The Redundancy Termination Letter is a crucial document used when an organization needs to terminate employment due to organizational restructuring, economic conditions, or other business-related reasons. Under UAE Labor Law, redundancy must be justified by legitimate business reasons and follow specific procedural requirements. This document serves as official written confirmation of the termination, outlining the notice period, final settlement calculations, and other key details required by UAE legislation. It needs to be carefully drafted to ensure compliance with Federal Decree-Law No. 33 of 2021 while maintaining professional communication and protecting both employer and employee rights. The letter should be issued after any preliminary discussions and must clearly state the business justification for the redundancy decision.
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1. Letter Header: Company letterhead, date, reference number, and employee details including name, position, and employee ID
2. Subject Line: Clear indication that this is a notice of termination due to redundancy
3. Opening Statement: Professional opening and reference to any prior discussions about the redundancy
4. Reason for Redundancy: Clear explanation of the business circumstances leading to the redundancy decision
5. Termination Date: Specific last working day and notice period details in accordance with UAE Labor Law
6. Final Settlement: Overview of final settlement including salary, end of service gratuity, and other entitlements
7. Company Property: Instructions regarding the return of company property and handover of work
8. Closing Statement: Expression of gratitude for service and good wishes for the future
1. Outplacement Support: Details of any career transition services being offered, if applicable
2. Garden Leave: If applicable, terms of garden leave during the notice period
3. Reference Provision: Information about providing employment references, if offered
4. Non-Compete Reminder: Reminder of any existing non-compete obligations, if applicable
5. Continuation of Benefits: Details of any benefits that will continue post-termination
6. Severance Package: Details of any additional severance payment beyond statutory requirements
7. Visa and Immigration: Information regarding visa cancellation and grace period for expatriate employees
1. Final Settlement Calculation: Detailed breakdown of all final payment components including salary, gratuity, and other benefits
2. Handover Checklist: List of items and responsibilities to be handed over before the last working day
3. Employee Acknowledgment Form: Form for the employee to sign acknowledging receipt of the termination letter
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