ع
Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations defines arbitrary dismissal as any termination that follows an employee’s submission of a serious complaint to the Ministry of Human Resources and Emiratisation or the filing of a lawsuit later proven valid. Courts must evaluate the type of work involved, the harm caused to the worker and the length of service when setting compensation levels. The statute sets a firm upper limit on any award while requiring employers to meet other contractual obligations.
Compensation for such arbitrary dismissal cannot exceed three months of the employee’s last salary and is paid separately from end-of-service gratuity or notice-period pay, according to the decree law. Emirates 24|7 outlined the protection within its summary of 11 essential labour-law terms that workers should understand. The publication noted that the provision aims to deter retaliation once a complaint reaches the ministry or the courts.
Employees must begin the process by lodging a complaint with the Ministry of Human Resources and Emiratisation through its website, mobile application or authorised service centres. The ministry first attempts an amicable settlement between the parties, according to the official UAE Government portal. Unresolved cases receive a referral to the competent labour court, where the employee carries the burden of establishing the retaliatory link.
Federal Decree-Law No. 9 of 2024 lengthened the limitation period for labour claims to two years from the date the employment relationship ends. The amendment, which took effect in August 2024, replaced an earlier one-year window measured from when the right first arose. This extension gives workers additional time to assemble supporting records before initiating formal proceedings.
The Ministry of Human Resources and Emiratisation holds authority to issue binding decisions on disputes valued at or below 50,000 dirhams under Ministerial Resolution No. 782 of 2023. Claims below 100,000 dirhams incur no judicial fees at any stage, in line with Article 55 of the labour law. Workers are advised to retain copies of contracts, payslips, termination notices and all related correspondence to support their submissions.
