Resignation under Limited Contract

Resignation from a UAE job is a matter discussed mostly by the expatriates. The following section provides clarifications on the matters that will affect an individual who has given resignation under limited contract.
UAE Visa - Resignation under Limited Contract

Question: My limited contract expires in this month. Can I give resignation now?

Answer: Yes, you can now submit your resignation from the job.

Question: I am working in a private company in Dubai for last four years. Do I need a  NOC (no-objection certificate) from this company to join another company?

Answer: As per the rules of Ministry of Labour; a no-objection certificate is not required for work permit in the new company. Since the employee has completed more than two years in service, he can join another company with out any labour ban.

Question: Is it mandatory for the person to serve notice period after giving resignation letter?

Answer: The employee is not necessary to serve a notice period because the employment contract is a limited one.

Question: The offer letter stated that my gross salary will be Dh12,000, plus accommodation provided by the company. But the labour contract from the Ministry of Labour signed by me and sponsor shows salary as Dh8,000 plus accommodation. Will there any problem with this at the time of final settlement after resignation under limited contract?

Answer: There will not be any problem with this. The final settlemet should be made as per the last salary drawn by you. You can prove this in court or labour ministry that you were paid a salary more than that mentioned in the employment contract.

You can submit bank statements and pay slip copy (if you receive any) as proof of higher salary.

Question: I started working at a UAE company in Feb-2010 on a visit visa and company residence visa was stamped only in Mar-2010. What is the period for which my gratuity amount will be calculated? Is it from the day I started working or from the day my visa is stamped by the company and signing of the labour contract.

Answer: The working period will be calculated by the court or labour ministry starting from the first day the worker has joined the company. Gratuity is calculated based on the last gross salary received by the worker instead of the salary mentioned in the employment contract.  End-of-service gratuity is calculated on the basis of 21 days for each year of service for persons who have completed more than 3 years in a company. Resigning from the job after the completion of a limited  contract is not a violation as per the labour law.

Question: I am working under a limited period employment contract for 3 years and I have asked my company not to renew the same. Then who should pay the costs of my return ticket to home country?

Answer: As per the ARTICLE (131) of UAE Labour Law: The expenses incurred for repatriation of an employee to his home country or any other place agreed upon by both parties shall be borne by the employer. If the employer failed to do so, then the  competent authorities should do this at the employer’s expense by way of attachment.

If the cause for termination of contract is due to the employee reasons like fraud,cheating the company, etc then his repatriation must be arranged at his own expense if he has the mean to pay.

If you have completed your limited period contract and don’t want to renew the same  then the employer is obliged to pay your return tickets.

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70 Comments

  1. I started working at a UAE company in october -2012 on a visit visa and company residence visa was stamped only in nov-2012. is it possible to change the company on october 2014 though i am going to complete 2 years as per date of Joining. is there any Ban ???

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  2. i am working as a famiy driver for an Emirati famiy. I have request not to renew my visa since I have found new empoyer with better saary and benefits. But my sponsor said that they will not release me ( or will impose ban on me). Can the ban me even if I have finish my contract with them? please help.

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  3. Gud day sir,madam. I just want to ask how about I'm not limited to my working visa last 2012. But I renew now, my question is do I have my gratuity?

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    Replies
    1. Yes. Definitely you are eligible for the gratuity based on the current salary.

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  4. Hi,. i have a limited contract to one private company and my 1 year is on June 22,2014 just on Next Month. Was there any possibility for me to resign and what will be the charges for me i will face through my limited contract? please reply to me. thanks.

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    1. Hi sir/madaam
      I just want to ask about my company they terminate me because of my absent and my visa from global village 1month i worked . Do i have a labour ban or what ????
      Please reply me thanks .

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  5. I've been working to my employer since 2009 for unlimited visa. I have taken vacation last 2012 of January. I suppose to turn 5years of serving my company on August but I'm planning to file a resignation this month May 2014. I would like to ask if I am eligible for free ticket and what would be a computation for my gratuity. Thank you

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    Replies
    1. You shall be eligible for one way ticket to your home country. Gratuity will be given as 21 day's salary for each year for the first five years. 30 day's salary for each additional year on condition that the total amount of the gratuity shall not exceed the wages of two years. Gratuity is calculated on an annual basis. The days of absence from work without pay will not be included in calculating the length of service.

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    2. good day!

      I am a security guard and i’ve been working since feb.2011 up to present and now im serving for 3 yrs in service in my company but after 2years in service i’ll renewed my visa and i’m taking up 2months annual vacation last may 2014, then im working for 3 years from now,

      My question is, if i wanted to resigned there is a penalty for my visa, coz my visa will expired on march 2016 ?
      Pls reply….

      Thanking you..

      Delete
  6. Hi i have a limited contract visa one private company and stil 1 year 7 month finish stil salary 1300 new campani offere 2000 so i am any possibility for me to resign and any BAN please reply to me. thanks.

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  7. hello my visa is going to renewal in the month of august 2014 but i dont want to renewal so how many days before i have to inform it to the company pls reply to me thanks

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  8. I started working in a non free zone company 3 months back on a limited contract. Now I've found a better job in a free zone establishment. I've submitted my resignation to the partners of the firm and have got their acceptance from 2 out of 4 partners. The MD has also issued a NOC on the letter head. Now I'm in probation and not in a position to serve the notice period. I'm willing to pay a months salary as per UE labor law to the firm. Please urgently advise a way out.

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  9. I have been employed for more than a year now by a private company here in Auh and my contract is unlimited, will i get labour ban in case that i will resign?

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  10. I work under a limited contract in Sharjah and its 6months completed now. In my contract I have 0 probation and accommodation and transport allowance as FIRST PARTY(company). However, both the expense was born by me.

    Now I would like to quit from the company, if I go to labour will I be able to get back the expence which I made for room and transport and also repartition expenses?? please assist.

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  11. can a company apply for a labor card for a employee without the medical report?

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  12. can a company apply for a labour card without the employee's medical report?

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  13. hi i would like inquiry about my band from the company side , i am working in private company since last 4yrs ,i have completed one 3yrs contract now i am running in new 2yrs contract 1yrs as completed ,but i found the job in private sector in another company but i listen i have band from my company as company band is this true?


    your reply will be highly appercited

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  14. At present i am working dubai, uae in a trading company as an accountant on store keeper visa, with limited contract my visa for 2 years will going to expire in November - 2014.

    I just wanted to know the following.

    1. month before notice period is must or not

    2. can i sign cancellation form before final settlement and immediate after resign or wait for notice period completion.

    3. i heard employer can't cancel when you are in notice period its true or not

    4. i want to search job in another company can i face interviews after completing of my notice period.

    5. my basic salary is 2000/- dhm please tell me how much gratuity and benefits i have to receive.

    6. as per uae the employer release the employee after notice period or not b coz i have to search job in one month period, which one is my vacation period. can i stay in dubai for one month for searh better job.


    please suggest me i will be very thank full to you

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  15. At present i am working dubai, uae in a trading company as an accountant on store keeper visa with limited contract, my visa for 2 years will going to expire in October - 2014.
    I just wanted to know the following.
    1. month before notice period
    2. can i sign cancellation form before final settlement and immediate after resign or wait for notice period completion.
    3. i heard employer can't cancel when you are in notice period its true or not
    4. i want to search job in another company can i face interviews after completing of my notice period.
    5. my basic salary is 2000/- dhm please tell me how much gratuity i have to receive.
    6. as per uae the employer release the employee after notice period or not b coz i have to search job in one month period, which one is my vacation period. can i stay in dubai for one month for searh better job.
    please suggest me i will be very thank full to you

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  16. I have a pending application in MOL since September 2, 2014 and will expire on October 2, 2014. But, my employer don't want to continue my application because they found new employee with less salary. Do I have a labour ban if they cancel my working permit?

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  17. I am a limited contract in my company and im almost 2 years and,9 months in my company if i resign do i have a ban in the labour?

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  18. Hello. My father is sick after he had a severe heart attack but i just join my company before 2 months ago with 2 year contract but my father wishes me to get back from uae. I want to know that can i resign from this job before my period of cotract? Plz rply coz this is too important

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  19. i have signed offer letter which is mentioned that " YOU HAVE TO PAY 10,000 DIRHAM TO COMPANY IF LEAVE COMPANY BEFORE COMPLETION OF 3 YEARS. BT THE LABOUR CONTRACT IN UAE IS FOR TWO YEARS. please tell me that offer letter makes sense if i will resign and join other company?

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  20. I am working inside Fujairah freezone as Accountant for Ship repair Co., I had completed 4years in limited contract this is my second visa valid till 2017.
    My question is;
    1) If I resign, Company can put any ban on me??
    2) Do I need to serve notice period?
    3) Will I have to pay any visa charges/deduction to company?
    4) Will I get my gratuity till 4 years or only for first visa and which basic salary will be considered for gratuity?

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  21. Hello.. I just want to ask! My contract is unlimited for 3 years up now in a private company and i renewed already. Then suddenly my company change the contract into Limited one. Is it possible that they can change the contract without finishing the first contract i signed ?? Please answer!

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  22. Dear

    I give resignation to a my company in 4th year. After first two year visa completed and my contract become unlimted from limted on renwal my visa. I already completed 30 days notice period and now its almost 45 days now. But my Visa is not cancel cedlelled still. My ex company is just playing with me with " we will do and will cancel soon". I got an offer in new company but they are also in hurry. And pushing me to done cancellation ASAP.
    I want to know I can join new company ? As notice perioud is completed. As I gor cancel from Ex Company my new employer will arrange visa for me.

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  23. Good Day. i am under unlimited contract i didnt finish my contract. i resigned and the employer told me that they will send me to my country. question is it possible that they can send me to my country or i have the rights to choose the country for my exit?

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  24. After completing my 2year limited contract i signed another 2year contract. Now after 1year and 2months i resigned. Do i need to serve my employer 45 days notice? Will i get gratuity in my 3years service with the company? Please reply

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  25. Ive been working for almost 3 years now in a freezone company here in uae..and now im currently here in uk...my question is if i can file my resignation even if my not here in uae since my passport is here with me??Am i still be entitled for gratuity since i wont be taking 1 month notice??

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  26. My company has terminated me in my probation period. Do i need NOC from my current company?

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  27. I have been terminated from my job in my probation period. Do i need NOC from my current company?

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  28. My company has terminated me in my probation period. Do i need NOC from my current company?

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  29. Good day.. i would like to ask if there is a penalty for 3yrs in service for limited contract.. and my visa will expired on march 2016..

    Plz reply.. tnx

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  30. I been working in the Al-Awael Company in the shop of JungleJuice for 2 years.. when the time i i almost finish my contract i renew.. suddenly they change my company to Wadi alfawakh the same shop JungleJuice .. visa issue May 11, 2015 until now im still working.. I am now planning to change my work in a different company. . My question is if i resign do i get ban?

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  31. I been working in Al-wael company for 2yrs. the shop name is JungleJuice. Before my contract finish i renew.. suddenly the time i renew they change my company to Wadi alfawakh but in the same shop JungleJuice. Visa issue May 11, 2015 until now im working here.. now I am planning to work in the different company.. my question is if i resign do i get ban?

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  32. Hi i just want to ask I am already 8 yrs in the company and they already renewed my visa but my labor or company contract not yet renew what if i decided not to renew they will charge me the visa process or no?

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  33. Hello, I am new here in Dubai, i came here on limited visa of two years,, even i won't have visa paste and emirates,, but my problem is its outdoor sales,, and i am from corporate sales,, i want to skip from my running company,, i have offer of good salary from any other company... so what me should do,, my colleagues saying this company can ban you.. have any idea how i can change organization without ban

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  34. I`ve been working in my current company and have completed my 2 year contract, now i have renewed another 2 years. My question is are they going to ban me if i decide not to renew my contract again soon. As i am thinking about looking for another job. My contract is limited. Thank you !!!

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  35. hello sir i want go now to india but i just joined my company before 6 month

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  36. hello sir i want go now to india but i just joined my company before 6 month

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  37. Hi i am working for a private company since 20 years. Under limited contract and my contract is going to finish in november 2015 do i need to give notice before 1 month if i dont want to renew my contract and if i renew my contract and after 3 months want to resign can my company put me a ban bexause i am a family person with children studing here so i am very curius to know about it please guide me

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  38. Hi i am working for a private company since 20 years. Under limited contract and my contract is going to finish in november 2015 do i need to give notice before 1 month if i dont want to renew my contract and if i renew my contract and after 3 months want to resign can my company put me a ban bexause i am a family person with children studing here so i am very curius to know about it please guide me

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  39. Hi i am working for a private company since 20 years. Under limited contract and my contract is going to finish in november 2015 do i need to give notice before 1 month if i dont want to renew my contract and if i renew my contract and after 3 months want to resign can my company put me a ban bexause i am a family person with children studing here so i am very curius to know about it please guide me

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  40. im still on vacation, can i pass resignation to my company even if im in vacation?

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  41. Hi! My working visa will expired on april 28, 2016. Finishing my 4 years contract under limited contact. and right now I am planning to resign due my personal reasons. Do I need to pay anything for my company? Do I need to give a 1 month notice?

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  42. Elow sir I join my private company August 11 2015 but I resigh November 22 2015 only 4 months It's legal to pay 5,000 dirhams to company 4 cancel

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  43. Good day im working at private company as a restaurant worker for almost 8months now and im planning to resign . To find a new job . What are the consequences and papers need to prepare . And do i need to pay may present company ?

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  44. I am working a semi-marine company in Dubai as a general electrical Engineer under an limited contract From last two years and the contract will expire on 24th of this month, My labour contract prohibits me from taking up a new employment with a competitor of my current employer within the UAE for a period of two year after termination of my current employment in accordance with Article 127. Will this cause a ban for me if I resign from this company? Please clarify Article 127. Because I got a one good offer from a company, they are also work as related as my present company. We both singed the appointment letter with the new company, and now i submitted resignation and now i am in notice period in my present company. Is there is any problem to work with that new company, if any problem how to overcome that. and also is there is any ban for me?


    Waiting Your Prompt Reply

    Thank you

    Best Regards

    Melbin Baby
    +971558189175

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  45. I'm about to take a job I. The uae the contract is 2 years and I will like to resign on the end of the first year ...will that be a problem?

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  46. Hello iam currently working under a limited contract and this is my 3rd year and i want to join a new firm I have completed 1 contract is ban would be imposed on me (I have renewed my visa) plz help me on this

    Regards

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  47. I completed my resignation notice period. And I am waiting for my visa cancellation. During this time can company terminate me?

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  48. ..,hi sir, just wanna ask, if the worker finish the limited contract and got renewed, but does not finish the renewal contract, it is possible to give ban?

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  49. Hi,im work at salon company under limited contract for 5 months and now i want to resign and i got good offer to another company i need to give 1 month notice to resign and i have also ban? Reply

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  50. Good day... I need an advice mam/sir I'm working at the LLC company it limited company right? and I have 2 years contract and now I'm in my 19months in this company... I'm planning to resign but I'm thinking if how much I need to pay my company for not finishing my contract and aside of they have rules that they will pay my 2 way tickets in my 16months working but i didn't use it....answer please!!!

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  51. hi i want to ask my job is housemaid and my visa is finish on august 12 .right i have 1 month grace period to use it to find another job but i want to ask if is right that my 1month grace period my madam want to use it she want me to stay and to continue to wirk with them but i told bfor i want release

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  52. My limited contract expired last month and visa finish on this month i request increment to company before my lobour contract expired but company not yet reply regarding increment now my visa going to finish and i got new job and I don't have to time for to complet notie period now I can leave current company without notice plz suggest and help me asap I don't have time.

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  53. Hi.
    I had finished my 2 years contract and just renewed this July 2016. But due to some circumstances I am planning to resign this October 2016. My question is, do I have to pay for all the expenses in renewing my visa like medical etc.?
    Please help.
    Thank you

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  54. Good day.
    I had finished my 2 years contract and just renewed my visa this July 2016. But due to some circumtances I am planning to resign this October 2016. Do i need to pay for all the fees they processed in renewing my visa?
    Please help.
    Thank you.

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  55. Hi i am working in a fast food chain and its under a limited contract. Im only 3months in the company and i want to resign. The workload is so deadful. Is there a ban, and how much will it cost me? Hoping for your reply. Thank you for the help

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  56. Sir, i am working as a civil engineer in one company in Dubai .In this company i am by 6 years and 3 months now. my first contract was unlimited for 3 years and second contract they make it limited for 2 years and third contract also limited ,now i am by 1 year and 3 months in the third contract. Now i am not getting enough salary comparing to the market outside . That is the reason why I like to resign from this company by giving a 1 month notice.
    Kindly let me know if it is possible or i will face any other issues like i need to pay back to the company or they can deduct something from my settlement.

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  57. I am working in Sharjah , I already clear my 2 year contract in January 2015, and my second visa will be finish in JANUARY 2017, so if i want to resign now and want to cancel my visa with current company, how much notice period will be require, as i want to shift as soon as possible.

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  58. My Visa will be finish in JANUARY 2017, and i already clear 2 years of contract from December 2012 to December 2014, this is my second renew visa, so if i want to resign before 3 month of visa finish date, it would be problem for me or not? and Minimum how much notice period should i give to handover work.

    Waiting for your reply,

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  59. I ma working the privet company more than 9 years and my contract is limited and contract is going to expire in the next year 2017. So can i give resignation than what will happen?

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  60. I am working morethan 94 months in a company. My contract will end on coming dec 16 and I have 2 months annual leave pending also(last two years). So I got a new offer letter and I want to join immediately in this new form. So what is the better option. Should I resign or current company or I can get the end of service from the company due to 2 months pending annual leave? What about gratuity , it should 4 years or 3 years only?

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    Replies
    1. Hii this is venkata Krishna i complted b-tech and 14monts ago i was working in nonlisted company and iam unhappy with management from the begain and resently i got a offer in etisalat but my employer not giving reliving and noc also and i have change new company in that am i face any problem.please help me..

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  61. I have completed my two years of contract. Last mount But I renewed the contract now I want to resign .if resign now do I will get ban.

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  62. Hi, I got a company ban from my company wherein I am limited contract. I would like to make appeal for 1 yr. company ban imposed to me. Since, my employer has not fulfilled his contract obligation to all his employees like not giving a weekly off and a 12 hours working duty everyday except for friday. we do only have a once a month off. Do you think I have a big chance to win on filing a complaint against him??? pls. answer.

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  63. Faiyaz khan
    My labour contract is 17/1/2017 expiring and my visa is expiring on 15/3/2017.under limited contract.what wil be my last working day.

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  64. Hi im working in private company as a restaurant crew member "limited contract for 2years" my joining date is june 27 2017 im planning to resign this year 2019 june. If ever i am entitled free ticket going back home to my country

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