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President ratifies Employment Act amendment to extend childcare break

President Dr Mohamed Muizzu has ratified the 9th Amendment to the Employment Act.

The amendment was passed by the Parliament at the 5th sitting of its first session for the year held on Sunday, 8 March 2026. The primary purpose of the amendment is to strengthen termination procedures and review the quota fees legally mandated for recruiting expatriate workers. This includes establishing criteria for exempting certain parties from these fees, while addressing implementation challenges and safeguarding the rights of both employers and employees.

Key changes include a provision granting employees time off for childcare from the date of return from maternity leave until the child reaches two years of age. Under the existing law, employees are entitled to two 30-minute breaks during working hours each day to visit and care for their child without any deduction from salary, until the child reaches the age of one. The amendment now extends this entitlement until the child turns two. While employees are already entitled to a one-hour break during working hours, the time allocated for childcare is granted in addition to this existing break.

The amendment also revises rules governing dismissal notices. Under the new provision, employees who have worked for up to one year must be given two weeks’ notice prior to termination. Under the current law, the two-week notice period applies only to employees who have worked between six months and one year.

In addition, the amendment grants the Cabinet the authority to provide exemptions from quota fees for hiring foreign workers in certain businesses. The measure is intended to support small and medium enterprises as well as newly established businesses.

The amendment also designates International Labour Day as an official public holiday.

The amendment has now come into effect following its ratification and publication in the Government Gazette.