Abu Dhabi court orders employee to return Dhs79,744 loan amount to company

Abu Dhabi Labour Court of First Instance ordered an employee to pay Dhs79,744 to the company he worked for as he borrowed amounts as loans while employed but resigned from the company without settling these dues.

The company filed a lawsuit against him, demanding payment of Dhs83,569, the remaining amount owed after settling all his labour entitlements, as he had received multiple financial amounts as loans during his employment, based on signed acknowledgments and documents.

The company added that the employee had been working for them since 2006, and the total amount he received in advances was Dhs180,534, granted to him at different times, including cash amounts and others related to his housing rent.

However, he resigned from work, so the company calculated his labour entitlements, which amounted to Dhs96,965, leaving Dhs83,568 owed to the company.

The court clarified that it was evident from the expert's report and the submitted documents that the employee had received financial amounts from the company, proved by signed acknowledgments and accounting records, and these were treated as loans to be repaid, with a balance of Dhs159,205. It was also found that an additional amount was due for housing allowance, including the rent value for the period after the termination of the employment relationship and the insurance amount, totaling Dhs18,519. Therefore, the total outstanding debt owed by him was Dhs177,724.

The court also found that the employee had labour entitlements, including end-of-service gratuity, leave allowance, delayed salaries, and travel ticket allowance, totaling Dhs97,980, leaving Dhs79,744 entitled to the company.