I have been working in Dubai Internet City for eight months on a limited contract. I want to switch jobs from the free zone to another organisation. My registered employment contract says I have a notice period of one month but my company’s internal HR policy says my notice period is two months. So which one will prevail? Secondly, do I have to surrender my salary to my employer if I switch my job? UA, Dubai
If the contract of employment states that the notice period is 30 days then that is the amount of notice that is required. This is the agreement of terms between an employee and employer and the copy that is registered with the Ministry of Labour is the one that is enforceable, so 30 days in this case. Separately, if anyone wishes to leave employment before the end of the term as specified in a fixed term employment contract then compensation is payable to the employer. Article 116 of UAE Labour Law states that, “if the contract has been terminated on part of the employee ... the employee becomes liable for compensating the employer against losses incurred by him in consequence of contract termination, provided that the amount of compensation, may not exceed half a month’s pay for a period of three months or for the remaining period of contract whichever is shorter, unless the terms of the contract provide otherwise.” In this case UA would be subject to this charge.
Keren Bobker is an independent financial adviser with Holborn Assets in Dubai, with over 20 years 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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