Questions & Answers
Termination due to redundancy and settlement of dues
Hi,
I am on engineer visa with a 2-year limited term contract from 24-Dec-2017 up to 23-Dec-2019 with my company. The last 2-Jun-2019, my company sent me a 1-month termination notice due to redundancy.
Now, I received my settlement computation showing my final salary, gratuity and leave entitlement only. They want me to sign my cancellation of the work permit stating that I received this settlement.
My doubt is, am I not entitled to the 3-month compensation due to early contract termination?
Does this termination due to redundancy exempt my company from paying me this settlement?
I hope you could help me confirm this issue.
Thank you.
Dear Questioner,
Thank you for getting in touch with me on this issue.
The reason for your termination is redundancy which amounts to arbitrary termination, hence, you will be entitled to a salary for the notice period, three months salary towards arbitrary termination, gratuity, salary in lieu of leaves (if any) and air ticket to the home country. Your company can't exempt itself from paying your settlement.
Don't sign any cancellation work permit till the time you receive the settlement.
If your employer refuses to pay the above dues, then you are entitled to file a labour case against the company employer.
If you need any further assistance or information, please feel free to contact me over email or by Whatsapp.
Regards.
As per UAE labor law, you are entitled to 3 months for arbitrary dismissal allowance plus end of service gratuity.
You are kindly requested to send us your contract in order to tell you your full labor dues.
