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Retirement Termination Letter for United Arab Emirates

Retirement Termination Letter Template for United Arab Emirates

A formal document issued under UAE labor law (Federal Decree-Law No. 33 of 2021) to officially terminate employment due to retirement. This letter serves as legal documentation of the retirement process, outlining the effective date of retirement, final settlement details, end-of-service benefits calculation, and other pertinent information as required by UAE employment regulations. The document ensures compliance with local labor laws while providing both employer and employee with clear documentation of the retirement terms, including any applicable pension arrangements for UAE nationals and end-of-service gratuity calculations for expatriate employees.

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What is a Retirement Termination Letter?

The Retirement Termination Letter is a crucial document in the UAE employment landscape, governed by Federal Decree-Law No. 33 of 2021 and related employment regulations. It is used when an employee reaches retirement age or opts for voluntary retirement where permitted. The letter serves as official documentation of the employment termination due to retirement, protecting both employer and employee interests by clearly stating the retirement date, final settlements, and benefit calculations. This document must comply with UAE labor law requirements regarding retirement age (60 years for most workers, with some variations), end-of-service benefits calculations, and specific provisions for UAE nationals under the pension law. The Retirement Termination Letter typically includes information about final settlements, gratuity payments, handover requirements, and any continuing benefits or obligations.

What sections should be included in a Retirement Termination Letter?

1. Letter Header: Company letterhead, date, reference number, and addressee details

2. Subject Line: Clear indication that this is a retirement termination letter

3. Opening Statement: Formal acknowledgment of the employee's retirement and reference to any prior discussions or notifications

4. Employment Details: Employee's position, department, and duration of service with the company

5. Effective Date: Clear statement of the last working day and retirement effective date

6. End of Service Benefits: Details of gratuity calculation and any other statutory entitlements under UAE labor law

7. Final Settlement: Information about final salary, unused leave encashment, and other due payments

8. Company Property: Request for return of company assets and documentation

9. Closing Statement: Expression of appreciation and good wishes for retirement

10. Signature Block: Space for authorized signatory details and signature

What sections are optional to include in a Retirement Termination Letter?

1. Pension Information: For UAE nationals, including details about government pension arrangements

2. Transition Plan: If applicable, details about knowledge transfer and handover responsibilities

3. Post-Retirement Benefits: Any company-specific retirement benefits or continued medical coverage if offered

4. Confidentiality Reminder: If needed, reminder about ongoing confidentiality obligations

5. Recognition of Service: Special mention of significant achievements or contributions, appropriate for long-serving employees

6. Exit Interview: If company policy requires, details about the exit interview process

What schedules should be included in a Retirement Termination Letter?

1. End of Service Calculation Sheet: Detailed breakdown of gratuity and final settlement calculations

2. Outstanding Dues Statement: List of any pending payments, reimbursements, or deductions

3. Company Property Checklist: Itemized list of company assets to be returned

4. Benefits Summary: Summary of any post-retirement benefits or insurance coverage details

5. Clearance Form: Department-wise clearance requirements and sign-off sheet

Authors

Alex Denne

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

Publisher

Ƶ

Document Type

Termination Letter

Cost

Free to use
Relevant legal definitions




















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Relevant Industries

Banking & Financial Services

Government & Public Sector

Healthcare

Education

Construction & Engineering

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Retail

Manufacturing

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Hospitality

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Real Estate

Telecommunications

Media & Entertainment

Relevant Teams

Human Resources

Legal

Finance

Administration

Operations

Management

Compliance

Payroll

Employee Relations

Benefits Administration

Relevant Roles

Chief Executive Officer

Managing Director

General Manager

Department Manager

Senior Executive

Professional Staff

Administrative Officer

Technical Specialist

Supervisor

Senior Engineer

Professor

Doctor

Branch Manager

Sales Manager

Operations Manager

Project Manager

Research Scientist

Senior Accountant

Chief Financial Officer

HR 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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