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Moheb Hassan

Moheb Hassan

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الأسئلة المجابة 63652 | نسبة الرضا 98.2%

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i'm working with the company in uae, which is...

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i'm working with the company in uae, which is registered with hamriya free zone. In June-20, company has issued bonus (performance link incentive) for the year 2019. However, now companies financial situation is not good. Hence, HR has started to terminating all employees without paying bonus, which they have committed for the last financial year. Bonus is not covered under the contract. However, they are issuing separate letter for bonus every year. Please advise - how employees should take the matter forward to protect their interest ? whether they will get any support from authorities ? whether it is covered under law ? Please advise tactics in general to deal the case

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إجابة الخبير: Moheb Hassan

Moheb Hassan

Moheb Hassan

Lawyer

الأسئلة المجابة 63652 | نسبة الرضا 98.2%

In case the company terminates work contracts without a legal justification, then the worker can file a complaint at the Ministry of Human Resources and Emiratisation, which in turn will transfer the complaint to the labor court because they do not have the authority to handle that complaint for workers of the free zones.
Also, a worker who is subject to an arbitrary termination of an employment contract can demand compensation for the this terminatio, in addition to end-of-service benefits that the worker did not receive before.
The UAE Labor Law stipulates:
Article 123
1. Where a worker is arbitrarily dismissed, the competent court may order the employer to pay him a compensation, to be assessed by the court with due regard to the nature of the work, the extent of damage sustained by the worker and his period of service, and after investigating the work circumstances, provided that such compensation shall in no case exceed the worker's wage for three months, calculated on the basis of his last wage.
2. The provisions of the preceding paragraph shall not prejudice the worker's right to the gratuity he is entitled to and the compensation in lieu of notice provided for in this law.
 

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Moheb Hassan

Moheb Hassan

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الأسئلة المجابة 63652 | نسبة الرضا 98.2%

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