Ever started a new job in the UAE, only to find yourself wondering, “Wait, how long exactly do I need to stay here if I want to leave?” Or maybe you’re the employer, and an employee just dropped a resignation bomb, leaving you scrambling to figure out how long you need to keep their position filled. Fear not, because navigating the notice period in the UAE is not as hard as you may think.
The UAE’s labor market is known for being dynamic and well-regulated. The UAE’s labor laws establish clear guidelines for both employers and employees regarding the notice period required when ending an employment contract. Whether you’re a seasoned professional or a fresh graduate entering the workforce for the first time, understanding the notice period is crucial. It ensures a smooth transition for both parties and protects your rights under UAE labor law. So let’s get down to it.
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ToggleOk letβs start with the basics. The notice period in the UAE is governed by two main sources:
Federal Law No. 14 of 2022 On Regulating Labor Relations and Workers’ Rights (the New UAE Labor Law): This comprehensive law outlines the minimum and maximum notice periods for both employees and employers. It applies to all employment contracts signed after the law came into effect on February 2, 2022.
Your Employment Contract: While the New UAE Labor Law sets the framework, your individual employment contract may specify a different notice period, as long as it adheres to the legal minimum and maximum limits. Always double-check your contract to ensure you’re on the same page as your employer.
First things first, let’s talk about the standard notice period in the UAE. As per Article 117 of UAE Labor Law, the notice period for both employers and employees is typically between 30 and 90 days.
Employees: A minimum of 30 calendar days, with a maximum of 90 calendar days.
Employers: A minimum of 30 calendar days, with a maximum of 90 calendar days. However, for employees with 5 or more years of continuous service at the company, the maximum notice period is reduced to 30 days.
Notice Period Starts From the Next Working Day: The notice period kicks off from the first working day following the day the notice is submitted (either by the employee or employer). For example, if you give your notice on a Sunday, your official notice period starts on the following Monday.
Notice Period Applies to All Employment Contracts: The notice period applies to all employment contracts, regardless of the type of employment (full-time, part-time, fixed-term, or unlimited).
Probation Period is Separate: The notice period is distinct from the probation period, which is typically mentioned in your employment contract. During probation, a shorter notice period may be applicable, again subject to the legal minimums and maximums.
There are a few situations where the standard notice period may not apply:
Gross Misconduct: If an employee commits a serious offense, such as theft, fraud, or violence, the employer can terminate their employment immediately without providing a notice period or severance pay. However, the employer needs to have documented evidence to support the termination.
Mutual Agreement: Both the bussiness setup in UAE and the employee can agree to a shorter or longer notice period if they find it mutually beneficial.
End of Fixed-Term Contract: If you have a fixed-term contract that comes to an end, no notice period is required from either party. The contract simply expires on the agreed-upon date.
Whether you’re the employee leaving or the employer dealing with a resignation, a smooth handover is crucial to ensure minimal disruption to the workflow. Here are some tips:
Employees: Provide a clear and well-written resignation letter outlining your last working day. Offer to assist with training your replacement and document your current tasks and responsibilities.
Employers: Accept the resignation promptly and acknowledge it in writing. Work with the departing employee to create a handover plan and identify a suitable replacement (if needed).
When it comes to notice period or reliving from a company, clear communication is key. By following these tips and understanding the legal framework surrounding notice periods in the UAE, you can navigate career transitions smoothly and avoid any potential conflicts. If you have any doubts or questions regarding your specific situation, it’s always best to consult with a professional for guidance.
1. How is the notice period calculated in the UAE?
The notice period in the UAE is typically calculated in days. It starts from the day the employer receives the resignation letter or termination notice.
2. What is the standard notice period for employees in the UAE?
The standard notice period for employees in the UAE is between 30 and 90 days, but it can vary depending on the employment contract and other factors.
3. Can the notice period be waived in the UAE?
Yes, the notice period can be waived in the UAE if both the employer and employee agree to it in writing.
4. Is the notice period mandatory during the probation period in the UAE?
No, the notice period is not mandatory during the probation period in the UAE. Both employers and employees can terminate the employment with a shorter notice period (usually 14 days).
5. What happens if an employee does not serve the full notice period in the UAE?
If an employee does not serve the full notice period, the employer may deduct the equivalent salary for the remaining days from their final settlement.
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