Abu Dhabi Court Orders Firm to Pay Dh252,926 in Unpaid Wages, Benefits

The Abu Dhabi Labour Court of First Instance has ordered a company to pay Dh252,926 to a former employee after finding it failed to settle wages and statutory benefits following the end of his employment.

The ruling came in a lawsuit filed by the employee, who had worked with the company for nearly seven years. He told the court he earned a basic monthly salary of Dh10,200, with a total monthly pay of Dh17,000, and accused the employer of delaying salaries and withholding end-of-service dues.

The employee sought payment of unpaid salaries for eight months, end-of-service gratuity, accrued annual leave, notice pay, overtime wages, travel ticket costs, an experience certificate and compensation for arbitrary dismissal, along with legal expenses.

In its judgment, the court said records under the Wage Protection System (WPS) showed the employee was entitled to Dh98,033 in unpaid wages. It also ruled that, under UAE labour law, an employee who completes at least one year of continuous service is entitled to an end-of-service gratuity. Based on a service period of seven years and 11 days, the court awarded Dh56,435 under this head.

The court further noted that the company acknowledged the employee’s entitlement to annual leave pay for the last two years, including accrued leave, amounting to Dh69,700. It also confirmed the employer accepted liability for Dh17,000 in notice period compensation.

The total award, combining unpaid wages, gratuity, leave pay and notice pay, was set at Dh252,926, with the employer directed to settle the amount.

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