Underperformance and misconduct are different problems with different routes, and running one through the other produces a decision that cannot be defended. The UAE constraint on both is the same: **disciplinary penalties come from a closed statutory list**, so a performance process that ends in an invented sanction creates a claim even where the concern was genuine.
Performance Management
Objectives, reviews and addressing underperformance
Underperformance and misconduct are different problems with different routes, and running one through the other produces a decision that cannot be defended. The UAE constraint on both is the same: disciplinary penalties come from a closed statutory list, so a performance process that ends in an invented sanction creates a claim even where the concern was genuine.
| Item | Detail |
|---|---|
| Employer | [COMPANY NAME], [licence] [NUMBER] |
| Jurisdiction | [Mainland / free zone / DIFC / ADGM] |
| Review cycle | [Annual with a mid-year check] |
| Objectives set | [Within 30 days of joining or the cycle start] |
| Ratings used | [Y/N — describe the scale] |
| Linked to pay | [Y/N — and how] |
| Owner | [NAME], [DESIGNATION] |
| Version and date | [NUMBER], [DATE] |
1. Performance or Conduct?
| Performance | Conduct | |
|---|---|---|
| The problem is | Cannot do it, or not to the standard | Chose not to, or acted improperly |
| Examples | Missed targets, quality, capability, pace | Dishonesty, absence without leave, safety breach, abuse |
| Route | Support, objectives, review — Sections 3–4 | Disciplinary procedure |
| Timescale | Weeks to months | Days to weeks |
| Outcome if unresolved | Redeployment or termination with notice | Penalty from the statutory list, up to dismissal |
| Tone | Supportive and specific | Investigative and fair |
1.1Decide which one this is before the first conversation. Running a capability problem through a disciplinary process removes any chance of improvement and produces a decision that is hard to defend. Running misconduct through a performance plan lets it continue.
2. Objectives
2.1Objectives are set at the start of the cycle, or within [30] days of joining or changing role, and recorded in writing.
2.2Each objective states what, by when, and how it will be measured.
2.3Objectives are within the employee’s control and are adjusted where circumstances change materially.
2.4Where objectives change mid-cycle, the change and the reason are recorded.
2.5An objective the employee cannot influence is not an objective. Where a target depends on another team, a market, or a decision above them, either change it or record the dependency — it will otherwise be raised, correctly, at review.
3. Reviews
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They are different problems with different routes, timescales and outcomes. Running a capability issue through a disciplinary process removes any chance of improvement and produces an indefensible decision; running misconduct through a support plan lets it continue.
Notice, gratuity, accrued leave and all other entitlements are payable, and settlement is due within 14 days of the last working day. It is not summary dismissal, which requires a statutory ground and its own process. Confusing the two is a serious and expensive error.
Whatever the performance concern, any sanction imposed must be one the Law permits. An invented penalty — an unpaid suspension, a pay cut, a withheld allowance — creates a claim even where the underlying concern was entirely genuine.
A serious concern raised for the first time at year end is a management failure, and it reads that way in any subsequent process. Raise concerns when they arise, in writing, and the annual review becomes a summary rather than an ambush.
Feedback like "not proactive enough" cannot be acted on and cannot be evidenced. Name the incident, the date and what should have happened instead. This is the difference between a defensible file and a collection of impressions.
Where an employee was never told clearly what was wrong and never given help to fix it, a subsequent dismissal is difficult to defend and is usually unfair in substance as well. Training, coaching and clearer instructions cost little against replacement.
A target depending on another team, a market movement or a decision above them is not an objective. Either change it or record the dependency — it will be raised at review, correctly, and the file will look poor.
Three years of satisfactory ratings followed by an abrupt dismissal for poor performance is evidence against the employer. Where performance genuinely declined, the file must show it happening at the time.
A review delivered in English to someone who does not follow it is not a review, and the point will be made if the matter is ever examined. Provide interpretation where needed and record that you did.
Inconsistency between employees in similar circumstances is visible to everyone and is a grievance in itself. Where discretion is exercised, record why — it forces the comparison to be made deliberately.
Someone capable but in the wrong role is worth moving rather than replacing. Note that a change of job title may require a work permit amendment, and the title must still match a licensed activity.
There is no lawful extension. Where more time is wanted, the choice is to confirm or to end the employment on the applicable notice. Informal extensions have no effect and produce a confirmed employee by default.
A promotion or pay rise following a review requires written consent and a contract amendment through the ministry or zone. A letter alone leaves the registered contract saying something different from what is paid, which shows in the WPS record.
Discrimination in this market is more often structural than explicit — nationality-linked bands, roles closed to certain groups. It shows in the aggregate and never in any single decision. An annual review of outcomes surfaces what no individual complaint will.
Reflects UAE law current as of {{DATE OF USE}}. Probation rules, notice periods, permitted disciplinary penalties, contract amendment procedures and arbitrary dismissal provisions all change, and DIFC and ADGM apply their own employment codes — confirm with MOHRE or a UAE employment adviser before terminating for performance.
This is a ready-to-use template provided for convenience. Laws and requirements change, and every situation is different — please have it reviewed by a qualified professional (a lawyer, corporate secretary, or accountant as relevant) before you rely on it.