Made Redundant in the UAE: Your Rights and Next Steps

Under the 2021 Labour Law, the statutory minimum notice period is 30 days for employees who have worked for at least six months. Your employment contract may specify a longer notice period — your employer must honour whichever is more generous. Notice must be given in writing. You can agree to receive payment in lieu of notice instead of serving the notice period. During the notice period you are still entitled to your full salary and benefits, and your employer must allow you reasonable time to attend job interviews.

Gratuity is calculated on basic salary only (housing, transport, and other allowances are excluded) as follows: 21 days' basic salary for each year of service for the first five years; 30 days' basic salary for each year of service thereafter. Gratuity is payable after you complete at least one year of continuous service. It must be paid within 14 days of the termination date. For employees enrolled in the DIFC Employee Workplace Savings (DEWS) scheme or equivalent free zone pension schemes, different rules apply — consult your free zone authority.

Yes. The Involuntary Loss of Employment (ILOE) scheme, established under Federal Decree Law No. 13 of 2022 and launched in January 2023, is specifically designed for situations like redundancy, company closure, and contract non-renewal. If your employer was correctly registered and deducting monthly premiums (approximately AED 5–10/month from your salary), you can claim at iloe.ae within 30 days of your job loss. The benefit is 60% of your average basic salary for up to three months, capped at AED 20,000/month. ILOE does not cover voluntary resignation or dismissal for disciplinary reasons.

File a complaint with the Ministry of Human Resources and Emiratisation (MOHRE) via mohre.gov.ae or the MOHRE app. For free zone employees (DIFC, ADGM, JAFZA, DMCC), use the relevant free zone dispute resolution authority instead. MOHRE will attempt mediation first — this is free, typically takes 2–4 weeks, and resolves the majority of straightforward salary and gratuity disputes. If mediation fails, the case is referred to the Labour Court. Legal representation is not required at the mediation stage.

Yes. UAE Labour Law permits termination during probation by either party with 14 days' written notice (or more if specified in your contract). Probation cannot exceed 6 months. If you are terminated during probation, you are generally not entitled to end-of-service gratuity since that requires at least 12 months of continuous service. However, you are entitled to all outstanding salary, any accrued annual leave, and notice period compensation. Your 60-day visa grace period still applies from the date of visa cancellation.

Your 60-day visa grace period begins from the date your residence visa is formally cancelled by your employer — not from your last day of work, which may be earlier. Confirm the exact cancellation date in writing. During the grace period you can legally remain in the UAE, search for work, attend interviews, and process a new employer-sponsored visa. You can also convert to a visit visa, Green Visa, or other status if your job search needs more time. Do not work without a valid employment visa — the grace period covers your stay, not your right to work.

MOHRE's process is two-stage. Mandatory mediation typically takes 2–4 weeks for standard cases involving unpaid salary or gratuity — and most straightforward disputes are resolved here without any further process. If mediation fails, the case is referred to the Labour Court, which typically takes 3–6 months for a first-instance judgment. Appeals extend the timeline further. Mediation is free and does not require a lawyer. For claims under AED 100,000, the Labour Court process is also relatively accessible without legal representation, though representation is advisable for larger or more complex disputes.

Get written confirmation of your last day, the reason for termination, and the exact date your visa will be cancelled. Confirm your gratuity calculation with HR in writing — ask for a written breakdown. Request an experience letter or employment certificate while you still have leverage. Back up all professional contacts, documents, and work samples you are permitted to keep. File your ILOE claim at iloe.ae if eligible — the 30-day window starts now. In the first week: update your CV and LinkedIn; activate your network directly rather than waiting for job boards to deliver; and focus your first applications on your strongest 10–15 targets rather than applying broadly.