Are you working in Dubai and thinking about changing jobs or leaving the country? If so, you need to know about the Dubai labour cancellation process. This important procedure is necessary when an employee leaves their job or moves out of the United Arab Emirates (UAE). It ensures that workers can exit the UAE workforce legally and properly. When cancelling your labour card in UAE, you must know the eligibility and application process for smoother transition.
What is a Labour Card?
Before we dive into the cancellation process, let’s clarify what a labour card is. In Dubai and the rest of the UAE, a labour card is an official document issued by the Ministry of Human Resources and Emiratisation (MOHRE). It serves as a work permit, allowing individuals to work legally in the country. Every employee in Dubai must have a valid labour card to work legally.
Why Cancel a Labour Card?
This important step is necessary for anyone who wants to end their employment in Dubai legally. There are several reasons why you might need to go through the Dubai labour cancellation process:
- Job termination
- Employee resignation
- Completion of a fixed-term contract
- Employees who need to end their work commitments for valid reasons, such as pursuing further education
- Retirement
- Company closure or downsizing
No matter the reason, it’s essential to follow the proper procedures to avoid legal complications.
Eligibility for Labour Card Cancellation
It’s important to note that not just anyone can initiate the Dubai labour cancellation process. Here are the key points about eligibility:
- Employer Initiative: Only the employer has the authority to start the cancellation process. Employees cannot cancel their own labour cards.
- Valid Reasons: The cancellation must be for a legitimate reason, such as those mentioned above.
- Notice Period: Employees should have completed their notice period as per their contract and UAE labour law.
- Mutual Agreement: In some cases, both the employer and employee might agree to cancel the labour card before the contract end date.
- Legal Compliance: The company must be in good standing with MOHRE and not have any pending violations.
The Dubai Labour Cancellation Process: Step by Step
Now, let’s break down the Dubai labour cancellation process into clear, easy-to-follow steps:
Step 1: Access MOHRE Services
The first step in the Dubai labour cancellation process is to access the MOHRE services. You have several options:
- MOHRE website (https://eservices.mohre.gov.ae/)
- MOHRE Smart App (available on both Android and iOS)
- Tas’heel service centers (these are physical locations where you can get assistance)
Each of these options provides a step-by-step guide to help you through the process.
Step 2: Submit the Cancellation Request
Once you’ve accessed the MOHRE services, you need to submit the cancellation request. Here’s how:
- If using the website or app, log in and look for “Cancellation of work permits and labour contracts” in the menu.
- Click on this option and complete the online application form.
- Attach all required documents (we’ll cover these in the next step).
Step 3: Prepare and Submit Required Documents
The exact documents needed might vary depending on the reason for cancellation, but generally, you’ll need to provide:
- A completed and signed ministry exit acceptance form
- Photocopies of the employee’s passport and Emirates ID
- The existing Labour Card
- A termination letter or resignation letter, depending on the situation
- Any additional documents that support the reason for cancellation (e.g., a letter of admission to an educational institution if the employee is leaving to study)
Make sure all documents are clear, legible, and up-to-date to avoid any delays in the Dubai labour cancellation process.
Step 4: Pay the Required Fees
There are fees associated with the Dubai labour cancellation process. These need to be paid when submitting the application. The exact amount can vary, so it’s best to check the current fees on the MOHRE website or ask at a Tas’heel center.
Step 5: Wait for Processing
After submitting the application and paying the fees, MOHRE will process the cancellation request. This typically takes 3-7 working days, but it can sometimes take longer if there are complications or if additional information is needed.
Step 6: Receive Confirmation
Once the Dubai labour cancellation process is complete, you should receive a written confirmation from MOHRE. This is an important document that proves the labour card has been officially cancelled. Both the employer and employee should keep a copy of this confirmation.
Step 7: Cancel the Residence Visa
If the employee’s residence visa was sponsored by the employer, it needs to be cancelled after the labour card cancellation. This is done through the General Directorate of Residency and Foreigners Affairs (GDRFA).
Special Case: Cancelling Labour Cards for Employees Outside the UAE
In some cases, you might need to cancel the labour card of an employee who is currently outside the UAE. MOHRE allows this under certain conditions:
- The employee has been outside the UAE for more than six months.
- The company must provide evidence of the employee’s absence.
- All employee dues must be settled and documented.
- The company must have paid any fees due for not issuing or renewing the labour card on time.
- The company should have an e-signature card.
To cancel a labour card for an employee outside the UAE:
- Cancel the employee’s residence visa at the GDRFA.
- Print and sign the application for cancelling the work permit card.
- Scan all required documents at a typing office, Tas’heel service center, or through establishments participating in the Ministry’s e-forms program.
- Submit the application through the MOHRE website.
- If all conditions are met, the transaction will be processed, and you can get the approval notice and number from the MOHRE website.
Important Considerations in the Dubai Labour Cancellation Process
As you go through the Dubai labour cancellation process, keep these important points in mind:
- Time Limit: After the labour card is cancelled, the employee has 30 days to either leave the country or secure a new job and visa. Staying beyond this period without a valid visa can result in fines.
- End of Service Benefits: If the employee has worked for at least one year, they’re entitled to end of service benefits. These should be calculated and paid before cancelling the labour card.
- Outstanding Debts: Make sure all debts and fines are settled before cancelling the labour card. This includes traffic fines, credit card bills, and any other financial obligations.
- Health Insurance: Company-provided health insurance typically ends when the labour card is cancelled. Employees should arrange alternative coverage if they’re staying in Dubai.
- Visa Status: Remember that cancelling the labour card doesn’t automatically cancel the residence visa. This needs to be done separately.
- Ban Period: In some cases, particularly if an employee breaks their contract early, they might face a temporary ban from working in the UAE. This can last from 6 months to a year.
- Passport Return: Employers should return the employee’s passport before starting the Dubai labour cancellation process. It’s illegal for employers to keep employees’ passports in the UAE.
Common Challenges in the Dubai Labour Cancellation Process
While the process is straightforward, some challenges can arise:
- Employer Refusal: Sometimes, employers might refuse to initiate the cancellation process. In such cases, employees can file a complaint with MOHRE.
- Document Issues: Incomplete or incorrect documents can delay the process. Double-check all paperwork before submission.
- Unpaid Dues: Disputes over unpaid salaries or benefits can complicate the cancellation process. It’s best to resolve these before starting the cancellation.
- Visa Complications: If there are issues with the residence visa, it can affect the labour card cancellation. Ensure all visa matters are in order.
- Communication Barriers: Clear communication between employer and employee is crucial. Misunderstandings can lead to unnecessary complications.
In the End
The Dubai labour cancellation process is a crucial procedure for both employers and employees in the UAE. While it might seem complex, understanding the steps and requirements can make it much smoother. Always ensure you’re following the most up-to-date regulations, as labour laws can change.
Remember, whether you’re an employer or an employee, it’s your responsibility to ensure that the Dubai labour cancellation process is completed correctly and legally. If you’re unsure about any part of the process, don’t hesitate to seek advice from MOHRE or a legal professional specializing in UAE labour law.
By following these guidelines and staying informed, you can navigate the Dubai labour cancellation process successfully, ensuring a smooth transition for both employers and employees.
