Monday 7 February 2022

What is the probation period as per the UAE new Labour Law?

All employees on probation should be given 14 days' notice of termination by the employer. In this report we try to answer the questions...

Probation Period Rules New UAE Labour Law

All employees on probation should be given 14 days' notice of termination by the employer.

In this report we try to answer the questions of companies who are hiring new employees after the changes in the UAE labour law regarding the probation period.

The new Labour Law, which has come into effect on February 2, has made several changes about the probation period and all employers and employees should know about these.

Previously, the old Labour Law stated that the maximum probation period was six months and this remains unchanged. Employees on probation could be also terminated without notice under the previous law but this is no longer the case. Under the new law, all employees on probation must be given 14 days’ notice of termination by the employer.

The situation is slightly different for employees who wish to leave. All employees who are on probation must give formal notice if they end their employment with a company. The exact number of days depends on their intentions.

If the employee intends to leave the UAE, they are required to provide notice of 14 days. If the employee is moving to a new job within the country, they are required to give 30 days' notice.

If an employee moves to a new company within the probation period, the new employer is obliged to compensate the previous employer for costs incurred in employing them, such as visa fees.

It should be noted that if an employee says that they intend to leave the UAE but then returns within three months to start new employment, the new employer has to pay the previous employer for the costs incurred, just as if the new employment was continuous.

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