Termination of Employment Contract in Private Sector
Termination of Employment Contract in Private Sector
When Does Employment Contract End?
According to Article (96) of the Labor Law in the Private Sector:
A fixed-term employment contract ends upon expiry of its term. If a fixed-term employment contract ends upon expiry of its term, it may be renewed by explicit agreement between its parties for another term or terms.
Types of Employment Contracts
1. Fixed-Term Employment Contract
- Automatically ends upon expiry of the specified term
- Can be renewed by explicit agreement between parties
- Renewal must be written and documented
2. Indefinite-Term Employment Contract
- Does not end with passage of time
- Continues until one party decides to terminate it according to legal procedures
Employee Rights Upon Contract Termination
- Receive full financial entitlements
- End-of-service gratuity (if applicable)
- Unused accrued leave
- Experience certificate from employer
Legal References
- قانون العمل في القطاع الأهلي - المادة 96
Frequently Asked Questions
When does a fixed-term employment contract end?
A fixed-term employment contract ends automatically upon expiry of the specified term according to Article 96 of the Labor Law.
Can a fixed-term contract be renewed?
Yes, it can be renewed by explicit written agreement between the parties for another term or terms.
What is the difference between fixed-term and indefinite-term contracts?
A fixed-term contract ends upon expiry of the specified term, while an indefinite-term contract continues until one party decides to terminate it according to legal procedures.
What are employee rights upon contract termination?
Receive full financial entitlements, end-of-service gratuity, unused accrued leave, and experience certificate.