Dubai: As the Dubai-listed contractor Arabtec is preparing for liquidation after the coronavirus pandemic deepened its financial woes, necessary legal arrangements and procedures have been recently taken to guarantee the rights and dues of its staff, Gulf News learned.
Sources at the Ministry of Human Resources and Emiratisation (MOHRE), told Gulf News a series of meetings had been held with the Labor Committee in Abu Dhabi, the Permanent Committee of Labor Affairs in Dubai and those concerned in “ Arabtec”, in order to swiftly address the repercussions of the company’s liquidation on its employees, and guarantee their rights and financial dues in accordance with the law.
“These meetings have resulted in an agreement with the company to pay the financial dues of its employees through the liquidation of its bank guarantees as well as the insurance documents of its employees. The financial dues are currently being paid gradually in coordination with the Central Bank,” the sources explained.
The company employees have been offered two options, the first is to help them return to their home countries while the second is to seek jobs with other companies in the UAE, after they have obtained their financial dues.
The ministry continued to provide daily meals for the company employees still housed at Arabtec accommodation, where electricity supply was secured for the accommodation and necessary health care is being provided in coordination with the Department of Health and the Abu Dhabi Distribution Company (ADDC), DEWA, Dubai Health Authority and Municipality.
Earlier in September, Arabtec Holding shareholders authorised the board to file for liquidation due to its untenable financial position.
The company, which helped build the Louvre Abu Dhabi and the world’s tallest skyscraper, the Burj Khalifa in Dubai, suffered a first-half loss of $216.18 million, piling up accumulated losses of nearly $400 million, according to Reuters.
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