Resignation stock
UAE Labour Law expert Thenji Moyo explained that while employers can place employees on 'garden leave,' they must still adhere to the contractual notice period and resolve dues within 14 days.Picture used for illustrative purposes. Image Credit: Shutterstock

Dubai: You have decided to resign from your job and are about to serve your notice period. However, you are then asked to not come to work. What are your rights in such a situation, especially if you are not able to get a response from the management on your gratuity? A Gulf News reader wrote in raising the issues they were facing.

He wrote: “I have been working in the private sector in Dubai since 2022. After resigning last month with a 60-day notice period as per my contract, I raised concerns about the lack of information and guidance from my manager, which has hindered my ability to fulfill my duties and complete my handover process. Despite previously voicing these concerns verbally to management and being ignored, my official emails during my notice period also went unanswered. Additionally, I questioned the lack of transparency in the incentives policy, as my incentives have been reduced monthly since earlier this year, without clear information on how they were calculated. Although the Human Resources Department (HR) and my manager assured me that all due incentives would be awarded with my end-of-service benefits, they did not clarify the policy. On the ninth day of my notice period, my manager instructed me not to report to work starting the following week and to return all company assets. I am currently waiting to see if my issues will be addressed when they provide the end-of-service calculations at the end of my notice period. Now that management has decided I don’t need to serve the notice period, why should I wait for 60 days? Shouldn’t they resolve my dues within 14 days? I have 24 days of annual leave left and have served nine days of my notice period. Can this be considered as one month’s notice, and can I only serve another month? How can I ensure legally that they address my concerns and provide a response, given that my past emails to management and HR have gone unanswered?”

Gulf News raised the reader's query with Thenji Moyo, partner and head of employment law at the law firm Gateley UK, who emphasised that all employees are required to adhere to the agreed contractual notice set out in the employment contract, pursuant to Article 43 of the Federal Decree Law No. 33 of 2021 - the UAE Labour Law.

Is it permissible for my employer to ask me not to come to the office during my notice period?

Moyo explained that employers have a few options for managing the notice period when an employee resigns or is terminated. One approach is to have the employee continue to work as usual, while another option is to place them on ‘garden leave’.

What is garden leave?

“Garden leave is when during the notice period the employee is not required to attend the office or perform work. However, he or she remains an employee of the company and is bound by the terms of their employment contract until the contract termination date. During this time, the employee continues to receive all their entitlements, including their monthly salary, allowances and annual leave,” Moyo explained.

Employers may put workers on garden leave to protect their company from competitors by barring the employee from accessing clients or emails and divulging current information or data. This strategy helps keep the employee out of the loop on ongoing dealings in the company.

“Garden leave is often imposed on senior employees with access to sensitive company information to keep them out of the competitive market,” she said.

Regardless of the situation or notice period of the worker, Moyo clarified that an employee must receive all contractual and statutory dues within 14 days of the date of termination, as per Article 53 of the UAE Labour Law.

Garden leave is a period of the notice period where the employee is not required to attend the office or perform work, but the employee will still remain an employee of the company and are bound by the terms of their employment contract until the contractual termination date. During this time, the employee continues to receive all their entitlements such as; monthly salary, allowances and annual leave, as usual. Garden leave is often imposed on senior employees with access to sensitive company information to keep them out of the competitive market.

- Thenji Moyo, partner and head of employment law at the law firm Gateley UK

Can I combine my unused leave with my notice period?

“In practice many employment contracts reserve the right for employers to place employees on annual leave during the notice period. The payment will be based on the employee's basic wage, excluding allowances and benefits in kind such as bonuses or commissions,” she said.

According to Article 29 of the UAE Labour Law, the employer may impose annual leave on the employee provided they give a minimum of 30 days' notice. Additionally, under clause 9 of the same article, an employer is required to pay an employee for all accrued but unused annual leave accumulated up to the termination date.

While the employee is still required to serve the contractual notice period, the parties can mutually agree on an earlier termination date, provided the employee receives all their entitlements during the notice period.

What should I do if management and HR are unresponsive during garden leave?

During this period, the employee has restricted access to the office and is required to hand over confidential information. However, as an employee, you still have the right to have your questions and grievances heard.

Moyo explained that every company has its own HR policy and internal grievance procedure, typically available in the staff handbook or company intranet. If you raise a concern regarding the lack of clarity and ignoring of your problems, your employer must address and investigate it. As per Article 24 of the Cabinet Resolution No. 1 of 2022, it is mandatory for an employer to investigate any grievance filed by an employee and notify the employee of the outcome.

Take legal action

“Where an employer's lack of response leads to a loss of income or detriment, the employee can raise an internal grievance with the company's management. If the company fails to address these concerns, the employee may have grounds to pursue legal action for any outstanding issues at termination. If unresolved, an employee can file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE) or their respective free zone disputes centre or alternatively seek legal action,” she advised.

According to Article 54(7) of the UAE Labour Law, an employee has the right to file a complaint with MOHRE against the company within one year of the breach having occured. Employers who breach any aspect of the UAE Labour Law risk penalties of up to Dh1 million, as per Article 63 of the UAE Labour Law.