x Abu Dhabi, UAETuesday 25 July 2017

What happens if you are made redundant in the UAE?

Keren Bobker advises on period of notice, payments and employment bans if you lose your job while working in the Emirates.

A skyline view of Abu Dhabi. A reader wants advice after being made redundant. Delores Johnson / The National
A skyline view of Abu Dhabi. A reader wants advice after being made redundant. Delores Johnson / The National

If an employer makes an employee redundant without prior notice, how much salary and what benefits should be given to the employee? My visa start date was January 1, 2014 and it was cancelled on July 12 this year, so will I be banned if I get a new job with a salary of less than Dh5,000? What if my last employer provided me with a NOC? How can I work? SF, Abu Dhabi

If an employee is a permanent member of staff they should be provided with 30 days’ notice of redundancy and if not then they must be paid 30 days’ salary in lieu. For such a short period no end of service gratuity is payable, but if the employee is leaving the UAE to return to a home country, the employer is obliged to pay for their flight. Anyone who is made redundant, no matter how short the period of employment, will not receive an employment ban and so can take up a new job in the UAE immediately.

Keren Bobker is an independent financial adviser with Holborn Assets in Dubai, with over 20 year’s experience. Contact her at keren@holbornassets.com Follow her on Twitter at @FinancialUAE

The advice provided in our columns does not constitute legal advice and is provided for information only. Readers are encouraged to seek appropriate independent legal advice

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