Ending an employment relationship in the UAE must follow the process set out in Federal Decree-Law No. 33 of 2021. Getting it right protects both employer and employee from disputes.
Notice periods
Either party may end a contract with written notice, typically 30 to 90 days as stated in the contract. The employee continues to work and be paid during the notice period unless both sides agree otherwise.
Valid reasons for termination
Termination must be for a legitimate work-related reason. Dismissing an employee for an unlawful reason — such as filing a genuine complaint, or on discriminatory grounds — can amount to arbitrary dismissal, which entitles the employee to compensation.
Summary dismissal
In specific cases of serious misconduct defined by law — for example, assault, serious breach of safety, or revealing confidential information causing loss — an employer may dismiss an employee without notice. These grounds are narrow and must be properly documented.
End-of-service entitlements
- Any outstanding wages and accrued but untaken annual leave.
- Payment in lieu of notice, where applicable.
- End-of-service gratuity for employees who completed at least one year of service.
- A certificate of experience and cancellation of the work permit and visa.
Get the numbers right
Accurate attendance, leave and service records make final settlements straightforward and defensible. TimeChart keeps them all, and our gratuity calculator helps you estimate the end-of-service figure.
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Schedule a free demoPlease note: This article is general information, not legal advice. UAE labour rules are updated periodically — always confirm the current details with the Ministry of Human Resources & Emiratisation (mohre.gov.ae) or a qualified professional.