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Ultimate Guide to Probation Period in the UAE

HR and Payroll Software

By Admin, on Thu Feb 08 2024

Ultimate Guide to Probation Period in the UAE

What is the Probation Period in UAE?

During the probation period in UAE, both the employer and the employee can assess each other and determine whether they are a suitable fit. Stated differently, they are starting a new stage of getting to know each other before deciding whether or not to continue their relationship.

It enables you to assess the new hire in light of the job’s requirements from both the company’s and the HR department’s perspectives. That is, based on their qualifications, needs, and capacity to properly carry out the position’s duties. In this approach, the HR division must determine whether the new hire is qualified for a long-term job arrangement.

Probation Period in the UAE

However, this is also when the employee can become more familiar with the specific needs and demands of the position. That is, getting a sense of the business culture or organizational atmosphere in which you would be working. This leads us to the conclusion that you are at ease in your new role at the organization.

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Both the employee and the company have the option to end the trial period. That is, termination by either the employer or the employee during the probationary period is lawful. There is an agreement at the start of the job relationship, at least in the bilateral agreement, and it needs to be explicit and documented in writing. It follows that withdrawals during the trial period are permissible and can happen at the employer’s or employee’s discretion.

It’s also critical to clarify that you are not obligated to adhere to any notice requirements.

Here are some essential tips for handling this time by the February 2022 release of the new UAE Labour Law.

The Duration of the Probation Period in UAE

Companies may engage workers on a probationary period of no more than six months by legislation under the Ministry of Labour. Businesses cannot extend it beyond six months, although some keep it shorter—around two to three months. If the staff member gets promoted or moves into a different position, they will not qualify for another probationary term.

Termination of Contract

Both the employer and the employee may start the process of ending the contract during the probationary period. Even during probation, the individual who initiates the termination must provide a minimum notice period under the new UAE Labour Law. Workers planning to depart the nation must offer a notice term of 14 days, while those relocating to the UAE for a new job must give the other party a notice time of 30 days.

There are a few unique situations where workers could lose their jobs or decide to leave their companies. According to the clause, a worker has the right to resign right away if their employer violates their legal rights or if they feel threatened by them or their attorney.

Sick Leave

According to UAE labor law, employees on probation do not have entitlement to paid sick leave. This does not, however, preclude a business from following internal policies and permitting workers to take sick leave.

Resignation

If the employee decides to terminate the employment during the probationary period, the employer may be eligible for compensation. As previously mentioned, a longer notice time is necessary if an employee resigns to take a new post in the United Arab Emirates. Workers should also be aware that their new employer may have to pay the former employee back if they plan to return to the UAE within three months to begin a new job.

Gratuity

According to the law, workers are only eligible for a gratuity after a year of employment with the current company. If an employee leaves during their probationary period, they can be eligible for payment for their worked time as per the outlined notice period in the employment contract. Additionally, they might receive payment for any unused annual leave accrued during the probationary period.

Employees Under Limited Contracts

Limited and unlimited contracts are available in the UAE. As a result, workers with limited contracts do not receive any additional protection if their organization terminates their probationary period. Therefore, you must adhere to the same laws and guidelines as every other employee.

If you are let go during the probationary period, the employer must provide you with a written notice. You also have to do this task in 14 days. But you must understand more about the UAE’s waiver of both limited and unlimited contracts.

Protecting Employee Rights During Probation Period in UAE

It’s crucial that, as a probationary employee, you are aware of all of your rights. You should also be aware of your rights in the UAE regarding being fired after your probationary period. You will then be able to assert your right to equitable treatment and compensation for all of your labor.

Even if you think your dismissal was unfair, you might be eligible for compensation. Employers must ensure that they follow all guidelines when terminating a probationary employee. In this manner, they could face legal repercussions if they fail to provide written notice or fire without a good reason.

Wrapping Up

Managing employee contracts is a crucial aspect of personnel management for organizations. Why not get an HR software solution that guarantees your procedures comply with UAE laws and automates repetitive tasks? Elate HRMS software can assist SMEs and organizations with payroll, human resources, and employee leave management. It also includes a built-in employee management feature that helps you keep track of your employees’ visa letters and contracts.

Create trust and lessen conflict in your organization. Any business benefits from having contented workers because they foster a more productive workplace.

Contact Penieltech for employee management consultation and benefit from Elate HRMS Software today.

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