Employee sues employer for withholding payment of Dhs252,000 in outstanding dues

The Abu Dhabi Labor Court – Primary Court has ruled that a company is required to pay Dhs252,926 to an employee, who had been in its service for nearly seven years. The decision was made after the company failed to meet its obligations to pay his wages on time, along with the annual leave allowance and the notice period compensation.

An employee initiated legal action against the company he was employed with, seeking to compel it to pay his labor entitlements, expenses, and enforcement costs. His claim is based on the assertion that he worked for the company for approximately seven years, earning a monthly basic salary of Dhs10,200 and a total monthly salary of Dhs17,000. He is demanding an end-of-service gratuity of Dhs56,435, a vacation allowance of Dhs49,300, a travel ticket, an experience certificate, compensation for arbitrary dismissal, payment for a notice period, an additional vacation allowance of Dhs24,000, overtime wages amounting to Dhs11,757, and unpaid salaries for eight months totaling Dhs119,000.

The Court clarified that under the Wage Protection System (WPS), the employee is entitled to Dhs98,033. Concerning the claim for end-of-service gratuity, the court emphasized that, in accordance with the law, an employee who has completed at least one year of uninterrupted service with their employer is eligible for gratuity upon termination. The amount is determined based on the criteria and conditions outlined in the law. Considering the employee's service period of 7 years and 11 days, he is entitled to Dhs56,435.

Additionally, the Court noted that the company acknowledged the employee's right to annual leave pay for the last two years, along with accrued leave pay amounting to Dhs69,700. As for the notice pay claim, the Court confirmed that the company accepted the employee's entitlement to notice pay totaling Dhs17,000.