No fault termination of employment in UAE refers to ending an employment contract without attributing any fault or wrongdoing to the employee.
The employer typically initiates it, which is legal, provided that the employer complies with the labour laws and regulations of the UAE.
In this article, we delve into the intricacies of no-fault termination of employment in the UAE and answer related questions.
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No fault termination of employment in UAE.
As we mentioned, ending an employment contract without attributing any fault or wrongdoing to the employees is legal as long as it complies with the labour laws and regulations of the UAE.
Under the Federal Decree-Law No. 33 of 2021, several circumstances may lead to the cessation of an employment contract.
These include the expiration or non-renewal of the contract, mutual agreement by both parties and cases where either party wishes to end the contract while adhering to the termination provisions and notice period.
Notice Period Requirements.
According to Article 43, either party can terminate the employment contract for any ‘legitimate reason,’ provided they give written notification to the other party and serve a notice period of 1 to 3 months.
Termination without Notice.
Under Article 44, an employer can terminate an employee’s services without notice under certain conditions. These include instances where the employee has committed an error causing substantial material loss to the employer or violated safety instructions.
Rights of the Employee.
During the notice period, the worker is entitled to his full wage per the employment contract. If the employer terminates the contract, the worker is also allowed an unpaid leave of one day per week to look for another job.
If an employer terminates an employee for filing a complaint or lawsuit against them, such termination is considered illegal. Employees who believe they have been unfairly dismissed can file a complaint with the Ministry of Human Resources and Emiratisation (MoHRE).
FAQs about no fault termination of employment in UAE.
This article provides an overview of the laws and regulations surrounding no fault termination of employment in UAE. Both employers and employees must understand these laws to ensure a harmonious working relationship.
A legal consultant specializing in UAE labor law. He regularly publishes articles on the website and writes on various areas of UAE law, with a specific focus on labor law.