UAE Ministry Clarifies Employer Penalty Guidelines for Workers

The Ministry of Human Resources and Emiratisation (MoHRE) has outlined clear rules to protect private sector employees from unjust disciplinary actions. Employers who terminate workers for filing legitimate complaints with the ministry or pursuing valid legal claims will face penalties and may be required to compensate the employee, as determined by the courts.

Criteria for Disciplinary Penalties

Guidelines Ensure Proportionality and Fairness

The ministry has defined seven specific criteria for employers to consider before imposing disciplinary actions on employees:

1. Confidentiality Breaches: The severity of any unauthorized disclosure of work-related data or information.

2. Health and Safety Violations: The impact of the employee's actions on workplace safety and the well-being of colleagues.

3. Financial Consequences: The monetary losses caused by the employee's behavior.

4. Reputation Damage: How the offense affects the company’s image and its workforce.

5. Misuse of Authority: Instances where an employee abuses their position or power.

6. Repeated Violations: The frequency of offenses committed by the employee.

7. Moral or Criminal Aspects: Whether the violation involves ethical or criminal misconduct.

These criteria ensure that penalties are appropriate to the nature of the offense and are not excessive.

Protecting Employee Rights

What to Do in Cases of Unfair Dismissal

Employees who believe they have been unfairly dismissed can file a complaint with MoHRE. The ministry will attempt to mediate and resolve the dispute amicably.

If a resolution cannot be reached, the case is referred to the competent court, which reviews the dismissal. If the dismissal is found to be unfair, the court can order the employer to compensate the employee.

Determining Compensation

Limits and Entitlements for Affected Workers

Compensation for unfair dismissal is calculated based on the following factors:

• The nature of the employee’s work.

• The harm caused by the dismissal.

• The length of the employee’s service.

The court may award up to three months’ salary, calculated based on the employee’s last entitled wage. In addition to compensation, employees are entitled to:

• End-of-service gratuity.

• Compensation for the notice period.

• Payment of any outstanding dues owed by the employer.

These measures aim to protect workers’ rights while ensuring a fair and balanced approach to workplace discipline.

 

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