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Termination of Unlimited Contract by Employee

Termination of Unlimited Contract by Employee: What You Need to Know

If you`re an employee on an unlimited contract, you have the right to terminate your contract at any time. However, there are some important things you need to know before you do so.

Firstly, it`s important to understand that terminating an unlimited contract is not the same as resigning. Resigning means you`re ending your employment with your current employer voluntarily, while terminating your contract means you`re ending the employment contract by giving notice.

The notice period for terminating an unlimited contract is usually three months, but it can be longer depending on the terms of your employment contract. It`s important to check your contract for any specific notice period requirements.

It`s also important to consider the consequences of terminating your contract. If you terminate your contract without a valid reason, you may be liable for breach of contract and may be required to compensate your employer. Your employer may also decide to withhold any unpaid wages or bonuses owed to you.

If you have a valid reason for terminating your contract, such as a breach of contract by your employer, it`s important to document the reasons for your termination and to try to resolve any issues with your employer before terminating your contract.

One thing to keep in mind is that if you terminate your contract, you may lose any end-of-service benefits that you would have received if you had resigned. These benefits can include things like gratuity pay, severance pay, and end-of-service leave.

In addition, if you terminate your contract without a new job lined up, you may have difficulty obtaining a new residency visa in the UAE, as you will no longer have a valid employment visa.

In conclusion, terminating an unlimited contract is your right as an employee, but it`s important to understand the legal and financial implications before doing so. Always review your employment contract, document your reasons for termination, and try to resolve any issues with your employer before taking this step.