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Can the employer ban you from working for 2 years after the contract termination or expiry?

Hi

My employer has sent me the new limited contract and asked me to sign and submit it as it's a new requirement of the MOL UAE.

I found Article 4 (additional terms) which is banning me for 2 years after the termination or expiry of the contract. Shall it be right or I can ask them to remove it?

If they do not agree, what shall I do as the unlimited contract is no more valid in the next few months?

Please advise.

Thanks

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Laila Hamza Al Mulla Advocates and Legal Consultants
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7 Dec 2022, 11:32

I reject this condition because by agreeing to it, you can be banned from working in the UAE if you violate it and they can file a case against you and ask for compensation.

In most cases, it is more than the employee's financial ability. Reject the condition completely or look for another better job.

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Khalifa Bin Huwaidan Advocates & Legal Consultants
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8 Dec 2022, 05:02

Dear,

Regarding article 4 (additional terms), is the 2-year ban a non-compete clause, or does it state that you can not work at all for the period of 2 years following the expiration of the employment contract?

A non-compete clause is a well-known and legal concept in the UAE and employers can include it in employment contracts.

However, unfavorable and unfair clauses, such as one that restricts an employee from working for a period of 2 years, can be argued against due to their illegality.

We suggest you negotiate with your employer to remove the clause and if he/she refuses to do so, submit a complaint with MOHRE.

Kind regards,

KHA Advocates

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