Dubai issued 4,499 new business licences in Q2 2012

DED sees 17 % increase in trade licenses issued in Q2 2012

4,499 licenses issued during April-June 2012 as against 3,859 in Q2 2011

Dubai:

The Department of Economic Development (DED) issued 4,499business licences during the Q2 in 2012, DED announced yesterday, arguing that the result reflects stability and growth across key economic sectors and business activities in Dubai.

This represent 17 per cent increase from the 3,859 licenses issued over the same period in 2011.“

The Tourism sector accounted for the largest increase (51%) in business licenses during the April-June 2012 period. Professional licenses increased by 19 per cent and Commercial licenses by 16 per cent during the same period,” said Mohammed Shael Al Saadi, Chief Executive officer of Business Registration and Licensing (BRL) division at DED.

But Abdul Hamid Radwan, a UAE-based Economist, told Gulf News yesterday that while the increase in licences was positive, all aspects should be looked at.

“The big number of new licences is a positive sign of the growth of the business sectors in Dubai, but this number should be taken in comparison with the number of licences that were cancelled in the same period.”

Radwan also warned that increasing the number of licences could be harmful.

“It is very important to look at the capital of these new companies, their activities and whether they are productive or not. The number is not always clear,” he added.

DED’s total transactions relating to business registration and licensing reached 158,174 during the second quarter of 2012, an increase of 22 per cent year on year.

New Abu Dhabi DED system now active

The Department of Economic Development, or DED, in Abu Dhabi has announced the promotion of the online services it provides in its website with regards to trade licence transactions commonly known as G2B appertaining to online renewal of trade licences and paying off violations, aiming to ease the burden on investors and businessmen, as well as to save time.

The DED has also announced the promotion and activation of its G2G online services necessary for the insurance of all data and information concerning trade licences required by all government institutes in Abu Dhabi through the Abu Dhabi Government Network. These services enable government circles and institutes to have access to data and information concerning trade licences without having to use traditional correspondence that used to take a customer a longer time to finalize documents.

Attested rent contract is now must for Abu Dhabi visa

Contract must be presented along with utility bill and other documentsExpatriates seeking to renew their residence visa or have a new one for their relatives in Abu Dhabi must present an attested tenancy contract along with a power bill in line with a decision enforced by the emirate this week.

Applicants said Abu Dhabi immigration authorities appear to have ended a moratorium on that decision which was scheduled to be enforced before the fasting month of Ramdan as all of them were asked to get those documents.

"I wanted to have my wife's visa renewed on Tuesday but I was turned back by the immigration authorities because the tenancy contract in the application was not attested," said Jassim Al Hariri, a resident of Abu Dhabi.

"I was told to come back with a new application that must include a tenancy contract in my name which must be attested by the Abu Dhabi Municipality...they also asked for a power bill along with other documents."

Bachelor applicants said they were also asked to bring an attested tenancy contract and a recent power bill along with other documents required for the renewal of their visas. They said they were allowed to submit contracts in the name of their relatives but it was not clear whether this applies to sharing accommodation that includes tenants not related to each other.

The new rules have already triggered competition among landlords seeking customers for their property by announcing in local newspapers that new dwellers would be given attested rent contracts.

Abu Dhabi immigration authorities said in June that the new regulations are intended to verify the addresses of all expatriates living in the country, adding that such rules are enforced in most other nations.

"The decision is primarily aimed at verifying residence of all expatriates living in the UAE for security and procedural reasons...it is a security, administrative and service decision taken by the immigration and foreign affairs departments in the country," said Major General Nassir Al Minhali, Interior Ministry assistant undersecretary for naturalization and residence "The decision is not targetting any party or property group but it will serve those departments seeking accurate data about foreigners' residences...this measure is not exclusive for the UAE as it is enforced in all advanced countries."

Dubai property owners need title deed to open Dewa accounts

Estate agents advising landlords to apply for title deedsA property title deed has now become mandatory for a property owner to open his account with Dubai Electricity and Water Authority( Dewa ) account.
A number of real estate brokers in Dubai have started sending notices to their clients advising them to apply for a title deed from Dubai Land Department.

FAM Properties, a Dubai-based brokerage firm, has sent out notices to their clients, saying, "It is now mandatory for all landlords to have the title deed of their properties issued from the Dubai Land Department in order for Dewa to register any new accounts under a tenant's name.

" Dewa will therefore reject registering any account for any property that does not have a copy of its title deed. As a result, we advise all landlords who have yet to apply for their title deeds to proceed at the earliest," it added.

Annetta Shaw, Head of Residential Sales & Leasing, Head Office, Better Homes, confirmed to this website: "Yes, a title deed is required. It is mandatory."

However, a Dewa call centre executive said they were opening accounts if the prospective tenant could provide a sales and purchase agreement instead of a title deed.

A title deed or affection plan is also necessary for any landlord to generate an Ejari, Rera-registered contract. Unless a registered contract is provided, the Department of Naturalisation and Residency Dubai will not accept renewal applications for residence visas.

Employers may face fines for delaying wages

Fine is part of tougher penalty system to be enforced by Ministry of Labour next week Private sector employers delaying wages for their workers will be fined Dh20,000 under a more stringent penalty system to be enforced by the Ministry of Labour on August 1 with the aim of ending violations in the job market.

The new system involves 21 tougher fines covering various job offences in the private sector such as wage delays, cheating Emiratization job rules, providing improper housing for workers and forcing them to pay for their labor permits.

The Dubai-based Arabic language daily, which published the new rules, said they involved increased fines for all offences but did not specify the previous fines.

"Employers offending the wage system will be fined Dh20,000 and those found cheating the Emiratization job regulations will be fined Dh20,000," it said.

The new system imposes Dh5,000 on employers delaying one worker's salary for two months and a maximum Dh50,000 if the delay affects more than one worker.

Employers found to be providing housing which violates locally-approved criteria will be fined Dh20,000 while those who do not employ workers sponsored by them two months after the issuance of the labour card will pay the same fine.

As for hiring fees, the Ministry said it would impose a fine of Dh20,000 on employers found to have deducted those fees from their workers' wage.

Companies which do not abide by appointments set by the Ministry to discuss labour disputes will also be fined Dh20,000.

Companies caught violating the noon work ban during summer will be fined Dh15,000 while a Dh20,000 penalty has been specified for those found to have submitted incorrect data to the Ministry.

"If a company is found not participating in the wage system it will be fined Dh10,000 while the same fine will be imposed on a company which does not take adequate measures to ensure the safety of its workers."