Navigating Employment Obligations During the Current Middle East Crisis

Aviation disruption across the region has been significant. Industry estimates suggest that more than 100,000 travelers may currently be stranded across Middle Eastern aviation hubs, with tens of thousands of flights cancelled or diverted since the escalation of hostilities in late February. Major transit hubs, including Dubai, Doha, Abu Dhabi, Muscat, and Manama, have experienced widespread disruption, leaving employees and business travelers unable to return home or resume normal travel schedules.

Quick Hits

• Employees stranded in affected regions may be entitled to continued pay even if unable to perform their duties, depending on jurisdiction and the reason for their absence.
• Remote work arrangements may be required as a reasonable accommodation where travel is unsafe or impossible.
• Employers should review existing policies on emergency leave, force majeure provisions, and business continuity plans.
• Tax and immigration implications of extended remote work from abroad require urgent attention.
• Government authorities in several Gulf states have begun introducing limited immigration flexibility measures, such as waiving overstay penalties for travelers unable to depart due to flight disruptions.

Employees Stranded in Affected Regions

When employees are stranded abroad due to circumstances beyond their control, such as flight cancellations, border closures, or unsafe travel conditions, employers must carefully consider their legal obligations. In many jurisdictions, employees who are ready, willing, and able to work but are prevented from doing so by external circumstances may retain their entitlement to pay.

Governments are also beginning to organize repatriation efforts for stranded citizens. Several European states have coordinated evacuation flights through regional cooperation mechanisms, and other governments have begun chartering flights from major Gulf transit hubs such as Dubai and Doha. While these efforts may assist some travelers, capacity remains limited, and many individuals may still face delays before they can return home.

Key questions employers may want to address include: Can the employee perform their role remotely? Is the absence genuinely beyond the employee’s control? Does their employment contract or local law in the jurisdiction in which they normally reside provide for unpaid leave in emergency situations? What communication has been provided to the employee about their status?

Employers would do well to avoid making hasty decisions to stop pay or terminate employment, as this could expose them to claims for wrongful termination or breach of contract.

Remote Work From Abroad: Rights and Practicalities

When employees can work but cannot physically attend the workplace, employers may want to consider whether remote work is a viable alternative. In many cases, particularly for office-based roles, there may be an obligation, or at least a strong expectation, to facilitate remote working arrangements during a crisis.

However, extended remote work from a foreign jurisdiction raises significant compliance issues:

• Tax implications: Prolonged work from another country may create corporate tax exposure (permanent establishment risk) or trigger individual tax obligations for the employee in that jurisdiction.
• Immigration and work authorization: Employees may not have the legal right to work in the country where they are stranded. Working without proper authorization, even temporarily, can have serious consequences.
• Data protection: Accessing company systems from certain jurisdictions may raise data security and privacy concerns, particularly if sensitive data is involved.
• Employment law: In some cases, extended work from another country could trigger local employment law obligations in that jurisdiction.

Some governments in the region have acknowledged these challenges and have begun introducing temporary flexibility. For example, authorities in the United Arab Emirates have indicated that visa overstay penalties will be waived for travelers unable to depart the country due to ongoing flight disruptions. While this does not necessarily grant work authorization, it signals a pragmatic approach to immigration compliance during the crisis.

Employers should take a pragmatic approach during the crisis while documenting the temporary and involuntary nature of the arrangement.

Employees Unable to Attend Work: Pay Obligations

Where employees cannot attend work, and remote work is not possible, employers must determine whether they are obligated to continue paying the employee. The answer depends on several factors, including the reason for the absence, the terms of the employment contract, and applicable local law.

In many jurisdictions, the general principle is that where an employee is ready and willing to work, but the employer cannot provide work (or the employee cannot access the workplace due to circumstances beyond their control), the employer remains obligated to pay. For those currently working in the Middle East, most countries require payment of the base salary even where the employee cannot attend work. This is particularly relevant for those who may be subject to shelter-in-place requirements across the Middle East flight corridor, where bombing is prevalent.

While some airspace in the region is gradually reopening, aviation authorities have implemented tightly controlled flight corridors and reduced flight volumes to ensure safety. As a result, travel disruptions are expected to continue in the near term, and many employees may remain unable to return to their normal work locations for several days or potentially longer.

However, this is not universal, and specific contract terms or force majeure provisions may modify this position.

Employers should consider the following options:

• Requiring employees to use accrued annual leave (where legally permissible)
• Offering unpaid leave by mutual agreement
• Maintaining pay on a goodwill basis during the emergency period
• Exploring government support schemes or emergency provisions that may be available

Whichever approach is taken, employers should document their decisions and communicate clearly with affected employees.

Best Practices for Employers

Employers navigating this crisis should consider taking immediate steps to protect both their employees and their organization:

• Identify affected employees: Conduct an immediate audit to identify employees who are currently in affected regions, have family members in affected regions, or may be impacted by the crisis.
• Communicate proactively: Reach out to affected employees with compassion and clarity. Provide information about available support, leave options, and company policies.
• Review policies: Examine existing emergency leave, remote work, and business continuity policies to ensure they address the current situation.
• Document everything: Keep detailed records of all decisions, communications, and arrangements made during the crisis.
• Seek legal advice: Consult with employment lawyers in relevant jurisdictions to ensure compliance with local requirements.

Key Takeaways

The evolving situation in the Middle East requires employers to balance legal compliance with compassion and practicality. While there are no one-size-fits-all answers, employers who act thoughtfully, communicate clearly, and seek appropriate advice will be best positioned to support their employees while managing organizational risk.

Employers may want to remember that how they treat employees during a crisis will be remembered long after the immediate situation has resolved. A supportive and flexible approach is not only the right thing to do, but it also protects the employer’s reputation and employee relations for the future.

Ogletree Deakins’ Cross-Border Practice Group will continue to monitor the evolving situation and will provide updates on the Employment, Cross-Border, and Europe, Middle East, and Africa (EMEA) blogs as additional information becomes available.

This article and more information on how the Trump administration’s actions impact employers can be found on Ogletree Deakins’ Administration Resource Hub.

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