New UAE Labour Law: Can You Resign while You On Leave?What does The Law Says

Article 35 of the new labour law, titled ‘Commencement of notice period in case of termination of contract during leave’ states: “If either party wants to terminate the contract during the period of leave in accordance with the provisions of this Decree-Law and its Executive Regulations, then the Notice Period agreed upon in the employment contract shall commence only on the day following the date on which the worker returns from leave, unless agreed otherwise by the parties".

Duration for the Notice.

The notice period can be anywhere between 30 to 90 days, and the exact duration needs to be mentioned in the employment contract. Failure to give the necessary notice period, whether is from the employer or employee’s end, will lead to a breach of contract and as per the law, the party in breach of the notice period should pay the other a compensation called ‘pay in lieu of notice’, which would be equal to the wage of the worker for the entire notice period, based on the last wage received by the employee.