Termination of Employment in the UAE

Your Legal Rights and Proper Procedures for Termination

Your Legal Rights and Proper Procedures for Termination

Termination of employment is one of the most discussed legal topics in the United Arab Emirates, due to its direct implications for both the employee and the employer. Ending an employment relationship can lead to financial claims or legal disputes related to wages, end-of-service benefits, notice pay, or other rights associated with the employment contract. It is important to note that each termination case is unique, depending on the facts, procedures followed, and available documents. Therefore, assessing the legality of a termination requires specialized legal analysis for each individual case.

Termination of employment in the UAE: What are your legal rights and proper procedures according to UAE labor law?

What is meant by termination of employment?

Termination of employment refers to the ending of the employment relationship between the employee and the employer before or upon the expiration of the employment contract, whether this occurs with adherence to the notice period or in cases where the law permits termination without notice.

The end of the employment relationship does not necessarily mean the forfeiture of the employee's rights or their legal responsibility. Each case has its own specific circumstances that are evaluated according to the provisions of the law, the contract, and the available documents.

Federal Decree-Law No. (33) of 2021 concerning the regulation of labor relations clearly outlines the provisions for terminating an employment contract and dismissal from service, specifying the cases in which the contract may be terminated, the exceptional cases in which termination without notice is permitted, in addition to the legal guarantees established to protect the rights of the parties in the employment relationship.

Ending an employment contract according to legal procedures

The law allows either party in the employment relationship to terminate the contract for a legitimate reason, under the following conditions:

  • Written notification to the other party
  • Adherence to the agreed notice period
  • The notice period must not be less than 30 days
  • The notice period shall not exceed 90 days.

The contract remains in effect throughout the notice period, and the employee is entitled to their full salary during this time.

When can an employee be dismissed without notice?

As an exception to the general rule, the law permits the employer to dismiss the employee without notice in specific cases listed exhaustively in Article (44) of the Labor Law. Below is a presentation of each case with practical real-life examples:

01
Submitting forged documents or certificates upon hiring
If it is proven that the employee submitted false certificates or documents or impersonated another person upon hiring, this is considered a valid reason for dismissal without notice. This applies whether the forgery is in academic certificates, experience certificates, or personal data.
Forging a university degree Forging an experience certificate Using another person's identity
02
Causing significant financial loss to the employer
If the employee commits a mistake that results in significant financial damage to the establishment or intentionally harms its property. The law requires specific procedures to be followed and the relevant authorities to be notified within the stipulated time according to its provisions.
Deliberately damaging equipment Serious violation of instructions leading to loss Tampering with systems or data
03
Violating occupational safety instructions
Emirati legislation places great importance on the safety of workers; therefore, ignoring or seriously violating safety instructions may lead to disciplinary actions that could result in dismissal without notice.
Removing personal protective equipment Operating hazardous equipment in violation of instructions Endangering employees or the establishment
04
Serious breach of job duties
If the employee refuses to perform their essential duties or continues to violate their job obligations despite being investigated and warned according to legal procedures. The assessment of this case varies depending on the nature of the job and the tasks assigned to the employee.
05
Disclosing work secrets
Protecting information and commercial data is one of the most important obligations placed on the employee. Prohibited disclosure includes anything related to the commercial, financial, or technical information of the establishment.
Leaking customer data Revealing confidential financial information Transferring company files to competing entities
06
Being at work under the influence of drugs or alcohol
An employee being present during work hours in a state of obvious intoxication or under the influence of drugs or psychoactive substances is considered a serious violation that allows for dismissal without notice.
07
Assaulting the employer or colleagues
The law prohibits assaulting the employer, manager, or colleagues, whether verbally or physically. This includes any form of violence or harassment that is legally punishable.
Threatening or insulting Physical assault Harassment in the workplace
08
Absence without a valid excuse
Frequent absenteeism is one of the most common causes of labor disputes. The law permits dismissal if an employee is absent without a valid reason for more than 20 intermittent days during the year, or more than 7 consecutive days.
09
Exploiting the job for personal gain
An employee exploiting their position or authority to gain unlawful benefits may be grounds for dismissal without notice.
Receiving unauthorized commissions Exploiting customer data for personal benefit Using company resources for personal purposes
10
Working for another entity in violation of the law
Working for another entity without adhering to legal regulations or obtaining the required permits may expose the employee to accountability and legal action.

Common mistakes made by employers and employees

PartyCommon mistakePotential legal impact
EmployerDismissal without conducting a written investigation or issuing a written decisionDismissal may be considered arbitrary and impose financial obligations
EmployerFailure to comply with the legal notice periodThe worker is entitled to the full notice pay
The workerLeaving without notice or valid excuseMay affect the entitlement to certain financial rights
The workerDelay in claiming rights or documentationDifficulty in proving certain rights later
Both partiesFailure to retain correspondence and documents related to dismissalWeak legal position when resorting to the competent authorities

The role of the lawyer in employment termination cases

Many believe that the dispute begins when a lawsuit is filed, but practical reality shows that many issues can be avoided or resolved better when early legal advice is obtained.

01
Studying the legality of the dismissal decision
Assessing whether the dismissal met the substantive and procedural conditions stipulated by law, and the existence of a sound legal basis for the termination decision.
02
Reviewing investigations and disciplinary procedures
Ensuring that disciplinary procedures were taken according to legal norms, and that a written and reasoned decision was issued following a written investigation.
03
Calculating financial entitlements
Reviewing and auditing all financial rights due, including end-of-service benefits, notice pay, overdue wages, unused leave, and others.
04
Representation and negotiation
Representing the parties before the competent authorities and negotiating amicable settlements that preserve rights and avoid prolonged legal disputes.

The importance of time in employment termination cases

The earlier legal advice is obtained, the greater the chances of protecting rights and preserving evidence and documents. Therefore, it is advisable to retain all documents related to the employment relationship:

  • The original employment contract and any appendices
  • Written official warnings
  • Electronic correspondence related to work
  • Relevant WhatsApp messages related to work
  • Payroll and payment statements
  • Termination decisions

The most common questions about termination of employment in the UAE

Can an employer terminate an employee without cause?
The employment contract must be terminated for a legitimate reason and in accordance with the prescribed legal procedures; otherwise, the termination is considered arbitrary and has legal consequences.
Is it permissible to terminate an employee without notice?
Yes, but only in the cases explicitly specified in Article (44) of the Labor Law, and after fulfilling the required legal procedures.
Is an investigation required before termination?
In cases of disciplinary termination or termination without notice, the law requires a written investigation with the employee and the issuance of a written and justified decision.
What is the legal notice period?
The notice period ranges from 30 to 90 days depending on what was agreed upon in the employment contract, and the employee is entitled to full pay during this period.
Does an employee lose their rights if terminated?
Not necessarily, as the entitlements vary based on the reason for termination, the circumstances of each case, and the procedures followed.
Is the employee entitled to end-of-service benefits after termination?
Generally, they are entitled according to the legal regulations governing this, but may be affected in certain exceptional cases specified by law.
Can the termination decision be contested?
It is permissible to resort to the competent authorities in case of a dispute regarding the legality of the decision or the rights arising from it, according to the legally prescribed procedures and deadlines.
When should one consult a lawyer?
It is advisable to seek legal advice immediately upon receiving a notice or termination decision or when any dispute arises regarding the termination of service, to avoid missing legal deadlines.

Conclusion

Decisions regarding termination of employment in the UAE are subject to precise legal controls and procedures aimed at balancing the interests of the employee and the employer. Therefore, assessing the legality of the termination does not rely solely on the termination decision, but extends to examining the reason, the procedures followed, and the documents and evidence related to each case.

Obtaining specialized legal advice in a timely manner remains one of the most important means to help protect rights, avoid disputes, and take the correct actions in accordance with UAE law.

Specialized Legal Consultation

Have you been terminated from your job and want to know your rights?

Whether you are an employee seeking to recover your rights or an employer needing to review your procedures, the team at Awad Al-Muhairi Law Office for Legal Consultation is fully prepared to assess your case and assist you in taking the correct legal action.

01
Assessment of Termination Legality
We examine your case file thoroughly and determine whether the termination met the substantive and procedural legal requirements.
02
Calculation of Financial Entitlements
We calculate all your financial rights including end-of-service benefits, notice pay, overdue wages, and unused leave.
03
Representation and Claiming
We represent you before the relevant authorities and defend your full rights, whether through amicable settlement or legal proceedings.


Every day of delay in taking action may affect your legal position. Do not hesitate to seek consultation to accurately assess your situation.