# Probable Visa Mess



## expat4life (Jan 12, 2011)

The scenario...

Company 1 is a UK registered LLP
Company 2 is a RAK registered FZ LLC and separate legal entity from Company 1 
Company 3 is a UAE national company


Company 2 was comprised of most of the partners from Company 1, however, it is now solely owned by a former partner of Company 1.

The employee is hired into Company 1 under a UK based employment contract.
The employee has their UAE residence visa from Company 2, but no employment contract.
The employee works for Company 3 and also has an employment contract there but no visa and no insurance.
The employees are paid directly by Company 3.

Company number 1 is a consultancy which sold services to Company 3. As a means to get people onboard and establish a local entity Company 2 was formed and visas distributed. Company 1 then transferred the staff to Company 3 as part of a transfer of undertakings and financial agreement. P45's were issued by Company 1.

Certain staff now wish to leave the sponsorship of Company 2 and employment of Company 3 but remain working in the UAE with another Company. These staff have been in the UAE one year or less.

I suspect there are multiple violations of labour and immigration law in play, what are these?

From which entity do they require a NOC so they can move to a new employer under a standard visa and employment contract arrangement?
What is the personal exposure the individual has for working in the UAE under such an arrangement?
What is the corporate exposure for Companies 1 and 3 under such an arrangement?

Messy to be sure and I'm certain the best course of action is for the affected employees to seek guidance from a solicitor. 

What say you?


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## Nightshadow (Sep 21, 2010)

Holy crap what a mess... have you consulted the UAE government offices or whatever about this? I had to read it twice ... and still a bit confusing. Im quite new here but Id say it sounds like a lot of illegal stuff going on there. 

Company 2 provided the visa but Company 1 hired you and Company 3 pays you? What in the hell?? Definitely something shady going on. I truly wish I had advice for you. Best of luck man!


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## miami_hurricanes (Sep 23, 2010)

<<What is the corporate exposure for Companies 1 and 3 under such an arrangement?>>

None for company one as it's a UK entity. I presume you meant what are the ramifications for two and three since they are UAE entities.


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## RPG (Jul 16, 2008)

How did company 2 issue visas without employment contracts, surely this cant happen?

Surely also, Company 3 and all its employers are acting and working illigally as they dont have visas


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## marc (Mar 10, 2008)

LOL, good luck.


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## Jynxgirl (Nov 27, 2009)

If the visas have been issued from a free zone, they are able to move to another free zone company or outside the free zone with no issue, I do believe. Contract may be under 3 but no visa, no employee working for them. They shoudl not come forward to put a ban as they never 'hired' the person.


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## expat4life (Jan 12, 2011)

miami_hurricanes said:


> <<What is the corporate exposure for Companies 1 and 3 under such an arrangement?>>
> 
> None for company one as it's a UK entity. I presume you meant what are the ramifications for two and three since they are UAE entities.



Sorry meant 2 and 3 as you state


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## expat4life (Jan 12, 2011)

RPG said:


> How did company 2 issue visas without employment contracts, surely this cant happen?
> 
> Surely also, Company 3 and all its employers are acting and working illigally as they dont have visas


Their UK contracts were shown to obtain the visas


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## expat4life (Jan 12, 2011)

Jynxgirl said:


> If the visas have been issued from a free zone, they are able to move to another free zone company or outside the free zone with no issue, I do believe. Contract may be under 3 but no visa, no employee working for them. They shoudl not come forward to put a ban as they never 'hired' the person.


So a holder of an FZ visa can move to another FZ or national company without a NOC, ban, etc? They just resign and take up new employement? Nothing is that easy here.


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## momo007 (Jan 12, 2011)

Form company 4 and manage all your 3 companies under one umbrella


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## Jynxgirl (Nov 27, 2009)

expat4life said:


> So a holder of an FZ visa can move to another FZ or national company without a NOC, ban, etc? They just resign and take up new employement? Nothing is that easy here.


Here... to put your mind at ease  Elphaba has info in this thread. 

http://www.expatforum.com/expats/du...2023-changing-employers-within-free-zone.html


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## PolarBear (Jul 12, 2010)

*Job changes*



Jynxgirl said:


> Here... to put your mind at ease  Elphaba has info in this thread.
> 
> http://www.expatforum.com/expats/du...2023-changing-employers-within-free-zone.html


That assumes you are changing jobs within the same Free Zone though, right? I came across this article in Time Out: Dubai visa rules explained - The Knowledge Features - TimeOutDubai.com

It seems to indicate that companies 2 and 3 are liable for penalties, whereas the employees risk a ban. Not exactly clear though; I think the OP was right about a solicitor's advice being needed


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## Canuck_Sens (Nov 16, 2010)

My understanding is that there are breaches and if I were you I would seek legal advice.

and the mess is all around, how come he got the visa from the LLC (separate entity) with no employment contract? I would imagine that's impossible it is a LLC!!

and I don't think the employee could even be working for that UAE company.

and the guys responsible for issuing the visa overlooked the papers. I wonder how the employee opened a bank account? the visa shows he works for a place and gets the salary from somewhere else?


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## Jynxgirl (Nov 27, 2009)

PolarBear said:


> That assumes you are changing jobs within the same Free Zone though, right? I came across this article in Time Out: Dubai visa rules explained - The Knowledge Features - TimeOutDubai.com
> 
> It seems to indicate that companies 2 and 3 are liable for penalties, whereas the employees risk a ban. Not exactly clear though; I think the OP was right about a solicitor's advice being needed


Is someone going to make a stink about getting paid from the 'wrong' company? If not, then there will not be an issue. If the employees are trying to get the companies in trouble, then they probly could as they are not on the up and up as you can already tell from your own explanation/run around. 

There will be no ban if the person is moving from one visa to the other. The company will just have to cancel the visa (the company the visa is under). Honestly, if no one makes a problem, there will not be a problem. The company isnt going to not cancel it most likely as they know that if someone was to look at the situation, they 'might' get in trouble. The next question, does a local own the companies in the free zone or the the uae company? Cuz then rules get bent quite a bit.... for them.


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## expat4life (Jan 12, 2011)

Jynxgirl said:


> Is someone going to make a stink about getting paid from the 'wrong' company? If not, then there will not be an issue. If the employees are trying to get the companies in trouble, then they probly could as they are not on the up and up as you can already tell from your own explanation/run around.
> 
> There will be no ban if the person is moving from one visa to the other. The company will just have to cancel the visa (the company the visa is under). Honestly, if no one makes a problem, there will not be a problem. The company isnt going to not cancel it most likely as they know that if someone was to look at the situation, they 'might' get in trouble. The next question, does a local own the companies in the free zone or the the uae company? Cuz then rules get bent quite a bit.... for them.



A local does not own company 2 the FZ. A local owns 3, it is UAE national company. No one is trying to get anyone into trouble rather leave the sponsorship of 2 and employment of 3 and take up employment with another UAE national company (who will hold the visa properly) without a ban or hassle. So leaving an FZ to go to a UAE company is at the heart of the matter when the FZ holds the visa and may not issue a NOC out of spite.


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## Jynxgirl (Nov 27, 2009)

expat4life said:


> A local does not own company 2 the FZ. A local owns 3, it is UAE national company. No one is trying to get anyone into trouble rather leave the sponsorship of 2 and employment of 3 and take up employment with another UAE national company (who will hold the visa properly) without a ban or hassle. So leaving an FZ to go to a UAE company is at the heart of the matter when the FZ holds the visa and may not issue a NOC out of spite.


The person is NOT employed by three. Is employed by a freezone company. They can not issue a ban for the person. They know this and will not argue it as they can and would get in trouble if they were to try and make a stink as they were employeeing someone under someone elses sponsorship. They would get a 50,000 dirham fine. Local 3 could try to get the person not issued a visa... if they have alot of wasta. Most likely though, wont want to get themselves in trouble and have anyone snooping around their business.

I am not understanding why you are not understanding this ???? 

The company who issues the visa, is the company that can put a ban.


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