Navigating the complexities of employment in the United Arab Emirates can sometimes lead to situations where an employment contract needs to be terminated. Whether you are an employer needing to dismiss an employee or an employee resigning from your position, having a clear and legally sound termination letter is crucial. This article provides a comprehensive overview, including a practical Termination Letter Sample UAE, to help you through this process with confidence and clarity.
Understanding the Termination Letter Sample UAE
A termination letter is a formal document that officially notifies one party that the employment relationship with the other party is ending. In the UAE, adhering to specific legal requirements for termination letters is paramount to avoid disputes and ensure compliance with the Ministry of Human Resources and Emiratisation (MOHRE) regulations. The importance of having a correctly drafted termination letter cannot be overstated.
A well-structured Termination Letter Sample UAE should typically include:
- Clear identification of both the employer and employee.
- The effective date of termination.
- The specific reason for termination (if applicable and required by law).
- Details regarding final dues, such as salary, end-of-service gratuity, and accrued leave.
- Information about any notice period served or payment in lieu of notice.
- Contact details for further queries.
Here is a brief overview of key elements often found in a Termination Letter Sample UAE:
| Section | Purpose |
|---|---|
| Header | Company name, address, employee details. |
| Salutation | Formal greeting to the employee. |
| Body | Statement of termination, effective date, reason (if applicable), and details of final settlement. |
| Closing | Formal closing and signature. |
Termination Letter Sample UAE for Resignation
Subject: Resignation - [Employee Name]
Dear [Manager Name],
Please accept this letter as formal notification that I am resigning from my position as [Your Job Title] at [Company Name]. My last day of employment will be [Your Last Day of Employment], in accordance with the notice period outlined in my employment contract.
I would like to express my gratitude for the opportunities I have been given during my time at [Company Name]. I wish you and the company all the best for the future.
I am committed to ensuring a smooth transition during my remaining time here and am happy to assist in training my replacement.
Sincerely,
[Your Name]
Termination Letter Sample UAE for Redundancy/Restructuring
Subject: Termination of Employment - [Employee Name]
Dear [Employee Name],
This letter serves as formal notification that your employment with [Company Name] will be terminated due to [State the reason clearly, e.g., organizational restructuring, redundancy of your role]. Your last day of employment will be [Last Day of Employment].
This decision was made after careful consideration and is a result of [Provide brief, non-discriminatory explanation. For example, "a company-wide restructuring aimed at improving operational efficiency"].
We understand this news may be difficult. In accordance with UAE Labour Law and your contract, you will receive [Specify notice period or payment in lieu of notice] and your full end-of-service benefits, including any accrued leave pay and severance pay, which will be calculated and processed according to applicable regulations.
We would like to thank you for your service to [Company Name] and wish you success in your future endeavors.
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for Poor Performance
Subject: Termination of Employment - [Employee Name]
Dear [Employee Name],
This letter is to inform you that your employment with [Company Name] is terminated, effective [Last Day of Employment], due to ongoing unsatisfactory performance in your role as [Your Job Title].
Despite previous discussions and [Mention any performance improvement plans or warnings provided, e.g., "a documented performance improvement plan implemented on [Date]"], your performance has not met the required standards for your position. Specifically, [Briefly mention the key areas of concern, e.g., "consistent failure to meet project deadlines," "errors in reporting," "lack of attention to detail"].
As per your employment contract and UAE Labour Law, you will receive your final dues, including your salary up to your last day of employment, accrued leave pay, and any applicable end-of-service gratuity. Your notice period entitlement will be [State if notice is served or payment in lieu is made].
We wish you the best in your future career pursuits.
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for Gross Misconduct
Subject: Termination of Employment - [Employee Name] - Gross Misconduct
Dear [Employee Name],
This letter is to inform you that your employment with [Company Name] is terminated with immediate effect, effective [Date of Termination], due to gross misconduct.
Our investigation into [Briefly state the nature of the misconduct, e.g., "the incident on [Date] concerning [Specific action]"] has revealed a serious breach of company policy and the terms of your employment contract. This behavior constitutes gross misconduct as defined by Article [Mention relevant article if known, otherwise omit] of the UAE Labour Law and our company’s disciplinary code.
Due to the nature of the misconduct, your final settlement will be processed in accordance with the provisions of the UAE Labour Law concerning termination for gross misconduct, which may affect your entitlement to certain end-of-service benefits.
You are required to return all company property by [Date/Time].
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for Breach of Contract
Subject: Termination of Employment - [Employee Name] - Breach of Contract
Dear [Employee Name],
This letter serves as formal notification that your employment with [Company Name] is terminated, effective [Last Day of Employment], due to a material breach of your employment contract.
Our records indicate that you have [Clearly state the breach of contract, e.g., "shared confidential company information with an external party on [Date]," "violated the non-compete clause as per Article [Number] of your contract by engaging in similar business activities with [Competitor Name]"].
As a consequence of this breach, and in accordance with Article [Mention relevant article if known] of the UAE Labour Law and your employment contract, your termination is effective as stated. Your final settlement will be calculated in line with the relevant legal provisions.
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for End of Probation Period (No Confirmation)
Subject: Conclusion of Probationary Period - [Employee Name]
Dear [Employee Name],
This letter confirms that your probationary period with [Company Name] will conclude on [End Date of Probation].
Following a review of your performance during this period, we have concluded that your role is not a suitable long-term fit for the company at this time. Therefore, your employment with [Company Name] will cease on [Last Day of Employment], which is the end of your agreed probationary period.
You will receive your final salary, accrued leave pay, and any other entitlements due to you up to your last day of employment, in accordance with UAE Labour Law.
We thank you for your efforts during your probation and wish you success in your future career.
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for Expiry of Contract (Fixed Term)
Subject: Non-Renewal of Fixed-Term Employment Contract - [Employee Name]
Dear [Employee Name],
This letter is to inform you that your fixed-term employment contract with [Company Name] for the position of [Your Job Title] will expire on [Contract End Date] and will not be renewed.
Therefore, your last day of employment with [Company Name] will be [Contract End Date].
We would like to express our appreciation for your contributions during your tenure. You will receive your final salary, accrued leave pay, and end-of-service gratuity in accordance with the terms of your contract and UAE Labour Law.
We wish you the very best in your future endeavors.
Sincerely,
[Employer Name/HR Department]
Termination Letter Sample UAE for Mutual Agreement
Subject: Mutual Agreement for Termination of Employment - [Employee Name]
Dear [Employee Name],
This letter serves to confirm our mutual agreement to terminate your employment contract with [Company Name] for the position of [Your Job Title].
We have reached this agreement amicably, and both parties acknowledge and consent to the termination. Your last day of employment will be [Last Day of Employment].
Both parties agree that [Specify any agreed-upon terms, e.g., "no further claims will be made by either party," "the notice period will be waived," "a specific severance package will be provided"].
You will receive your final dues, including [Mention what will be paid, e.g., salary up to your last day, accrued leave, etc.], as per our agreement and UAE Labour Law.
We thank you for your service and wish you well in your future endeavors.
Sincerely,
[Employer Name/HR Department]
Agreed and Accepted by:
[Employee Name]
Date: [Date]
In conclusion, having a readily available and accurate Termination Letter Sample UAE can be an invaluable resource for both employers and employees. It ensures that the termination process is conducted with transparency, fairness, and in full compliance with the UAE's labor laws. Always consult with legal counsel or HR professionals if you have any specific questions or concerns regarding employment termination in the UAE to ensure all legal requirements are met.