Hi I am Khawar Abbas s/o Ashiq Hussain i am from...

A limited contract cannot exceed two years' term and it must mention the notice period ranging from a minimum of one month to a maximum of three months.

Either party can singly terminate the original contract or a renewed contract provided he complies with the legal consequences of early termination which include:

• notifying in writing at least one month in advance but no longer than three months

Unlimited contract

In case of unlimited contracts, an employment relation is terminated in one of the following instances:

• Both, the employer and employee mutually agree to terminate the contract.

• When either party decides, at any time, to terminate the contract provided that the terminating party abides by the legal notice requirements and continues to honor his obligations for the duration of the notice period, which cannot be less than one month and no longer than three months.

Article 132 of the Labour LAW as amended by Federal Law no . 12 dated 29/10/1986 :

The worker having spent one year or more in continuous service shall be entitled to an end of service gratuity upon the termination of his service . The days of absence from work without pay shall not be included in the calculation of the period of service , and the gratuity shall be calculated as follows :

1 - The wage of twenty one days for each of the first five years of service .

2 - The wage of thirty days for every additional year .

Always provided that the total gratuity does not exceed the wage of two years .