Page 165 - MINISTRY OF CULTURE PR REPORT

Page 165 - MINISTRY OF CULTURE PR REPORT - MAY 2025 (ENGLISH)

P. 165

5/27/25, 3:55 PM UAE and Oman sign agreement to develop Al Rawdah special economic zone
and Entertainment; Mining and Quarrying; Manufacturing; Construction; Wholesale and Retail
Trade; Transportation and Storage; and Accommodation and Hospitality Services, including certain
specified sub-sectors. The Ministry indicated that the list of targeted activities is reviewed and
updated periodically based on nationalisation priorities within the private sector.

9 circumstances for termination of employment contracts in the private sector
MoHRE also highlighted that there are nine legally defined instances under which an employment
contract in the private sector may be terminated, as stipulated in Federal Decree Law No. 33 of 2021
on the Regulation of Labour Relations and its amendments.

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These instances include: mutual written agreement between both parties; expiry of the contract term
without renewal or extension; or unilateral termination by either party, provided that legal
requirements and the agreed notice period are observed.
Additionally, a contract may be terminated upon the death of the employer if the contract is tied to
the employer’s personal role, or in the event of the employee’s death or permanent total disability,
supported by certification from a recognised medical authority.

The Ministry noted that a worker receiving a custodial sentence of at least three months constitutes a
legal ground for termination. Furthermore, contracts may be terminated if the establishment is
permanently closed in accordance with UAE legislation, or in the event of the employer’s
bankruptcy, insolvency, or if the business faces exceptional economic circumstances that prevent its
continuation—subject to compliance with the provisions outlined in the Executive Regulations and
relevant legislation.
Finally, termination is also permitted if an employee fails to meet the criteria for renewal of their
work permit for reasons beyond the employer’s control. This reflects the Ministry’s commitment to
regulating labour relations in a manner that ensures the rights of both parties and promotes a stable
and balanced working environment within the UAE labour market.