Abu Dhabi court orders firm to pay employee Dhs61,000 over unfair dismissal

The Abu Dhabi Labour Court has ordered an employer to compensate an employee with Dhs61,071 for leave entitlements and notice period allowances. The employee had served the company from 2008 until the end of last year, spanning approximately 18 years, before being terminated without prior notice.

The plaintiff initiated legal action against her previous employer, seeking a court judgment obliging the latter to compensate her for unpaid wages totaling Dhs35,372, an annual leave allowance of Dhs28,520, and compensation for arbitrary dismissal corresponding to three months' salary amounting to Dhs106,116. Additionally, she demanded a notice period allowance of Dhs35,372, overtime compensation of Dhs8,900, and the issuance of an experience certificate. The lawsuit also included a request for late payment interest at a rate of 12 per cent starting from the date the case was filed until complete settlement, along with coverage of court fees and associated expenses.

The Court clarified that the employee is claiming compensation for unused leave, as she left her job without utilizing it. The employer failed to present any evidence showing that the leave was used or that compensation had been paid for it, placing the responsibility of proof on the employer. Consequently, the employee is entitled to leave compensation for a period of 10 months and 11 days, equivalent to 26 days calculated based on her basic salary, totaling Dhs12,729. Additionally, the employer terminated the employee's contract with immediate effect without fulfilling the obligation to provide prior notice. This requires compensating the employee with Dhs35,372 as warning compensation.