Extension of Limitation Period for Employment Claims

Summary

The UAE has officially extended the period employees have to file claims related to termination or employment disputes, moving the limit from one year to two. This decision is part of the new UAE Labour Law (Decree-Law No. 33 of 2021). While this change gives employees more time to assert their rights, it does come with added responsibilities for employers, who must keep thorough documentation regarding payroll, performance reviews, and reasons for termination for the extended period.

Source:Original Article

Key Points

  • The limitation period for filing employment claims has been increased to two years.
  • This applies to all claims under the new UAE Labour Law.
  • Employers need to retain records for at least two years following termination.
  • Proper HR processes and exit documentation are crucial to defend against delayed claims.
  • This change enhances employee rights but poses new challenges for employers.

Why should I read this?

If you’re an employer or an employee in the UAE, you can’t afford to ignore this update! It’s a game-changer for employment rights and will affect how both parties handle disputes moving forward. Knowing the ins and outs of this extension could save you legal headaches down the line, whether you’re filing a claim or defending against one.