What is the difference between limited and unlimited contract in uae

Should the employee wish to terminate the contract for reasons other than stated in Article of the UAE Labour Law the employee is liable to pay 6 weeks of gross salary to the employer or for the remaining contract period; whichever is less. Termination of an unlimited contract The contract may be terminated by either the employer or employee on condition that the contractual notice period is given, usually defined as 30 days.

The employer may terminate an unlimited contract without notice should the employee violate Article of the UAE Labour Law. The employee may terminate the contract without notice if the employer fails to fill his obligations as stated in Article of the UAE Labour Law. To conclude, limited contracts can be useful for employers for project-based work with specific timelines. However, due to the inflexibility of limited contracts for termination purposes, unlimited contracts are more commonly used in the UAE as they are deemed to be more flexible and user friendly for both the employer and the employee.

Business Development Manager james. Regional Business Consultant jamie. Business Consultant — Abu Dhabi jade propartnergroup. All about limited contracts in the UAE. What is a limited contract in the UAE? Conditions under which an employer can dismiss an employee on a limited contract Gross misconduct could lead to the termination of limited employment contract UAE According to Article of the UAE Labour Law, the employer can dismiss an employee under a limited contract without any notice in the following circumstances: If the employee commits forgery of documentation or identity If the employee causes any substantial financial loss to the employer If the employee puts the safety of the business into risk by violating instructions If the employee does not perform their basic duties mentioned under the contract despite being given formal reminders and warnings in this regard If the employee divulges any secrets of the company If the employee assaults someone in the company If the employee is found intoxicated or drugged If the employee is found guilty by the court for violating public morals.

Difference in Clauses A limited contract mentions both the start and end date of the contract. Difference in Duration A limited contract typically expires within the period defined in the contract unless renewed by the employer upon mutual agreement with the employee.

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Stay fit and healthy at these affordable gyms in Abu Dhabi. Market Trends. How to prevent the spread of coronavirus at the workplace. Q: I have an unlimited contract with the employer and I have not completed the probation. Can I leave the company without notice or do I have to give notice, and can they ban me from working after that or not?

Q: Hi Sir, Please, can you help me understand the following below? I have been terminated from my company in Dubai. They had made me sign one letter on their Official Letterhead that they have terminated me and will be giving a grace period of one month.

This was almost 1. After this now they have made me sign the Cancellation Letter for closing the Contract. They are telling me they will be paying my basic salary and not be paying HR, is that ok by Law? Also, they will be deducting the cost of the car and mobile SIM since the letter which they provided to me. Please, can you help me understand the Law of termination in Dubai, so that if in any part they wrong I could take legal action if required?

Employee rights in case of changing an unlimited contract to a limited contract. Q: Hi, What is the law if an employer wants to change a contract from an unlimited to a limited contract?

When an employee or employer mentions legal issues related to their labour relationship, the first question to be raised is: do you have a limited or unlimited labour contract? We try here to shed light on the relevant provisions of the limited and unlimited contracts in the UAE labour law pertaining to resignation, termination of employment, notice period and calculation of the end of service benefits.

An interview-format article covering the topic of employment contracts in the UAE. Ludmila discusses the aspects of limited and unlimited contracts, like the end of service, notice, arbitrary dismissal There are special labour related regulations applicable in some of the free zones in the UAE.

Can you help? My wife is a partner in a civil company in Dubai. The company has 4 partners; 3 of them are out of the country.

The company bought things for AED 50k which was not paid back and now they filed a case. What will be the liability for my wife? What will be my wife's liability for that company? Hi Sudhanshu, Hope you are well.

What are my rights for establishing an e-com business meant for trading outside the UAE. Best regards, A. Hello, I hope you're all doing well during this tough time. I have a question in regards to bounced cheques, specifically corporate cheques. I have a cheque for AED ,, and it has bounced. The owner of the corporate has asked for a month to pay back.

However, I am worried he will leave the country and not honour his obligation. My questions are fairly simple: 1 Am I to put a case on the individual who signed it or the corporate? Hello, I would love to ask for advice. What is the liability of managing director, who is not mentioned on the trade license but has a power of attorney to act on behalf of the owner, sign contracts and documentation, deal with banks and UAE authorities, tax returns We are talking about an LLC company in Dubai.

And would you recommend directors and offices liability insurance? Thank you for your help. Hi My company fired me after 8 years of service for accusing me of 10k. The case is still in the prosecution and I provided evidence. My question: Can I file a case in labor to get my end of service and my last month's salary?

Should I wait for the decision from the prosecutor to file the case in labor? I had my braces from a dental clinic in My teeth had a slanted angle back then. The treatment lasted for 5 years, but then the X-ray showed that the roots of my teeth were shortened and the dentist said we have to stop the treatment and remove the braces because of the risk of losing my teeth. I was very dissatisfied with what happened.

I asked what caused the shortening of roots and he did not give me a definite answer. So to cut the story short, they removed my braces this June. After 5 years, the angle of my tooth is still bad and slanted. But the fact that it took so long for them to fix my teeth and in the end, they were only able to correct the bite.

I have been renting an apartment for 1. Recently, the kitchen ceiling leaked and the water has gone into the wooden cabinets and 3 of the cabinets have completely rotted from inside. All of our food in there is destroyed. Not only that, but the water from the leak mixed with the glue from the wooden cabinets and became brown and sticky. It is now all over the worktops and the floor and appliances in the kitchen. There are puddles of brown water on the floor.

The entire kitchen is unusable. The main maintenance person first refused to visit the apartment to inspect the damage. He only came when we insisted and then told us we have to wait until next Thursday to get the work done. Meanwhile, we cannot use the kitchen, every day the water is spreading more and more and there are now flies everywhere and the smell is terrible. Can I legally deduct the rent for the number of weeks we have been without a kitchen?

I need to pay rent for the second half of the year in August. My limited-term employment contract states as below. Please let me know, does this entitle my employer to deduct 6 months salary if I terminate the contract without serving a notice period. Such period shall be similar for both parties. Such wage shall be similar for both parties. So please help me asap to get me in Dubai, as I have a business meeting that needs to be physically done soon in Dubai. Best, K. Hi, I am working for a company in Dubai that has a trade license registered both under the mainland and in the free zone.

My work permit was under free zone for the last 06 years and now they have requested me to cancel the free zone visa and get the new work permit under the mainland. They have forwarded me a document from Tecom to proceed with the cancellation, stating that I have received all my dues as part of gratuity. However, the mitigation company has given a service continuation letter stating this is just an internal process and I have not received my dues.

Is this enough to protect me legally from any dispute that may occur in the future, or do I need to ask them for a notary attestation of the outstanding dues to get more protection from a legal perspective? Kindly advise. One of my friends was offered a manager position from an organization with a proper MOL contract.

However, on the day of joining, the employer sent another offer saying that your position is demoted. What are the chances of complaining against this? She lost other chances of employment. The company is processing my residence visa and in my contract, I did not sign but someone signed my contract.

How can I file a complaint? I entered into a limited-term contract with my employer in Feb