10 Instances Where an Employer Can Legally Sack an Employee
In the UAE, employers have the legal right to dismiss employees without prior notice under specific circumstances outlined in Article 44 of Federal Law No. 33 of 2021. This law ensures that employers can take necessary action to protect their business interests while maintaining fairness in the workplace. However, it is crucial for employers to understand the conditions under which such dismissals are permissible to avoid legal repercussions. This article explores the 10 instances where an employer can legally terminate an employee without warning and addresses related questions about end-of-service benefits and non-compete clauses.
Legal Grounds for Dismissal Without Warning
According to Article 44 of Federal Law No. 33 of 2021, an employer may dismiss an employee without notice in the following scenarios:
1. Submission of False Documents
If an employee is found to have submitted fake certificates, documents, or impersonated another person during the hiring process, the employer has the right to terminate their employment immediately.
2. Causing Grave Material Loss
An employee can be dismissed without warning if they make a mistake that results in significant financial loss to the employer or deliberately damage company property and admit to it.
3. Violation of Workplace Safety Rules
If an employee violates the company’s internal safety regulations, putting themselves or others at risk, the employer can terminate their employment.
4. Failure to Perform Basic Duties
An employee who consistently fails to fulfill their contractual obligations, even after a written warning and investigation, can be dismissed without notice.
5. Disclosure of Work Secrets
Employees who disclose confidential information related to intellectual property or trade secrets, causing harm to the employer, can be terminated immediately.
6. Misconduct During Working Hours
If an employee is found under the influence of alcohol, narcotics, or psychotropic substances during work hours or engages in behavior contrary to public morals, they can be dismissed without warning.
7. Assault in the Workplace
Any form of verbal or physical assault against the employer, manager, colleagues, or superiors is grounds for immediate termination.
8. Unauthorized Absence
An employee who is absent without a valid reason for more than 20 non-consecutive days or 7 consecutive days can be dismissed without notice.
9. Exploitation of Job Position
If an employee illegally uses their position for personal gain or profit, the employer has the right to terminate their employment.
10. Working for a Competing Company
Employees who work for another establishment without following the proper procedures or violating non-compete clauses can be dismissed without warning.
End-of-Service Benefits and Non-Compete Clauses
Can an Employer Withhold End-of-Service Benefits?
If an employee is dismissed for any of the above reasons, the employer may withhold end-of-service benefits, as the termination is considered justified under UAE labor law.
Enforcing Non-Compete Clauses
If the employment contract includes a non-compete clause, the employer has the legal right to enforce it. If the employee violates this clause by working for a competing company, the employer can claim the agreed-upon compensation as stipulated in the contract.
Key Considerations for Employers
1. Documentation and Evidence
Employers must maintain proper documentation and evidence to support their decision to dismiss an employee without notice. This includes written warnings, investigation reports, and proof of misconduct.
2. Compliance with Labor Laws
Employers must ensure that their actions comply with UAE labor laws to avoid legal disputes or penalties.
3. Fair Treatment
While employers have the right to dismiss employees for valid reasons, they must ensure that the process is fair and transparent.
Conclusion
Understanding the legal grounds for dismissing an employee without warning is essential for employers in the UAE. Article 44 of Federal Law No. 33 of 2021 provides clear guidelines to protect both employers and employees, ensuring that terminations are justified and fair. Employers must adhere to these regulations, maintain proper documentation, and treat employees fairly to avoid legal complications.
By following these guidelines, employers can safeguard their business interests while upholding the principles of fairness and transparency in the workplace.
