Overview of employment disputes in the Qatar Financial Centre

This article provides an overview of how employment disputes are handled within the Qatar Financial Centre, explaining its distinct common law-based legal framework, the roles of the QICDRC and Employment Standards Office, and the procedures available for resolving claims.

The Qatar Financial Centre (QFC) is an onshore business and financial centre in Doha. Unlike the legal system in the State of Qatar, which is civil law based, the QFC operates under a legal framework based on English common law. Whilst the QFC and its licensees are subject to one or more state laws, the QFC issues its own legislation, including company regulations and data protection regulations.

QFC Court system

The Qatar International Court and Dispute Resolution Centre (QICDRC) serves as the judicial arm of the QFC. It includes:

• QFC Civil and Commercial Court: Handles disputes between QFC entities, including employment, contractual, and regulatory matters.
• QFC Regulatory Tribunal: Reviews decisions made by the QFC Regulatory Authority (which is the independent financial regulator of companies operating in the QFC).

Any judgment, decision, or order of the QICDRC is capable of enforcement by the Enforcement Court in Qatar. The Enforcement Court has wide powers that enable them to ensure compliance, including the ability to impose fines and refer matters to a competent agency or authority of the State of Qatar.

Employment disputes in the QFC

The QFC has its own employment regulations: Regulation No. 10 of 2006 (as amended) (the QFC Employment Regulations). 

The QFC Employment Regulations set out an employee’s minimum rights and entitlements; they apply to employees of the QFC Regulatory Authority, Qatar Financial Centre Authority (QFCA) and the employees of QFCA licensed firms only. 

The QFC Employment Regulations are administered and enforced by the Employment Standards Office (ESO).

Employees who wish to exercise their rights under the QFC Employment Regulations have the option of either filing a complaint with the ESO or filing a claim with the QICDRC.

However, it is important to note that once a decision is made by either the ESO or QICDRC, the same claim cannot be pursued in the other forum, although the parties may appeal a decision of the ESO to the QFC Regulatory Tribunal as set out below. 

QFC Employment Standards Office

If the employee elects to have the ESO determine the matter, then as a first step they must submit a complaint to the ESO. 

If the ESO accepts the complaint it will investigate the matter, upon completion of which it gives the parties the opportunity to provide oral and written submissions before a determination is made. 

A copy of the determination is notified to both parties and a dissatisfied party may appeal the determination before the QFC Regulatory Tribunal. 

Further details of the ESO complaints process can be found by clicking on the following link: QFC Complaint Submission Guidance. 

QICDRC

Unlike in some jurisdictions there is no separate employment division in the QICDRC and all claims are heard by the Court First Instance.

Proceedings are conducted in accordance with the Rules and Procedures of the Civil and Commercial Court of the QFC (the Rules). 

The Rules closely mirror the procedural rules of the English courts. The process is broadly as follows:

• Written submissions (claim defence and reply);
• Disclosure and evidence; and
• Hearing.

No fees are payable to issue a claim in the QICDRC and there are no application fees.

Parties are entitled to conduct proceedings (which includes written submissions) either in English or in Arabic, which is unique amongst the common law jurisdictions in the region.

In every standard claim, the Court will normally issue a set of standard directions for the good management of the claim, including the date and length of the trial, disclosure, written statements, chronologies and final written submissions/skeleton arguments. 

Once proceedings are concluded, the Court will usually make an order as to costs. The usual rule is that the unsuccessful party pays the costs of the successful party.

The judgment of the Court will usually be final. However, there are limited grounds on which a party can apply for permission to appeal a judgment. 

Small Claims Track

The QICDRC also has a specific process for ‘Small Claims’ i.e. any case with a monetary value of up to and including QAR 100,000; by exception higher value claims may also be heard. 

The Small Claims Track is designed for providing a swift, cost-effective, and accessible mechanism for resolving lower-value disputes, including lower value employment disputes. 

Standard directions apply to Small Claims which involve much shorter deadlines than those claims allocated to the standard track. 

Ordinarily, cases allocated to the Small Claims track will be determined on the papers and without a hearing. If an oral hearing is held, it will generally take place virtually (online by video link). 

The usual rule is that the unsuccessful party to a claim allocated to the Small Claims track will be responsible for the costs of the successful party. However, where costs are being assessed the fact that a claim was allocated to the Small Claims track is a relevant consideration when determining whether the amount of costs incurred was reasonable.

For any questions regarding employment disputes within the Qatar Financial Centre, or to discuss any of the topics covered in this article, please contact Ben Brown or Lee Rogers. For broader employment matters in Qatar, please reach out to Emma Higham. 

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