The new minimum wage law in Qatar has been published in the Official Gazette and will come into effect six months from now in March 2021.
A jail term of one year and a fine of up to QR 10,000 is the new penalty for non-compliance with the labor law regarding payment of minimum wage to workers, according to Fahad Al Dossary, Director of the Labor Inspection Department at the Ministry of Administrative Development, Labour and Social Affairs.
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With regard to violation of the conditions and specifications of workers’ accommodation, Al Dosari said the violators will now face imprisonment for a period of six months and a fine of not less than QR2,000 and not more than QR100,000. In the case of repeat violations, the penalties will be stiff, he added.
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On Sunday, August 30, 2020, Qatar made history by announcing two significant labour reforms – setting a minimum wage and removal of the No Objection Certificate (NOC). For sure you’ve heard the good news and we know you have questions. We gathered the questions we got from you, our readers, and compiled them below to help you!
Frequently asked questions about the new minimum wage law
1. How much is the new minimum wage?
Law No. 17 of 2020 on Setting the Minimum Wage for Workers and Domestic Workers sets the minimum wage for all private-sector workers, including domestic workers, at QAR 1,000 per month as a basic wage, as well as QR 500 per month allocated by the employer for accommodation expenses and QR 300 per month for food, unless the employer already provides adequate food and accommodation for the employee or domestic worker.
2. When will the law take effect?
The new law will come into force 6 months after its publication in the official gazette.
3. What is the Official Gazette?
According to Law No. 1 of 1961, an official government gazette shall be established, in which all legislation shall be published following the effective date of its coming into force. The purpose of the gazette shall be to inform the general public of the promulgation of new legislation.
You can view the Official Gazette through the website of the Ministry of Justice.
4. Does the minimum wage affect only domestic workers and laborers?
No, it applies to everyone in Qatar’s private sector regardless of nationality, industry, or job. The law is non-discriminatory. No other country in the region provides a non-discriminatory minimum wage for workers. This reform is the first of its kind in the Middle East. Minimum wages that have been implemented in other parts of the Middle East only apply to certain nationalities
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5. Will there be a new contract once the new law comes into effect?
The Ministry of Administrative Development, Labor and Social Affairs (MADLSA) will be working with employers to update all employment contracts where workers earn less than the amount established by the new law.
6. How is the new minimum wage beneficial to workers?
- The new minimum wage sets a country-wide basic wage for all workers.
- It will provide stability to Qatar’s labor market.
- Provide a financial guarantee to all workers.
7. If the employer provides food and accommodation, how much is the minimum wage?
The employee will be paid no less than QR 1,000 as a basic wage.
8. What if the employer provides accommodation but no food?
The employee will be paid no less than QR 1,300. QR 1,000 as a basic wage plus QR 300 food allowance.
9. What if the employer does not provide both food and accommodation?
The employee will be paid no less than QR 1,800. QR 1,000 as a basic wage plus QR 300 food allowance and QR 500 accommodation allowance.
10. How will it be enforced?
- Qatar’s State Cabinet has passed a draft law to increase the financial and non-financial penalties for companies violating labor laws, including in cases of delayed salary payments.
- MADLSA will be working with employers to update their employment contracts and ensure they are in line with the new legislation within the next six months.
- A Minimum Wage Committee will be formed and tasked with frequently studying and reviewing the minimum wage of employees and domestic workers.
- If a company currently has employees on its payroll system who earn less than the amount set out above, this must be amended in accordance with the new minimum wage. If the payroll system contains wages that are above these amounts, employers must not breach the terms of the contract by lowering the wages.
- Ministry is educating workers to make sure they understand their rights and know-how to access the help available to enforce those rights
11. Does this law also apply to those earning less than the set minimum wage?
Yes, the law will apply to those earning less than the new minimum wage once it comes into effect.
12. Does this law apply to those earning more than the minimum wage?
No, the law will not apply if the employee’s basic salary plus food and accommodation is higher than the set minimum wage.
13. Can an employer reduce an employee’s basic salary to the new minimum wage?
If the payroll system contains wages that are above these amounts, employers must not breach the terms of the contract by lowering the wages.
14. What can an employee do if they receive below the minimum wage after the new law comes into effect?
The employee can raise this issue with his/her employer or the MADLSA. You can file a complaint to MADLSA personally or by calling the hotline 16008 or email [email protected].
Click here for the Questions and Answers about the abolishment of NOC and Kafala!
Source: MADLSA