Can my employer block me from joining a competitor without a non-compete clause?

They cannot stop you from working anywhere you want. But they can stop you from contacting suppliers, clients, and colleagues.

Hello,

Since your employment contract does not contain a non-compete clause, your employer cannot now impose one by sending you a letter at the end of your employment.

The UAE Labor Law is very clear on this matter. Article (10) of Federal Decree-Law No. (33) of 2021 states:

Article (10) Non-Competition Condition

1. If the work assigned to the Worker allows him to know the Employer's clients or access his work secrets, the Employer may stipulate in the work contract that the Worker shall not, after the termination of the contract, compete with him or participate in any competing project in the same industry; provided that such condition is specific in terms of time, place and kind of work to the extent necessary to protect the legitimate business interests, and that the period of non-competition shall not exceed two years as of the expiry date of the contract.

2. Said condition shall be null if the employer terminates the employment contract in violation of the provisions of this Decree by law.

3. The lawsuit filed by the Employer for the Worker's violation of the provisions of this Article shall not be heard after the lapse of one year from the date of discovering the violation.

4. The Executive Regulation of this Decree by law shall determine the provisions regulating this Article, and the skill levels or occupational professions that may be excluded from the provision of Clause (1) of this Article, in accordance with the conditions and controls specified by the Regulation.

Based on this, a non-compete restriction must be agreed in the employment contract itself, and it must be clear and specific in terms of time, place, and type of work. A unilateral letter issued at the end of employment has no legal effect. Since your contract does not contain such a clause, you are free to move to a competitor once your notice period ends.

Regarding your employer’s instruction not to contact suppliers, clients, or colleagues during the garden leave, this is acceptable only for the duration of your notice period, since you remain an employee until your last working day.

However, after your employment officially ends, they cannot impose such restrictions unless they are part of a valid non-compete clause in your signed contract.

In short, you are not bound by the one-year restriction stated in the letter, and you are free to work with a competitor once your notice period is over.

Dear Inquirer,

If your employment contract does not include a valid non-compete clause, your employer cannot legally impose such restrictions after your resignation.

While they may place you on garden leave during the notice period, extending a one-year ban without a contractual basis is generally not enforceable.

To protect your rights and take the right legal action, we recommend a detailed review of your contract and the letter you received. You may book a consultation with Future Vision for Advocacy and Legal Consultancy, or authorize us to represent you if needed.

Best regards,

Thank you for contacting us via Legal Advice Middle East!

Your situation involves an employer trying to impose post-employment restrictions even though your signed contract does not include a non-compete clause.

We have handled nearly identical disputes, where employers attempted to introduce restrictions after termination, and the court confirmed that such clauses are not enforceable unless clearly written in the contract and compliant with UAE labor law.

There are several key points. Since your contract has no non-compete clause, your employer cannot legally prevent you from joining a competitor after your notice period ends.

A garden leave during notice is lawful, but extending restrictions for one year without agreement has no binding effect. As for their instruction not to contact clients, suppliers, or colleagues, this can apply only while you remain employed during notice. After termination, unless you signed a valid restrictive covenant, they cannot enforce it.

The most strategic step is to reply formally, acknowledging their letter but reserving your rights to join another company once your notice ends.

If they escalate, you can challenge their position before MOHRE or the relevant Freezone authority. Our office can draft the formal reply and safeguard you against any retaliatory claims.

To advise you with certainty, we would need to review your employment contract, the employer’s recent letter, and your company’s registration (mainland or Freezone). Our multilingual team in Arabic, English, Russian, Hindi, and Chinese can assist you in closing this transition smoothly and lawfully.

In the UAE, your employment rights are largely governed by the Employment Contract you signed and the UAE Labor Law. If your contract does not include a non-compete clause, your employer cannot suddenly impose such restrictions after you’ve resigned.

A non-compete must be clearly written into your contract and agreed upon at the time of signing to be enforceable.

The notice period and garden leave they are placing you on is permissible as long as you are paid in full during this period, but the attempt to restrict you for one year without a contractual clause is not legally binding. Regarding suppliers, clients, and colleagues – unless there is a valid confidentiality, non-solicitation, or non-compete clause already signed, their restriction has no enforceable legal effect.

What you can do:

You are free to join a competitor after your notice period ends, since no non-compete exists in your signed contract.

Keep all communications in writing and preserve a copy of your contract and resignation acceptance.

If your employer threatens to block your visa cancellation or new employment, this can be challenged through MOHRE or the free zone authority (depending on where your visa is issued).

I strongly recommend we review your employment contract and this recent letter to prepare a formal response, ensuring your rights are protected and you transition smoothly to your new job without unnecessary disruption.

Please reach out to me directly on [-------------] (WhatsApp or call) so I can review your documents and guide you with the next legal step.

Hello dear, I hope you are doing well.

According to the contract, the company cannot impose a non-compete restriction on you after the termination of your employment, nor can they prevent you from working with a competing company.

However, you are not permitted to disclose confidential information, contact their clients, or cause them any harm; otherwise, you may be held liable.

If you send us a copy of the letter and your employment contract, we can draft a professional and legal response to the company on your behalf.

For further assistance, please feel free to contact us.

Since there is no non-compete clause in your contract, an employer's demand that you not work for a competing company for a year is illegal and unreasonable, unless there is an unwritten clause covering confidential information protected by law.

But even in this case, these restrictions must be specific to time, place, and type of work and be necessary to protect legitimate business interests.

Since you submitted your notice two months ago and have a current letter from the Ministry requesting this requirement, you should immediately contact the UAE Ministry of Human Resources and Emiratisation for advice and clarification of the situation.

Hello,

If your employment contract does not have a non-compete clause, your current employer cannot impose a one-year non-compete obligation on you after termination.

Under UAE Labour Law, non-compete clauses must be explicitly stated in the contract and meet strict requirements regarding duration, geographic scope (limited to a maximum of three emirates), and the nature of work.

Regarding the 3 weeks’ garden leave, the employer can require you to be on paid garden leave during the notice period, but cannot unjustly withhold salary or extend restrictions after that without a legal basis.

The letter preventing you from contacting suppliers, clients, and colleagues may be valid if it protects legitimate business interests, but it should be reasonable and proportionate.

You are entitled to work for a competitor after your notice period unless a lawful non-compete clause applies.

If you want, I can help review your contract and advise you on your rights and possible steps to protect your interests.

Dear User,

If there is no non-compete clause in your contract, your employer has no right to prevent you from working with a competitor after the contract ends.

Garden leave during the notice period is allowed, but they cannot force you to stop working for a whole year.

You can file a complaint with the Ministry of Human Resources if they continue to impose restrictions.