Can an employee take legal action against a company for revoking an offer letter?

A person wants to know what they can do if their new job offer is withdrawn after leaving their old job.

Ask: I received a job offer from a company in Dubai. I’m thinking about accepting it and leaving my current job. But I’m worried: What if they change their mind and withdraw the offer after I resign? Can you help?

Answer: Depending on your situation, assuming you have received an offer from a mainland company in Dubai and follow the rules set by the Ministry of Human Resources and Emiratization (MoHRE), we can refer to Ministerial Decree No. 46 of 2022 and Administrative. Resolution No. 38 of 2022 of an indicative nature.

In the United Arab Emirates, when hiring a new employee, the employer usually provides an offer letter outlining the terms and conditions of the job. Subsequently, these same terms and conditions must be included in the employment contract. Any additional terms and conditions beyond this should only be added if they benefit the employee.

this is below Article 2, paragraph 1, of Ministerial Decree No. 46 of 2022What states,

“In accordance with the provisions of the Decree Law and its Executive Regulations, the employer who wishes to hire any worker must observe the following:

Use the approved standard employment contract that conforms to the job offer when requesting the issuance of the work permit. It is legal to add more benefits to the worker in the contract than those mentioned in the job offer; It is also permitted to add Annexes to the contract as long as they do not contradict the provisions of the decree law and its executive regulations.”

Besides, Article 1 of Administrative Resolution No. 38 of 2022 mentions that an offer letter issued by an employer must follow the format prescribed by the MoHRE.

When applying for a work permit for an employee, an employer must submit a signed offer letter between the employer and the prospective employee. This is in accordance with Administrative Resolution No. 38 of 2022. Once an employer submits all the documents/requirements along with the signed offer letter and payment of applicable fees to the MoHRE, an employment contract is signed between an employer and a prospective employee which will be a legally binding contract once register with the MoHRE.

A signed offer letter can be considered an agreement of mutual understanding between an employer and its prospective employee. While an employment contract signed between an employer and its prospective employee is a legally binding agreement. Therefore,

“All contracts are agreements, but all agreements are not contracts.”

Based on the above, if your prospective employer cancels the offer letter given to you, you may not be able to file a complaint with the Ministry of Human Resources and Emiratization (MoHRE) because you are only considered an employee once your employment contract expires. is registered with them. . However, you might consider taking legal action against the employer in a UAE court. This could help you seek compensation for the loss of your current job, financial losses, and any other damages caused by the withdrawal of the job offer letter.

News Source: Khaleej Times