VoxxArrive · UAE onboarding topic
Gross Misconduct & Summary Dismissal in the UAE: Article 44 Grounds and Due Process
Under Article 44 of UAE Federal Decree-Law No. 33 of 2021, an employer may dismiss an employee without notice only on a closed list of serious-misconduct grounds - such as forgery, causing gross material loss, workplace assault, reporting to work intoxicated, unauthorised absence, or breaching confidentiality. The grounds are exhaustive and cannot be widened by company policy, and a dismissal that skips a documented investigation risks being reclassified as arbitrary, with compensation of up to three months' wages under Article 47.
Steps
- Confirm the conduct fits an Article 44 ground - Summary dismissal is only lawful for one of the specific grounds listed in Article 44 of Federal Decree-Law No. 33 of 2021 - e.g. false identity/forged documents; a mistake causing gross material loss; breach of posted written safety rules; failing basic duties after a written investigation and two warnings of dismissal; disclosing work secrets; reporting to work intoxicated during working hours; assaulting the employer, a manager or a colleague; unauthorised absence; unlawfully exploiting the position for personal gain; or joining another employer without following the correct procedure. The list is exhaustive: conduct outside it does not justify no-notice dismissal.
- Investigate in writing before acting - UAE practice (and MOHRE's approach on arbitrary-dismissal complaints) expects a documented process: put the allegations to the employee in writing, hold a written investigation, give them a genuine opportunity to respond, and record the findings and evidence before the dismissal is communicated. For persistent non-performance specifically, Article 44 requires the process to follow written warnings.
- Notify MOHRE within 7 working days for loss/damage cases - Where the ground is that the employee caused substantial material loss (or deliberately damaged property), the employer must notify MOHRE of the incident within seven working days of becoming aware of it.
- Issue a written termination stating the ground and the article - The termination should be in writing and clearly state that it is made under Article 44 and on which specific ground, with the investigation record and any prior warnings retained on file.
- Settle end-of-service entitlements - Unlike the pre-2021 regime, an Article 44 dismissal does not automatically strip the employee of end-of-service gratuity; accrued entitlements are generally still payable where qualifying service is met. Treat gratuity forfeiture as the exception, not the default - see 'unverified'.
- Expect a complaint if process was thin - A dismissed employee can file a complaint with MOHRE. If the dismissal cannot be justified on an Article 44 ground with documentation, MOHRE/the court may treat it as arbitrary dismissal under Article 47, with compensation of up to three months' wages plus notice and other dues.
Timeline
The MOHRE notification for material-loss cases must be made within 7 working days of the employer learning of the incident. The dismissal itself can take effect immediately once the investigation is complete. If the employee disputes it, MOHRE first attempts an amicable settlement before the matter proceeds to the competent court, which can take several weeks to months depending on the case.
Cost & fees
No government fee to effect an Article 44 dismissal. The real financial exposure is downstream: if a no-notice dismissal is reclassified as arbitrary under Article 47, court-ordered compensation is capped at the equivalent of three months' wages (last wage), on top of any notice pay, unpaid end-of-service gratuity and other dues. Labour complaints to MOHRE are free to file.
Your task slice
1 of the 57 onboarding tasks apply here.
Issue employee handbook and code of conduct; capture acknowledgement (incl. gross-misconduct grounds)
Handbook acknowledgement
Some figures on this page vary by jurisdiction, zone or nationality, or could not be independently confirmed from a public source at time of writing - confirm the current figure with the regulator before relying on it.
Sources
Frequently asked
Can we add our own gross-misconduct grounds in the employment contract or handbook?
No. The Article 44 grounds for no-notice dismissal are exhaustive and set by federal law. A company policy can describe expected conduct, but it cannot create new grounds for summary dismissal beyond those in Article 44.
Do we still have to run an investigation if the misconduct seems obvious?
Yes, in practice you should. A documented investigation - allegations in writing, a chance for the employee to respond, and recorded findings - is what lets you defend the dismissal if it is later challenged. Skipping it is the most common reason an Article 44 dismissal is reclassified as arbitrary.
How much absence justifies dismissal without notice?
Article 44 allows no-notice dismissal for unauthorised absence of more than 20 non-consecutive days, or more than 7 consecutive days, in a single year, where the employee has no valid reason.
Does summary dismissal cancel the employee's end-of-service gratuity?
Under the 2021 law, an Article 44 dismissal does not automatically forfeit gratuity the way the old Article 120 did. Accrued end-of-service benefits are generally still payable for qualifying service. Confirm the specifics of any deduction against the current law and the employee's contract before withholding.
What happens if we get it wrong?
The employee can complain to MOHRE. If the dismissal cannot be supported on an Article 44 ground with evidence, it can be treated as arbitrary dismissal under Article 47, exposing the employer to compensation of up to three months' wages plus notice and other dues.