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Benefits in the event of arbitrary job termination
Q. I entered into a four-year contract with an engineering company in the UAE. Fifteen months later, I received a letter of termination, which I think is in violation of law. Am I entitled to any benefits? What are they?
A. Termination of the employee's service shall be considered arbitrary under Article 122 of the Federal Labour Law if the reason for termination does not relate to work. Dismissal shall also be considered arbitrary if it happens after the employee had filed a complaint with the authorities concerned or filed a court case against the employer.
In the event of arbitrary termination, the employee is entitled to certain benefits.
Yet, the employee should first go to the Labour Disputes Committee in the Ministry of Labour. If the committee is unable to resolve the matter amicably, the complaint shall be referred to the court.
The benefits which an employee is entitled to are one's month's salary in lieu of 30-day prior notice, annual vacation allowance and end-of-service gratuity.
The employee can also seek compensation against arbitrary discharge, as per Article 123 of the labour law.
The court would then order the employer to pay compensation according to the nature of the job and the harm caused to the employee.
However, the compensation amount, in no circumstance, shall exceed the employee's wages for a period of three months, calculated according to the last salary drawn.
The employer shall also give the employee, at his request, a service certificate free of charge, stating the date of service commencement, termination date, total period of service, the nature of work carried out by the employee, last salary and allowances, if any.
The employer shall also return the employee's certificates, papers, and instruments, if any, according to Article 125 of the Labour Law. —Compiled by Ahmed Shaaban
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