*
الخميس: 22 يناير 2026
  • 22 January 2026
  • 18:47
UAE A company is obliged to pay an employee a service end reward of 4273 thousand dirhams

Khaberni - The Abu Dhabi labor court (Preliminary) ordered a company to pay an employee, who worked for it for 16 years, an amount of 427,337 dirhams as his dues for end of service reward, warning allowance, and leave allowance. The court rejected the plaintiff's request to obtain 70.9 thousand dirhams in back pay for two months and 60.8 thousand dirhams in incentives for the last year, due to the absence of evidence to support his entitlement.

In detail, an employee filed a lawsuit against the company he works for, demanding that it pays him wages overdue for two months amounting to 70,904 dirhams, a leave allowance of 46,758 dirhams, a warning allowance of 70,904 dirhams, end of service reward of 361,071 dirhams, and a commission of 60,857 dirhams. He indicated that he was linked to the defendant by an open-ended employment contract from April 2009 until April 2025 with a monthly salary, the basic part of which is 24,817 dirhams and the total being 35,452 dirhams, while no one from the defendant company attended.

The court clarified in its judgment’s rationale that the documents submitted and attached to the lawsuit prove that the employee (the plaintiff) was linked to an employment relationship with the company (the defendant) under a contract for a duration of 16 years and four days, with a monthly salary, the basic part of which is 24,817 dirhams, and the total being 35,452 dirhams, which the court decides in this context according to what is required by labor law.

The court rejected the plaintiff's request for back pay for two months, attributing its refusal to the fact that the requests that are considered valid are the explicit explicit requests that are not tainted by any ignorance or ambiguity or ambiguity, in a way that clarifies the intention of them and can be understood and answered according to the principles established by the civil procedures law which states "the plaintiff must include in his lawsuit sheet both the demands and their foundations"; moreover, the employee (the plaintiff) did not specify the months requested for the wages, and the dates requested for the wage, and his request was general, which necessitates its rejection.

Regarding the leave allowance request, it noted that the worker is entitled to a full paid annual leave of no less than 30 days for each year of his service, in addition to two days for every month if his service period is more than six months, and it was clear that the employee (the plaintiff) in his lawsuit sheet requests an allowance for 38.4 days, and the company (the defendant) did not attend nor did it provide any defense, and in the absence of evidence of its payment according to the legal proof methods, the employee (the plaintiff) is justified in his leave allowance for the period demanded, calculated based on the basic salary, due to the termination of the employment relationship, as pointed out by the court to the entitlement of the employee (the plaintiff) to end his services without warning, only a total monthly salary, according to the last employment contract between him and the defendant.

The court supported the plaintiff's request regarding the end of service reward, pointing out that according to the labor law regulation, the foreign worker who works in a full-time employment model, and who has completed a year or more in continuous service, is entitled to end of service reward upon termination of his service, calculated based on the basic wage, by an amount of wages of (21) working days for each of the first five years of service, and a wage of (30) working days for each year exceeding that, noting that the service duration of the employee (the plaintiff) at the company (the defendant) reached 16 years and four days, and the basic salary was 24,817 dirhams.

The court rejected the plaintiff's request for a commission of 60,857 dirhams, noting that the "bonus" (performance reward) is subject to the conditions of the contract and the internal system of the establishment and the employee’s performance assessment by the employer, and hence granting him the "bonus" for previous years, does not entitle him to its continuous entitlement automatically, as it remains subject to considerations and requirements that the company sees necessary to achieve each year behind the work, and the documents came devoid of any proof of prior payment to him, and the contract lacked a provision on it.

The court restricted the financial amounts due to the employee (the plaintiff) to a leave allowance amounting to 31,766 dirhams, a warning allowance of 35,452 dirhams, and end of service reward of 360,119 dirhams, and the court objectively and as if by attendance, ordered the company (the defendant) to pay the plaintiff an amount of 427,337 dirhams, and rejected all other requests, and obliged the company (the defendant) to pay the fees and expenses within the amount adjudged.

Topics you may like