Wrongful Termination in the UAE — Know Your Rights
Under Federal Decree-Law No. 33 of 2021, UAE employers must follow strict rules when ending employment. If they didn't, you may be entitled to significant compensation on top of your standard dues.
The four types of termination under UAE law
Not all terminations are equal. UAE law distinguishes between lawful dismissals and unlawful ones — and the difference determines what compensation you can claim.
Termination with notice
Employer ends the contract with the legally required notice period (30 days for most contracts). Employee receives full gratuity, notice pay, and unused annual leave.
Termination without notice (summary)
Allowed only for serious misconduct under Article 44 — theft, assault, safety breach, 7+ days consecutive absence. Employer must prove the ground.
Arbitrary / wrongful dismissal
Termination with no valid reason, as retaliation for filing a complaint, or based on discrimination. Entitles the employee to additional court-awarded compensation.
Constructive dismissal
Employer makes working conditions so intolerable that the employee is forced to resign. Treated as termination by the employer under UAE courts — same rights apply.
What you are owed when terminated
Whether your dismissal was lawful or not, these are the dues every employee is entitled to upon termination.
End-of-service gratuity
Article 51 · Federal Decree-Law 33/2021
21 days/year (first 5 years) · 30 days/year (after 5 years)
Notice period pay
Article 43 · Federal Decree-Law 33/2021
30 days minimum (most contracts) — paid even if no notice was given
Accrued annual leave
Article 29 · Federal Decree-Law 33/2021
Unused leave days paid out at daily basic salary rate
Arbitrary dismissal compensation
Article 47 · Federal Decree-Law 33/2021
Up to 3 months' full salary — awarded by court if dismissal was arbitrary
Return flight ticket
Article 15 · Federal Decree-Law 33/2021
Employer must cover repatriation to home country if contract is terminated
Signs your dismissal may be wrongful
If any of these apply to your situation, your dismissal may qualify as arbitrary under UAE law — and you may be entitled to additional court-ordered compensation.
You were fired the day after filing a complaint with MOHRE or a government body
Your termination letter gives no reason, or the reason is vague ("restructuring" with no proof)
You were replaced by someone else doing the same job shortly after your dismissal
Your employer asked you to sign a resignation letter under pressure
Your employer cancelled your visa before paying your dues
You were terminated while on approved sick leave or maternity leave
Your employer changed your job, salary, or working conditions to force you to resign
5 steps to take after wrongful termination
Do not sign anything under pressure
Never sign a resignation letter or a settlement agreement under duress. Once signed, it becomes very difficult to challenge in court. Take time to understand what you are signing.
Collect all evidence immediately
Screenshot or save all relevant messages, emails, contracts, payslips, and your termination letter before your company email or phone access is revoked.
Calculate what you are owed
Use Sidqo's UAE gratuity calculator to estimate your end-of-service dues. Add notice pay and accrued leave. This is your baseline — anything less is a violation.
File a MOHRE complaint
If your employer has not paid all dues or if the dismissal was arbitrary, file a MOHRE complaint within 1 year of your last working day. Free to submit online.
Attend MOHRE mediation
Most disputes are settled at the MOHRE mediation stage. Bring all documents. If settlement fails, MOHRE refers the case to the Labour Court automatically.
Common questions about wrongful termination
What is arbitrary dismissal under UAE law?
Arbitrary dismissal under Article 47 of Federal Decree-Law No. 33 of 2021 occurs when an employer terminates an employee without valid reason, as retaliation for exercising a legal right, or in a manner unrelated to job performance.
How much compensation for wrongful termination?
Up to 3 months' full salary on top of standard gratuity, notice pay, and accrued leave. The amount is determined by the court based on the nature and circumstances of the dismissal.
Can I be terminated during probation?
Yes — with 14 days' written notice from either party. No notice means the terminating party owes the equivalent of 14 days' pay.
What are valid grounds for dismissal without notice?
Article 44 lists them: serious misconduct, repeated violations after warning, 7+ days' consecutive unauthorised absence, or serious safety breaches. General performance issues or restructuring require proper notice.
How long do I have to file a claim?
1 year from the date of termination. File as early as possible — delays weaken your case and you may lose the right to claim entirely.
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Were you terminated unfairly?
Tell Sidqo what happened and get a clear assessment of whether your dismissal was arbitrary, what compensation you are owed, and what to put in your MOHRE complaint.