In the UAE, both employers and employees have specific rights and obligations when it comes to ending a work contract. The UAE Federal Labour Law outlines scenarios under which a contract can be terminated without prior notice.
Termination by UAE companies without notice
Employers in the UAE may end an employee’s contract immediately without prior notice in the following situations:
1. False Identity or Forgery
If an employee uses a fake identity or submits forged documents.
2. Significant Financial Loss
If an employee causes major financial damage to the employer or deliberately damages property, provided the employer reports the incident to the Ministry of Human Resources and Emiratisation (MoHRE) within seven working days.
3. Safety Violations
If an employee violates safety instructions that were clearly communicated either in writing or verbally.
4. Persistent Failure to Perform Duties
If an employee repeatedly fails to fulfill their basic duties despite two prior warnings.
5. Criminal Conviction
If an employee is convicted by a court for a crime involving dishonesty, honour, or public morals.
6. Disclosure of Confidential Information
If an employee reveals confidential business information causing harm or personal gain.
7. Substance Abuse
If an employee is found intoxicated or under the influence of prohibited drugs during working hours.
8. Workplace Assault
If an employee assaults the employer, manager, or colleagues during work.
9. Excessive Absenteeism
If an employee is absent without a valid reason for more than 20 intermittent days or more than seven consecutive days within a year.
10. Illegal Exploitation
If an employee abuses their position for personal gain.
11. Non-compliance with Transfer Rules
If an employee joins another organization without following proper procedures.
Note: Employers must conduct a written investigation before terminating the contract without notice. The dismissal notice must be written, justified, and delivered to the employee.
Termination by the employee without notice
Employees also have the right to terminate their contract without prior notice in these cases:
1. Employer’s Non-Compliance
If the employer fails to meet contractual or legal obligations, and the employee has notified MoHRE 14 working days in advance without any rectification by the employer.
2. Harassment or Assault
If the employer has assaulted or harassed the employee, provided the employee reports this to the relevant authorities and MoHRE within five working days.
3. Change in Job Role
If the employer forces the employee to perform work fundamentally different from the agreed job without written consent, except in emergencies as per Article 12 of the UAE Labour Law.
4. Unsafe Working Conditions
If the employer does not address serious safety or health hazards despite being aware of them. Article 26 of Cabinet Resolution No. 1 of 2022 outlines what constitutes serious danger at the workplace.
In conclusion, understanding these conditions helps both employers and employees navigate the termination of contracts effectively and legally.
Always ensure that any termination is in compliance with the UAE Federal Labour Law and seek professional advice if needed.
tanvir@dubainewsweek.com