Abu Dhabi court orders company to pay worker Dhs80,900 in unpaid wages and gratuity

The Abu Dhabi Labour Court of First Instance has ruled in favor of an employee, ordering his employer to pay Dhs80,900 in compensation. The decision came after the company failed to settle his overdue wages and end-of-service gratuity, despite him having worked there for approximately 12 years.

The employee has initiated legal action against his former employer, seeking a court ruling to compel the company to pay his labor entitlements and incurred expenses. He asserts that he had been employed by the company for approximately 12 consecutive years, earning a monthly salary of Dhs2,000, with additional allowances bringing the total to Dhs4,000 per month. The employee is claiming an end-of-service gratuity amounting to Dhs20,900, alongside unpaid wages for 15 months, which he calculates at Dhs60,000.

The company, on the other hand, claimed that the employee had ceased working some time ago but failed to implement the required actions following his absence. Meanwhile, the court clarified that based on the documents provided, the employee maintained a relationship with the company under the employment contract central to the case. This relationship continued until his services were terminated, thereby entitling him to claim his labor rights as specified by labor law.

The Court determined that the case file contained no evidence to release the company from its obligation to compensate the employee with the requested wages. As a result, the employee was deemed entitled to the unpaid amount of Dhs64,000. However, since his claim was limited to Dhs60,000, the court granted him the specified amount.

On the matter of the end-of-service gratuity, the court noted that it is a legal principle that any employee completing one year of continuous employment is entitled to a gratuity upon leaving their position, calculated based on the criteria outlined by law. Considering the employee's nearly 12 years of service with the company, he qualified for a gratuity sum of Dhs20,900.