark a major milestone in this journey and will benefit workers, employers and the nation alike.” Increased labour mobility is expected to provide numerous benefits to Qatar as it transitions towards a knowledge-based economy. Employers will be able to hire experienced staff locally instead of from overseas, thus greatly reducing recruitment costs. Enhanced mobility will also generate more job opportunities and increase job satisfaction for workers. The introduction of a non-discriminatory minimum wage should directly affect around 400,000 workers in the private sector, and, through higher remittances, will improve the lives of millions of family members in the workers’ countries of origin. To ensure compliance with the minimum wage, the government is enhancing detection of violations, enacting swifter penalties and https://www.ilo.org/beirut/projects/qatar-office/WCMS_754391/lang--en/index.htm#:~:text=Following the adoption on 30,(NOC) from their employer 2/3

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