The end of an employment relationship, by resignation or dismissal, raises many questions: how much notice must be given? What happens if no notice is given? In which cases may the employer dismiss without notice? This article is based on the "Terminating employment contracts and arbitrary dismissal" and "Disciplinary rules and procedures" pages of the official UAE Government portal (`u.ae`) and the English text of "Federal Decree-Law No. 33 of 2021 regarding the regulation of employment relationships" published by the same portal; these sources were checked on 25 October 2026.
How a contract ends
Article 42 of the law lists the cases in which a contract ends, including:
- the written agreement of both parties;
- expiry of the contract term, if it is not extended or renewed;
- the wish of either party, observing the notice rules;
- the worker's death or permanent total disability, with a medical certificate;
- a final prison sentence of at least 3 months against the worker;
- permanent closure of the establishment, bankruptcy, or economic or exceptional reasons under the Implementing Regulation;
- failure to meet the conditions for renewing the work permit for a reason beyond the employer's control.
Notice period
| Subject | Official rule (Article 43) |
|---|---|
| Length | As in the contract, at least 30 and at most 90 days, with written notice and a legitimate reason |
| During notice | The contract stays in force; the worker receives full pay based on the last wage and works if the employer asks |
| Shortening or waiving | By agreement, provided all the worker's rights for the contract's notice period are preserved |
| Equal for both parties | The period is the same for both parties, unless it favours the worker |
| Not observing the notice | The party at fault pays a "notice period allowance" equal to the worker's wage for the whole period or the rest of it, even if no harm was caused |
| Job search | If the employer ends the contract, the worker may be absent one working day a week without pay during notice to look for work, telling the employer at least 3 days in advance |
Dismissal without notice
Article 44 says that, after a written investigation, and with a written and reasoned decision handed to the worker, the employer may dismiss without notice only in these cases:
| Case | Details |
|---|---|
| 1 | Impersonation or submitting forged certificates or documents |
| 2 | A mistake causing serious financial loss, or deliberate damage to the employer's property admitted by the worker; the employer must report to the Ministry within 7 working days |
| 3 | Breach of written safety instructions displayed and made known to the worker |
| 4 | Failure to perform basic duties, continuing after a written investigation and two warnings of dismissal |
| 5 | Disclosing an industrial or intellectual property secret causing loss, a missed opportunity or personal gain |
| 6 | Being drunk or under the influence of drugs during working hours, or acting against public morals at work |
| 7 | Assaulting the employer, a manager, a superior or a colleague at work |
| 8 | Unjustified absence of more than 20 intermittent days in a year or more than 7 consecutive days |
| 9 | Exploiting the position for personal gain |
| 10 | Joining another establishment without following the prescribed rules and procedures |
Leaving work without notice
Article 45 says the worker may leave work without notice in these cases and keeps their end-of-service rights:
| Case | Condition |
|---|---|
| Employer's breach of obligations | The worker informs the Ministry 14 working days before leaving, and the employer does not remedy the breach after being notified by the Ministry |
| Assault, violence or harassment by the employer or their representative | The worker reports to the competent authorities and the Ministry within 5 working days of being able to do so |
| Serious danger at the workplace | The employer knows of it and does nothing to remove it |
| Fundamentally different work | The employer asks for work fundamentally different from the contract without the worker's written consent, except in cases of necessity |
Unlawful dismissal and other protections
| Subject | Official rule |
|---|---|
| Unlawful dismissal (Article 47) | Dismissal because of the worker's serious complaint to the Ministry or a proven lawsuit against the employer |
| Compensation | Set by the court considering the type of work, the harm and the length of service; at most 3 months' wages based on the last wage |
| Other rights | Compensation does not remove the notice period allowance or the end-of-service gratuity |
| Sick leave | The employer cannot dismiss a worker or give notice of termination during sick leave |
| Lack of health fitness (Article 46) | Ending employment for lack of health fitness before the legal leave has been used is prohibited |
Disciplinary penalties before dismissal
The disciplinary rules page lists these penalties in order: written notice, written warning, wage deduction, suspension without pay for up to 14 days, deprivation of the periodic bonus for up to one year, deprivation of promotion for up to two years, and termination with the end-of-service gratuity preserved. A violation cannot be charged more than 30 days after it is discovered, and a penalty cannot be imposed more than 60 days after the investigation ends and the violation is confirmed. Before any penalty, the worker must be notified in writing, heard, and their defence reviewed. An employer with 50 or more workers must have a complaints system and internal regulations.
A point on probation
The termination page says a worker who resigns during probation without the employer having breached any obligation cannot obtain a new work permit for one year after leaving (Ministerial Resolution No. 47 of 2022, Article 8). See the probation notice periods in the article "Hiring in the UAE".
Two examples
These examples are hypothetical and only apply the official rules above.
Example 1: resigning without observing the notice. An employee earning AED 12,000 a month has a 60-day notice period in the contract. They resign and work only 20 days.
| Part | Calculation | Result |
|---|---|---|
| Contract notice | — | 60 days |
| Notice not observed | 60 − 20 | 40 days |
| Notice period allowance owed by the employee to the employer | 40 days' pay based on the last wage | With a simplified assumption of AED 400 per day: 40 × 400 = AED 16,000 |
How the daily wage is derived from the monthly salary is set in the Implementing Regulation and the contract; the figure above is only an estimate. If both parties agree in writing to shorten the notice, this allowance does not arise.
Example 2: dismissal after a complaint. Two weeks after a serious and proven complaint to the Ministry by a worker earning AED 8,000, the employer ends their contract, and the court finds the dismissal unlawful.
| Part | Rule | Result |
|---|---|---|
| Cap on unlawful dismissal compensation | 3 months' wages | At most AED 24,000, as the court decides |
| Notice period allowance | If the notice was not observed | Separate |
| End-of-service gratuity | Under the law | Separate |
Practical points
- Check the notice period in your contract; it is between 30 and 90 days and the same for both parties.
- Give a resignation or termination notice in writing, dated, and keep a copy.
- If the employer has ended the contract, use the right to one unpaid day off a week to look for work, with 3 days' prior notice.
- For complaints and disputes, go first to the Ministry of Human Resources and Emiratisation.
- See the end-of-service gratuity in the article "End-of-service gratuity in the UAE private sector".
Royal Golden does not give legal advice. This article is general information, and the decision on any labour dispute rests with the Ministry of Human Resources and Emiratisation and the competent UAE courts.
Sources
- UAE Government portal, Terminating employment contracts and arbitrary dismissal — https://u.ae/en/information-and-services/jobs/Sector-of-employment/employment-in-the-private-sector/terminating-employment-contracts (checked on 25 October 2026)
- UAE Government portal, Disciplinary rules and procedures — https://u.ae/en/information-and-services/jobs/Sector-of-employment/employment-in-the-private-sector/disciplinary-rules (checked on 25 October 2026)
- UAE Government portal, unofficial English text of Federal Decree-Law No. 33 of 2021 regarding the regulation of employment relationships — https://assets.u.ae/api/public/content/eb65a60bbff949fa912eddd566613014?v=7174ed78 (checked on 25 October 2026)