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Friday, October 2, 2026

UAE jobs: 10 legal ways of terminating employment contracts - Khaleej Times

Explained: Circumstances under which dismissals may be considered arbitrary

The UAE legislators stipulated some rules to regulate and arrange the matter of termination of employment contract whether it happened by the employer or the employee. This is to ensure that it is lawful if it happened in specific circumstances or it will be considered as arbitrary dismissal.

Under UAE’s new labour law, either party can terminate an employment contract provided he/she serves notice period and complies with the other legal consequences of the termination, according to the UAE Digital Government website.

It would be considered arbitrary dismissal if the employer terminates an employee because the latter filed a legitimate complaint with the Ministry of Human Resources and Emiratisation (MoHRE) or a lawsuit against the employer.

The following are the situations in which an employment contract may be terminated as per Article 42 of the Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations in the Private Sector - the ‘UAE Labour Law’:

1-If the term of the contract expires and is not extended or renewed.

2-If both the employer and employee mutually agree in writing to end the contract.

3-If either party wishes to end the contract, provided that the terminating party observes the provisions of termination of the employment contract and the notice period agreed upon (details below);

4- In the event of the employer’s death if the subject of the contract is related to its...



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