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When you need to terminate an employee during their probationary period in the United Arab Emirates, you must provide formal written notice through a legally compliant termination letter. This document serves as official communication of your decision and ensures you meet all requirements under UAE Federal Decree-Law No. 33 of 2021 while protecting your organization from potential legal disputes.

When do you need this document?

You need this termination letter when an employee's performance, conduct, or organizational fit doesn't meet your standards during their probationary period. Common situations include when an employee consistently fails to meet performance targets, demonstrates poor attitude or work ethic, lacks necessary skills despite training, or violates company policies. You may also need this document when business circumstances change, such as budget cuts, restructuring, or elimination of positions during the probationary period. The letter is essential when you need to formalize the termination process and initiate visa cancellation procedures for expatriate employees, ensuring proper documentation for Ministry of Human Resources and Emiratisation (MOHRE) and immigration authorities.

Key legal considerations

Your termination letter must clearly reference the employee's probationary status and the specific terms outlined in their employment contract. Under UAE law, you have the right to terminate during probation without providing notice or severance pay, but you must still provide written notification and settle any accrued benefits such as salary and leave entitlements. The letter should specify the effective termination date and include details about final settlement calculations, including any outstanding salary, unused annual leave, and end-of-service gratuity if applicable. You must also address visa cancellation procedures and provide reasonable time for the employee to arrange their affairs, typically 30 days from the date of termination. Ensure the letter maintains a professional tone and avoids discriminatory language that could lead to legal challenges.

Legal requirements in United Arab Emirates

UAE Federal Decree-Law No. 33 of 2021 Article 9 specifically governs probationary periods, allowing termination without notice during the first six months of employment. Your letter must comply with Article 35 requirements for written communications, including proper documentation and delivery methods. The termination must be reported to MOHRE within the prescribed timeframe, and you must initiate visa cancellation procedures through the relevant immigration authorities. For expatriate employees, you're required to provide adequate time for visa status resolution and departure arrangements. The letter should include reference numbers for tracking purposes and be signed by authorized company representatives, typically HR personnel and department managers. Ensure you maintain copies for your records and provide the original to the employee, as this document may be required for future employment verification or legal proceedings.