Questions & Answers
EOSB calculation in an unlimited contract
Hi
I've recently resigned from the company I worked at 4 yrs and 9 months. I submitted my resignation on 16th of Oct, and now the company informed me they are going to terminate me for my poor performance.
It's a semi-government company and I'm having 2 months' notice period with last working day on 15 Dec. Contract type- unlimited.
Am I entitled to receive my end of service benefits...etc?
Dear Questioner,
As per Article 132 of the UAE Labor Law, an employee who has completed one year or more of continuous service under unlimited term contract is entitled to receive the end of service gratuity to be calculated as follows:
- 21 calendar days’ basic pay for each year of the first five years of service.
- 30 calendar days’ basic pay for each additional year.
Provided that the entire total remuneration does not exceed two years pay.
In your case, the employer is terminating the contract which will entitle you to receive compensation for arbitrary dismissal up to three months.
If they do not terminate you, your resignation will prevail, which will not take away any of your rights.
Hope the above explanation gives you clarification to your concerns. If not, you may contact me directly.
Regards,
Rajasree Ravivarma
cloudsdarker@gmail.com
0544461746
