Voluntary Resignation In Lieu Of Termination for United Arab Emirates

Voluntary Resignation In Lieu Of Termination Template for United Arab Emirates

This document serves as a formal agreement between an employer and employee in the United Arab Emirates, where the employee voluntarily resigns from their position as an alternative to termination. The agreement is structured in compliance with UAE Federal Decree-Law No. 33 of 2021 (UAE Labor Law) and includes provisions for final settlements, notice periods, and mutual releases. It protects both parties' interests by clearly outlining the terms of separation, including end-of-service benefits, confidentiality obligations, and the return of company property, while maintaining the voluntary nature of the resignation.

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What is a Voluntary Resignation In Lieu Of Termination?

A Voluntary Resignation In Lieu Of Termination agreement is used in situations where both the employer and employee in the UAE agree to characterize the end of employment as a resignation rather than a termination. This approach, while maintaining compliance with UAE Labor Law, often provides a more favorable outcome for both parties: the employee maintains a cleaner employment record, and the employer potentially reduces the risk of legal challenges. The document typically includes comprehensive details about final settlements, notice periods, end-of-service benefits, confidentiality obligations, and mutual releases. It's particularly important that the agreement clearly establishes the voluntary nature of the resignation while ensuring all provisions align with UAE Federal Decree-Law No. 33 of 2021 and related employment regulations.

What sections should be included in a Voluntary Resignation In Lieu Of Termination?

1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant identification numbers

2. Background: Context of the employment relationship, including start date, position, and brief explanation of circumstances leading to this agreement

3. Definitions: Key terms used throughout the agreement

4. Voluntary Resignation: Clear statement of employee's voluntary resignation and the effective date

5. Final Settlement: Details of final salary, end-of-service gratuity, and other entitlements

6. Notice Period: Treatment of notice period, whether served or waived

7. Company Property: Requirements for return of company property and confidential information

8. Confidentiality: Ongoing obligations regarding confidential information

9. Mutual Release: Release of claims by both parties

10. Governing Law: Confirmation of UAE law as governing law

11. Execution: Signature blocks and execution requirements

What sections are optional to include in a Voluntary Resignation In Lieu Of Termination?

1. Non-Competition: Include when enforcing post-employment restrictions on working for competitors

2. Non-Solicitation: Include when restricting employee from soliciting company clients or employees

3. Outstanding Loans: Include when there are outstanding loans or advances to be settled

4. Medical Insurance: Include when addressing continuation or termination of medical insurance coverage

5. References: Include when specifying terms for providing employment references

6. Visa Status: Include for expatriate employees requiring visa cancellation

7. Ongoing Cooperation: Include when employee's assistance may be needed for transition or future matters

What schedules should be included in a Voluntary Resignation In Lieu Of Termination?

1. Schedule 1 - Final Settlement Calculation: Detailed breakdown of all final payments including salary, gratuity, leave encashment, and any deductions

2. Schedule 2 - Company Property List: Itemized list of company property to be returned

3. Schedule 3 - Handover Checklist: Detailed list of tasks, documents, and responsibilities to be handed over

4. Appendix A - Employee Benefits Summary: Summary of benefits and their treatment post-resignation

5. Appendix B - Confidential Information Definition: Detailed definition of what constitutes confidential information

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Genie AI

Document Type

Termination Letter

Cost

Free to use
Relevant legal definitions
Relevant Industries

Banking & Financial Services

Technology

Real Estate

Construction

Healthcare

Retail

Manufacturing

Professional Services

Education

Hospitality

Energy

Telecommunications

Media & Entertainment

Transportation & Logistics

Consumer Goods

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Operations

Executive Management

Administration

Corporate Governance

Risk Management

Relevant Roles

Human Resources Director

HR Manager

Legal Counsel

HR Business Partner

Employee Relations Manager

Compliance Officer

Department Manager

Line Manager

Chief Human Resources Officer

General Counsel

HR Administrator

Operations Manager

Department Head

Chief Executive Officer

Managing Director

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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