Lockton Global
Compliance News

Year: 2023

UAE

The United Arab Emirates Introduces a New Option for End of Service Benefits

The UAE cabinet recently introduced an alternative way for private sector employers to deliver the End of Service Gratuity (EOSG) to their expatriate (non-Emirati) employees in the UAE and its free zones. The new government-sanctioned option involves externally funding a gratuity savings plan through monthly contributions that would replace the lump-sum payment calculation under the existing EOSG system.

Implementation details of the new voluntary EOSG are yet to be released by the UAE government.

Israel

Israel’s Emergency Workplace Measures

The government of Israel issued a countrywide emergency order subsequent to the attack on 7 October 2023, imposing “special conditions” that will remain in effect until further notice.

Mauritius Introduces Work-Life Balance Rights

The government of Mauritius recently passed its Budget 2023–2024, which introduces several employment related provisions, including a four-day workweek option, miscarriage leave, and an onsite childcare requirement for employers with more than 250 employees. The law also provides enhancements to existing leaves, including paternity leave.

Key employment measures of the Budget enacted by The Finance (Miscellaneous Provisions) Act 2023 come into effect on 1 July 2023.

France

France Expands Paid Leave Entitlement

The labor division of the French High Court (Cour de Cassation) issued decisions enabling employees who are absent from work due to sick leave to accrue paid time off during their leave. The revised method of paid leave accrual came into immediate effect on 13 September 2023 for all companies.

Luxembourg

Luxembourg Expands Family Leave Entitlements

The government of Luxembourg passed two laws transposing the European Union (EU) Directive 2019/1158 on work-life balance for parents and carers into local law. The laws entered into effect on 21 and 22 August 2023 and introduced paid carers’ leave and paid force majeure leave, as well as an extension to the existing paternity leave entitlement.

Oman

Oman Expands Parental Leave Entitlements and Introduces an Omanization Requirement

The Omani government recently issued Royal Decree No.53/2023 (the “New Law”), which introduces a seven-day paternity leave, a one-year unpaid childcare leave for female employees, and increases current maternity, sick, and bereavement leaves. The New Law also introduces an Omanization requirement, mandating that companies employ a certain number of Omani nationals based on their local headcount.
The New Law entered into effect on 26 July 2023, and businesses must comply by 26 January 2024 (six months from the enactment of the New Law). Companies will receive additional guidance via the implementing regulations expected to be released in the coming months.

Israel

Israel Introduces a Health Insurance Reform

The government of Israel recently introduced a health insurance reform establishing a comprehensive Private Medical Insurance (PMI) framework that creates a uniform structure for basic health policy.

The new circular entered into effect on 1 May 2023.
The new circular is expected to come into effect on 1 May 2023.

Oman Extends Social Security Benefits to Foreign Workers

The government of Oman recently issued Royal Decree 52/2023 (the “New Law”) promulgating the Social Protection Law, which extends certain social protection benefits—including maternity leave, paternity leave, work injury, and sick leave—to foreign workers.
The New Law is effective from 20 July 2023, but its provisions will enter into effect on different dates between July 2023 and July 2026. Companies will receive additional guidance via the implementing regulations expected to be released in the coming months.

Argentina

Argentina Introduces a One-Time Tax-Free Allowance

On 31 August 2023, the Argentinian government passed Emergency Decree 438/23 mandating private and public sector employers pay employees earning ARS 400,000 or less a one-time tax-free allowance of up to ARS 60,000. The exact, final amount will depend on the employee’s net monthly salary.

The allowance must be paid in two equal installments: the first installment must be paid within 15 days from 31 August 2023 and the second installment must be paid with the salary of the month of September 2023.