Small Companies, UAE Labour Law and Valid Terminations

UAE Labour Law and Small Companies:

If we talk about the Labour and Employment Laws of the United Arab Emirates, then businesses have been treated in a very good and flexible manner. Free-Zone and Mainland companies are protected by UAE Labour Law. The criteria in which they judge the small business is that they have 15 or fewer numbers of employees. These numbers are calculated by including all permanent and freelance workforce. Therefore the small companies, are well protected by the Law. This is the beauty of any Law or Lawmaker where special attention is paid to small companies, so they could not be disappeared among big giants. 

The Valid Termination Process: 

There are many confusions for the employers as well as they need much guidance on the process in which it is involved that should a worker be dismissed after one year? And the employer has to stick with this code. If termination has to be done, then it should be fair. Another way of doing this and to prevent an employee from commencing an unfair dismissal claim is by when the company is downsizing or if they don’t need those services any longer. The termination process depends upon the valid criteria, types of Employment Contract and the way employee is terminated. 3 Months Salary as compensation can be due to the employee if the termination is not executed as per the Law. Whatever the size of the company there should be no genuine reason for terminating the employee. Valid reasons will protect you from any lawsuits and labour and employment lawyers will guide you with these. There are some situations in which an employer gets stuck and he or she is able to terminate its employees without giving any notification or warning and these include and an employee has some reasonable and understandable grounds that the employee’s suspects were serious in nature or if there are any disciplinary actions. These include theft, violation of rules, violence, fraud, etc. Sometimes these crimes are so big the employees are bound to report them to the police. If the employer has to file a criminal case then he also has to prepare the expert report. Expert report has become a necessary part of filling the Criminal Case. In other cases, if instant dismissals are not warranted the employer is obliged to give the employee a warning with proper reasoning as to why their job is at risk. Warning may be related to so many things but it will risk their jobs if they do not get themselves correct. These warnings are mostly done by writing and giving in document form to the employee in order to make a record of this and to have proof of misconduct. Because verbal warnings cannot become proof if the company gets legal notice from that employee. That’s why for the record each and everything should be documented. There should be an opportunity for the employee to reply back to that warning letter and to give proper time to prove themselves that they are accused wrongly. Follow-up meetings must be done on a regular basis to know the process.

UAE Labour Law Article 3 tells us that the provisions of UAE Labour Law will not be applicable to employees of the federal government, governmental departments etc. UAE Labour Law Article 3 should be read in detail and understood with the helo of  Labour and Employment Lawyers. The Labour Lawyers in Dubai/Employment Lawyers in Dubai can be hired for this one time job or recruited for a full job to understand UAE Labour Law.





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