Questions & Answers
I am leaving my company to take another job offer. Can they force me to pay compensation?
I signed a job offer in my contract, but I was given another, and I worked for one and a half years without any complaints.
However, I have been given an offer letter from another company, and my former company is insisting that I should pay compensation.
Is it legal?
In the UAE, whether your former company's request for payment is legal depends on whether you have already signed a binding employment contract.
If an employment contract was signed between you and your former company, termination of the contract entails the payment of compensation in certain circumstances stipulated by law.
This is especially true if the employee terminated the contract without just cause or for breach of its terms.
However, if what you signed was merely a job offer rather than a full employment contract, the situation may be different.
The job offer is still negotiable and may not obligate you to pay compensation unless your contract explicitly states so.
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Dear Client,
Thank you for reaching out.
Regarding your situation, if you signed a job offer but were provided with a different contract under which you have worked for over a year without complaints, your former employer’s request for compensation upon your joining another company requires careful consideration.
Under UAE labor law, compensation claims for leaving a job usually depend on the terms of the signed contract
. If you signed a fixed-term contract with specific clauses for early termination, the employer may request compensation.
However, if there is no clear clause or if you worked for a significant period without objections, such claims might be contestable.
It is important to review your actual contract and offer letter thoroughly. You have the right to seek legal advice to clarify your obligations and negotiate any compensation claim.
If you wish, we can assist you in reviewing your documents and advising on the best course of action.
Best regards,
