Every employee in the UAE is entitled to protection against unlawful termination. There have been instances where employees are terminated while on annual leave, leaving them and their dependants facing sudden financial uncertainty due to the loss of their source of income. UAE Labour Law establishes a legal framework governing termination of employment and the commencement of the notice period.
Can an employer terminate an employee during leave? What does the law say?
Article 35 of the Federal Decree-Law No. (33) of 2021 Concerning the Regulation of Labour Relations states that where either party wishes to terminate an employment contract while the worker is on leave, the agreed notice period shall commence on the day following the worker’s scheduled return from leave, unless both parties agree otherwise. Article 35 specifically regulates when the notice period begins in such circumstances and does not, by itself, prohibit termination during leave.
Notice Period Requirements
Article 43(1) of the Employment Law provides that either party may terminate an employment contract for a legitimate reason, provided that written notice is given to the other party. The notice period must be as agreed upon in the employment contract, subject to a minimum of 30 days and a maximum of 90 days.
Rights and Obligations During the Notice Period
The employment contract remains effective throughout the notice period.
The employee is entitled to their full wage for that period.
The employee must continue working during the notice period if required by the employer.
Conclusion
UAE Labour Law provides a legal framework governing the termination of employment during leave and the commencement of the notice period. Both employers and employees must comply with the applicable legal requirements and contractual obligations. Employees who believe that their termination has violated their legal rights may seek legal advice or approach the Ministry of Human Resources and Emiratisation (MOHRE), as applicable.
At Ayesha Aldhaheri Advocates & Legal Consultants, we assist employees in understanding, protecting, and enforcing their legal rights under UAE Labour Law.