Question: I work for a company in mainland Dubai. How can I legally terminate an employee for not performing well? I have a team member who isn’t meeting job expectations, and I want to understand the process to avoid wrongful termination claims against the company.
Answer: In the UAE, employees are required to work hard and improve their job performance. This requirement is stated in Article 16(8) of the Federal Decree Law No. 33 of 2021 on Employment Relations, which says that employees should “work diligently and consistently develop their professional skills to improve performance.”
If an employee is not meeting their job expectations according to the employment contract, the employer can take disciplinary actions. This includes providing written notices and warnings, and ultimately terminating the employee’s contract.
This process is outlined in Article 39 (1) (a), (b), and (g) of the Employment Law, which states that an employer can impose sanctions on an employee for violating the law, including:
a. A written notice of attention
b. A written warning
g. Termination with severance pay
Additionally, an employer can dismiss an employee without the usual notice period for poor performance after providing two written warnings and completing an investigation.
Article 44 (4) of the Employment Law states that an employer can terminate an employee without notice after a written investigation, as long as the dismissal is documented in writing and explains the reasons. This is applicable if the employee has failed to fulfill their main job duties and has not improved after being warned.
An employer cannot accuse an employee of any workplace violation if it is discovered more than 30 days after the incident. Moreover, if an investigation confirms a violation, any disciplinary action must be taken within 60 days after the investigation is completed. This is in accordance with Article 24 (4) of Cabinet Resolution No. 1 of 2022 on the Implementation of Federal Decree Law No. 33 of 2021 Regarding Employment Relations.
If an employer does not follow these legal steps when terminating an employee for performance issues, the employee may file a complaint with the Ministry of Human Resources and Emiratisation. In such cases, the termination could be considered unjustified according to Article 47 of the Employment Law.
Based on the information above, you can follow these legal procedures to terminate an employee for poor performance.
