US embassy cable - 05ABUDHABI1874

C O N F I D E N T I A L SECTION 01 OF 02 ABU DHABI 001874 
 
SIPDIS 
 
STATE PASS USTR FOR CLATANOFF, ROSENBERG 
LABOR FOR LEVINE, SHEA 
STATE FOR NEA/ARPI, DRL/IL 
 
E.O. 12958: DECL: 04/27/2015 
TAGS: ELAB, ETRD, PHUM, PREL, TC, Labor 
SUBJECT: ILO VISITS UAE, WILL REVIEW DRAFT LABOR LAWS 
 
Classified By: (U) Classified by Ambassador Michele J. Sison, reason 1. 
4 (b) and (d). 
 
 1. (C) Summary:  During his April 23-25 visit, the UAE 
Ministry of Labor presented ILO regional Middle East director 
Dr. Taleb Al Rafai with its draft revised labor law and draft 
labor union law for formal ILO review and comment in bringing 
UAE labor laws in line with international standards. 
Although the UAEG is committed to changing the labor laws, 
Rafai noted signs of interagency disagreement, particularly 
with the Ministry of Justice.  The UAEG remains undecided 
about the structure of the labor law, presenting Rafai with 
at least two different versions in a three day visit.  The 
ILO has challenged the UAEG to consider extending the reach 
of its proposed union law to consider both foreign workers 
and Emiratis in the public sector.  Labor U/S Khazraji noted 
the Ministry of Labor will be discussing the laws with the 
ILO again in June on the sidelines of the annual ILO 
convention in Geneva and will submit the laws to the Ministry 
of Justice after this meeting. End Summary. 
 
2.  (C) Dr. Taleb Al Rafai, head of the International Labor 
Organization,s (ILO,s) Middle East regional office based in 
Beirut, visited the United Arab Emirates April 23-25 at the 
Minister of Labor,s invitation.  During his visit, the UAEG 
formally presented him the draft labor law and the labor 
union law to review and comment upon, Rafai told Econoff. 
The ILO will translate the laws into English and plans to 
return comments to the Ministry of Labor within a month.  At 
that time, Rafai said the ILO will share its comments with 
the USG and other interested parties.   Rafai noted that he 
is encouraging the UAE to combine the two laws into one, and 
include the labor unions as a chapter in the overall labor 
law.  Labor U/S Dr. Khalid Al Khazraji confirmed to EconChief 
that the ILO has received the laws and will review them.  The 
Ministry of Labor also expressed interest in receiving ILO 
technical assistance on bringing its laws into compliance 
with international norms.  (Note:  Rafai will be in Geneva at 
the end of May, and is hoping to have made substantial 
progress on reviewing the laws by that time.  End note.) 
 
3.  (C) Al Rafai is convinced that the UAEG is committed to 
changing its current labor code, but noted there remain 
interagency differences of opinion.  Rafai had initially 
assumed that the Ministry of Interior was blocking changes to 
the laws, but after his visit, he now sees the Ministry of 
Justice as the real problem.  He noted that Interior was 
willing to meet with him (at the U/S level), but that 
Ministry of Justice did not participate in any of his 
meetings.  He also noted that he saw multiple versions of the 
draft labor law in his three-day visit.  He said that the 
Ministry of Justice had added language to the union law that 
would permit the Minister of Labor to dissolve labor unions 
at his discretion.  Labor had removed this clause, knowing it 
would be unacceptable to the ILO, but Rafai suggested it 
might be tactically better if Labor allowed it to stand ) 
which would prompt the ILO to object formally to this point. 
Rafai,s idea was that the ILO complaint would strengthen the 
Ministry of Labor,s position. 
 
4.  (C) Rafai also expressed concern about whether the other 
emirates would buy-in to labor code changes.  He noted that 
if the other emirates do not fully agree with the changes, 
then the written law would not be fully implemented.  The 
internal discussion within the UAEG is likely to take some 
time, and Rafai does not see the UAEG moving forward with 
either the revised labor law or the union law until the end 
of summer at the earliest.  U/S Khazraji confirmed in press 
reports that the UAE could expect to have unions &soon,8 
but not before the ILO annual world conference in June.  He 
stated that the Ministry of Labor would discuss the laws on 
the sidelines of the ILO conference in Geneva, and afterwards 
the Ministry of Labor will submit the laws to the Ministry of 
Justice for technical review. 
 
5.  (C) The UAEG has resisted sharing its draft laws, both 
internally and externally.  Rafai met with local Chambers of 
Commerce and professional associations in Abu Dhabi, and 
noted that no group had seen the laws yet. He noted that 
greater employer and worker participation and transparency is 
needed to ensure a comprehensive law with buy-in from all 
stake holders.  He also noted the UAEG is nervous about the 
ILO sharing its comments with other parties, although the ILO 
clearly told the UAEG that it is in their international 
mandate to do so. 
 
6.  (C) Although he hadn,t yet read the draft labor law, 
Rafai was certain that the draft union law does not provide 
labor rights to expatriate workers.  The Ministry of Labor 
remained adamant about protecting the national population. 
Even professional associations, which permit some forms of 
foreign participation in the associations, advocate limiting 
foreigners from holding full rights or executive authorities 
in unions.  Privately and in press reports, Rafai noted that 
the UAEG should ensure equality between the national and 
expatriate labor force in the country.  Rafai encouraged the 
Ministry of Labor to consider extending union rights to the 
public sector, as well as the private, particularly since the 
majority of the UAE national workforce is in the government 
sector.  He noted that all workers (defined as those who earn 
a fixed salary) should be entitled to unions.  He felt that 
the Ministry would consider this suggestion to include the 
public sector. 
 
7.  (C) Comment:  The Ministry of Labor,s invitation for the 
ILO to review the draft laws is a sign the UAEG is making a 
serious attempt to develop a labor law that meets 
international standards.  It is clear, however, that the UAEG 
still needs to work internally to build full support for 
these changes.  The Emiratis clearly feel both internal and 
external pressures to move forward, but will need time to 
build consensus and ensure adequate international standards 
are met in the revised laws.  The UAEG is likely to wait 
until the conclusion of the other chapters of the FTA to 
enact this legislation.  End comment. 
SISON