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Force Resignation & UAE Labour Law

UAE LABOUR LAW

Asalm-oa-likum, Hello & Marhaba to all UAE Fellows, hope everything is going well, A special hello to our Filipino Fans as they are visiting us on daily basis to check out latest updates.

Today we are here with short article regarding Force Resignation by Employer (Company) as we have been asked by our visitors that:

Can company force employee to resign from his/her Job?

As per the UAE Labour Law, no employee can be forced to resign.



If you submit your resignation, it will only make the employer’s case stronger in a legal dispute. In addition, the end-of-service gratuity will be less, it will be calculated as one-third of his one month’s salary for every year served.

As for the notice period, the labour law obliges all parties (worker and employer) to submit notice to each other if one wishes to terminate the unlimited labour contract; the period of notice as per the Labour Law shall be not less than one month, but both parties may agree to increase this period.

The notice period shall be effective from the date of resignation or the termination of the labour contract by either party.

Therefore, if the company fires the employee, the employee may claim his rights which are specified by the Labour Law and also has the right to ask the court concerned for a compensation for the arbitrary dismissal if he could prove that the company has fired him not as per the UAE Labour Law.


What to do if Employer or Company cancel your contract?
In case your contract is cancelled by your company, your employer (company) shall be Liable to compensate the Employee (worker) with 3 months of remuneration (payment).

As per Article 115 of Labor Law: “Where an employment contract is for a definite term and the employer revokes it for reasons other than those specified in Article 120 he shall be required to compensate the worker for any damage the latter sustains, provided that the amount of compensation shall in no case exceed the aggregate wage due for a period of three months or the remaining period of the contract, whichever is shorter, unless otherwise stipulated in the contract.”

What to do if Employee want to cancel his/her contract before completing 1 Year?
In case of breach by the employee (worker) the employee (worker) shall be liable to compensate the employer for up to half the employee’s remuneration for 3 months.

As per Article 116 of Labor Law: “Where a contract is revoked by the worker for reasons other than those specified in Article 121, he shall be required to compensate the employer for any damage the latter sustains as a result, provided that the amount of compensation shall not exceed half a month wage for three months or for the remaining period of the contract, whichever is shorter, unless otherwise stipulated in the contract.”

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Admin Advice:
You may contact (MOHRE) the Ministry of Human Resources and Emiratisation (previously, the Ministry of Labour) in the event of a dispute with your employer (company) or should you face any infringements/violations in respect of your rights as an employee.

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