Abu Dhabi: The Ministry of Human Resources and Emiratisation (MoHRE) has outlined the specific conditions under which domestic worker recruitment offices in the UAE are required to issue full or partial refunds to employers.
MoHRE announced on its social media accounts that recruitment offices must provide a full refund of recruitment fees within the first month of employment if the domestic worker is medically unfit, the contract is terminated by the employer due to non-fulfilment of conditions agreed upon in the preliminary agreement or final contract, the worker demonstrates poor personal conduct or professional incompetence during the probation period. Also, if the worker terminates the contract or leaves work for reasons not justified under Article 10 of the Executive Regulations of Federal Decree-Law No. 9 of 2022.
Partial refund
Employer should get partial refund if termination of a worker occurs after the first month but still within the probation period, a partial refund is mandated.
The amount is prorated based on the remaining contract duration using this formula:
Refund Amount = (Total Recruitment Cost ÷ Contract Duration in Months) × Remaining Months
For example, if the recruitment cost is Dh12,000 for a 24-month contract and the worker departs after six months, the employer would receive Dh9,000.
Even after the probation period, partial refunds still apply if the domestic worker leaves the job for reasons not covered by Article 10.
Refund with two weeks
Recruitment agencies are required to issue refunds within 14 days of the worker being returned or reported absent. Additionally, if a domestic worker is found medically unfit within six months, the recruitment office must also reimburse any related government service fees.
If the contract is terminated by the employer for reasons not related to the worker’s conduct or performance, the employer is responsible for providing the domestic worker with a return ticket and settling any unpaid wages.
Three key conditions for refunds:
- Worker shows professional incompetence or inappropriate behaviour during probation.
- Worker unlawfully terminates the contract or absconds.
- Employer ends the contract due to the agency’s failure to meet agreed terms.
