Part of KH Legal’s labour & employment practice.
Terminated without warning, without reason — or for a reason you know is false? UAE labour law distinguishes between lawful termination (which requires notice and full entitlements) and unlawful dismissal (which adds compensation on top). Knowing which yours was, and proving it, is the difference between a settlement and a shrug.
Lawful vs Unlawful Termination
Employers may terminate with notice for legitimate reasons — but dismissal becomes unlawful when it follows a complaint you filed against the employer, targets you for asserting legal rights, or rests on fabricated grounds. Unlawful dismissal entitles you to compensation in addition to notice pay, accrued leave and end-of-service gratuity.
What You’re Owed on Any Termination
- Notice period pay (or payment in lieu)
- Accrued, untaken annual leave
- End-of-service gratuity calculated on basic salary and service years
- Repatriation ticket where applicable
- Plus compensation if the dismissal was unlawful — assessed by the court within statutory limits
Final settlements are undercalculated often enough that checking yours takes us less than an hour — and pays for itself more often than not.
Building the Case
- Preserve everything now — the termination letter (or the absence of one), messages, performance reviews, the timeline between any complaint you made and the dismissal.
- Don’t sign a final settlement under pressure — read it first; signing can compromise claims. Have it checked the same day.
- File within the year — the one-year limitation runs from the entitlement date.
- MOHRE first, court second — mediation resolves many dismissal cases; those that proceed benefit from the documentary groundwork laid before filing.
The Employer Side
We also act for employers running lawful restructurings and defending dismissal claims — which is exactly why our employee-side advice is realistic: we know the defenses because we build them. Both-sides fluency is the criterion that matters most in this field.
Frequently Asked Questions
What is arbitrary dismissal in the UAE?
Dismissal for illegitimate reasons — classically, termination because you filed a genuine complaint against the employer or asserted your legal rights. It entitles you to compensation beyond your standard end-of-service entitlements.
How much compensation for wrongful dismissal in the UAE?
Courts assess it within statutory limits based on service length, salary and the circumstances — on top of notice, leave and gratuity. Beware anyone promising exact figures before reviewing your file; realistic ranges come after the facts.
Should I sign the final settlement my employer gave me?
Not under pressure, and not before checking the math — settlements are commonly undercalculated, and signing can compromise claims. A same-day review costs little; a wrong signature can cost the claim.
Can I be dismissed while on sick leave or after a workplace complaint?
Both situations raise red flags the law takes seriously: timing between a protected act and dismissal is evidence. Preserve the timeline and take advice — these are among the strongest dismissal claims.
How long do I have to challenge a dismissal?
One year from the entitlement date for money claims — and if MOHRE issues a decision, fifteen working days to challenge it in court. Both clocks are strict; start early.
Dismissed? Get your settlement checked free: +971 4 427 0845 · WhatsApp us the details.
Related: unpaid salary claims · filing a MOHRE complaint.