Termination of Contract
What happens if your contract is terminated? What rights do you have if you are terminated?
Here you can find all the details about contract termination.
If an employer dismisses its employee, the employee is entitled to a gratuity if he or she has worked for at least one year of service.
FAQs on Contract Termination
What are your rights if you get fired? How is your gratuity calculated?
If you are employed by a mainland company based in Dubai. Therefore, the provisions of Federal Law No. 8 of 1980 regulating employment relations in the UAE (the ‘Labor Law’), Federal Law No. (6) of 1973 on Immigration and Residence, as amended by Law No. (7) of 1985, Law No. (13) of 1996 and Federal Decree No. (17) of 2017 (the ‘Immigration Law’) apply, an employee is entitled to a gratuity after termination by the employer if he or she has worked for at least one year. This is in line with Article 132 of the Labor Law, which states that “The employee who has worked continuously for at least one year shall be entitled to a gratuity upon the termination of his employment. Days of unpaid absence from work shall not be taken into account when calculating the length of service, and compensation shall be calculated as follows:
- Twenty-one days’ pay for each year of the first five years of service.
- Thirty days’ pay for each additional year.
Provided that the total compensation shall not exceed two years’ salary.
Since we are a PRO Service company, we can help you calculate the gratuity you will receive from the company.
Are you entitled to get any plane ticket to return back to your home country when your contract is terminated?
The employee is also entitled to cash compensation for annual leave not taken. The employer must pay the cost of the employee’s airplane ticket to his/her home country. This is in accordance with Article 79 of the Labor Code and Article 131 of the Labor Code.
Can you ask the company to hold your visa until you find another job?
You can ask your employer not to cancel your residence visa for a certain period of time until you find new employment. However, the decision to keep your residence visa is at the discretion of your employer. Article 19 of the Immigration Law states, “Foreigners who have obtained a residence permit shall be subject to the provisions of Article (11) of this Law. They must leave the country if their residence permit is revoked or its term expires.”
How many grace periods do you have if the employer has canceled your visa?
You only have 30 days grace period to find another job, or change your residency status in the country. However, there’s news surrounding that the UAE government has recently extended the period of stay in the country after the cancellation of a work visa by a period of 180 days. However, you can check with the General Directorate of Residency and Foreigners Affairs (GDRFA) to see if the said order has been implemented.
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