The Ministry of Human Resources and Emiratization (MOHRE) has provided an explanation of the new legislation that the UAE has implemented regarding notice periods and contract termination. These regulations, which specify the terms and circumstances for ending employment contracts, are applicable to both employers and employees.
As long as they adhere to the stipulated notice time requirements, MOHRE states that both employers and employees may end a contract. Employees must continue performing their jobs during the notice period, which must be between 30 and 90 days.
A "notice period allowance," which is equal to the worker's wage for the duration of the notice period or proportionate to the remaining time, must be given to the other party in the event that one fails to serve the notice period. The most recent pay received by the employee—whether it be hourly, daily, weekly, or monthly—is used to compute this allowance. The notice allowance for workers paid on a piece rate is based on their average daily income.
When an employer terminates an employee's employment, they are entitled to one unpaid day off every week to look for another work, as long as they give three days' notice. By mutual consent, the notice time may be shortened or waived without violating the rights of any party.
Visit the official UAE Government website for further details on these restrictions, or browse the extensive MOHRE guide, which is accessible online in both Arabic and English.
