MALDIVES LAW AND PRACTICE Contributed by: Shaaheen Hameed, Hassan Maaz Shareef, Aminath Amathulla, Nazahath Ahmed, Isha Ali Raoof, Aifa Shareef, Noorul Hudha Ahmed and Mohamed Azmee, Premier Chambers LLP
4. Employment Law 4.1 Nature of Applicable Regulations Laws Employment Act The Employment Act of the Maldives (Law 2/2008) (the “Employment Act” as amended) is the law that determines the fundamental prin - ciples relating to employment in the Maldives as well as the rights and obligations of employ - ers and employees and all other employment- related matters. The Employment Act applies to both private and public sector employees. The Employment Act also states that it will not apply to any other persons exempted from it by any other statute. At the time of writing, the only par - ties exempted from it are the police and armed forces. Other related laws Other employment-related laws are as follows. • The Industrial Relations Act of the Maldives (Law 1/2024) (the “Industrial Relations Act”). This Act lays out a detailed framework relat - ing to the formation of trade unions and employer organisations participating in these trade unions as well as mediation between workers, employees and employers. It applies to both public and private sector employ - ees and employers, except for the parties exempted from the Act by any other statute and the police, armed forces and Presidential appointees. • The Occupational Safety and Health Act of the Maldives (Law 2/2024) (the “Occupational Safety and Health Act”). This Act provides for matters relating to safeguarding workplaces and workers and employee health and safety. The Act provides that except for the parties exempted from the Act by any other statute it is applicable to both public and private sec -
tor employees, employers and independent contractors. • The Prevention of Sexual Abuse and Harass - ment Act (Law 16/2014). This Act outlines what constitutes sexual abuse and harass - ment and the responsibilities of employers in preventing these acts in the workplace. Regulations There are regulations enacted in line with the Employment Act which have legal force. They provide more details regarding specific matters. The regulations currently in force are as follows. • General Regulation on Employment (Regula - tion 2021/R-63). This provides details relating to redundancy, working hours and overtime of employees as well as salary payment and wages. • Expatriate Employment Regulation (Regula - tion 2023/R-111). This provides details relat - ing to the employment of expatriates. • Employment Agency Regulation (Regulation 2022/R-63). This provides details relating to employment agencies. • Service Charge Regulation (Regulation 2021/R-41). This provides details relating to the collection of a service charge from businesses and the distribution of a service charge among employees. Precedents The precedents set by higher courts in the Mal - dives relating to employment cases are consid - ered the authority for deciding subsequent cas - es with similar facts. They also play a key role in determining the relevant employment relation - ship rules when the law or regulations are silent on the issue.
481 CHAMBERS.COM
Powered by FlippingBook