Can Employees Skip Notice Period After Termination? UAE Labour Law Says Compensation May Still Apply
Employees who skip the notice period may have to compensate the employer, but it is not treated as unlawful absence under UAE labour law.
Staff WriterMay 11, 2026, 11:30 AMAn employee who refuses to work during the notice period after being terminated by their company may be required to compensate the employer, but such refusal will not generally be treated as unlawful absence under UAE labour law.
Under Article 43(3) of the UAE Federal Labour Law, the party that fails to comply with the notice period must pay the other party compensation equivalent to the employee’s full salary for the notice period, or the remaining part of it. This applies even if the failure to serve notice does not cause direct damage to the other party.
In cases where an employee decides not to work during the one-month notice period following termination, the employer may therefore claim compensation equal to one month’s wage based on the full salary package.
However, refusing to serve the notice period after termination by the employer does not amount to unlawful absence from work. Since the employment contract has already been terminated by the employer, the employee’s absence during the notice period is linked to a legitimate reason arising from the termination itself.
Article 50 of the Labour Law deals specifically with unlawful absence by foreign workers. It states that a worker who leaves employment without a legitimate reason before the end of the contract term may face a one-year work permit ban in the UAE. Employers are also required to notify the Ministry about incidents of unauthorised absence.
The law further states that employers aware of such violations cannot employ the worker during the ban period, although certain job categories and skill levels may be exempted by the Ministry.
As a result, employees who choose not to serve their notice period after being terminated may face financial liability in the form of compensation, but this alone would not typically trigger an absconding case or an automatic labour ban for unlawful absence.
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