Dubai Civil Court Orders Dh57,500 Payout After Job Offer Falls Through

A Dubai employer has been ordered to pay Dh57,500 in compensation after failing to follow through on a confirmed job offer, with the civil court ruling that the company breached its contractual obligations and caused harm to the employee.

The Dubai Civil Court found that the employer did not honour a signed employment agreement, leaving the claimant without work and exposing him to financial and emotional hardship.

The employee had accepted a position as a senior procurement officer with a monthly salary of Dh19,000. Relying on the offer, he cancelled his residency visa and resigned from his previous job. However, the company did not complete the necessary hiring formalities or permit him to join, effectively leaving him unemployed and unable to support his family.

After efforts to resolve the matter amicably failed, the employee approached the court seeking compensation equivalent to three months’ salary, citing loss of income and a missed career opportunity.

During the proceedings, the employer denied issuing the job offer. The court, however, relied on documentary evidence and electronic communications between the parties, which confirmed both the offer and steps taken to process a work permit. It held that these exchanges established a valid contractual relationship based on offer and acceptance.

In its ruling, the court underscored that once an employment contract is validly concluded, both parties are legally bound by its terms, and unilateral withdrawal is impermissible where it causes direct harm.

The compensation awarded covered lost wages, the forfeited employment opportunity, and the psychological distress arising from the claimant’s financial difficulties.

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