5 cases that allow the employer to deduct the employee’s end of service gratuity

Abdallah Shahin - | Business

The Ministry of Human Resources and Emiratisation stated that the executive regulations of Decree Law No. 33 of 2021 set the controls for deduction from the end-of-service gratuity for workers in the private sector, as it permitted the employer to deduct the worker’s end-of-service gratuity in five cases, to return any amounts that are legally due Or a court ruling on the worker.

In a report published in the "Labour Market" magazine, the ministry clarified that the five cases are represented in the amounts due to be necessary to recover loans, to have been paid in excess of his right, or to recover sums deducted for the purposes of calculating participation in bonuses, retirement pensions, and insurances, and in legislation. enforceable in the State, as well as to pay any amounts due to the violations committed in accordance with the list of penalties in force in the facility and approved by the Ministry.

It also includes the payment of debts due in implementation of a court ruling issued against the worker, and finally if there are sums due to repair the damage caused to the worker as a result of his fault, which led to the destruction or loss of tools or products owned by the employer.

She indicated that it is required that the amounts owed be fixed to the worker by a court ruling or his approval, and that the employer has taken the procedures stipulated by law in the event that the amounts due are violations committed by the worker or as a result of damages due to his fault, and that the amounts have not been exceeded. It is due for a period of three months from its due date, unless otherwise agreed upon.

According to the ministry, the end-of-service gratuity is calculated for full-time workers, so that the citizen worker is entitled to an end-of-service gratuity upon the end of his service, in accordance with the legislation regulating pensions and social insurances in force in the country, while the foreign worker who works according to the full-time work pattern, and who has completed a year or more, is entitled to In continuous service, the end-of-service gratuity upon the end of his service is calculated according to the basic wage, where he receives a wage of 21 days for each year of the first five years of service, and a wage of 30 days for each year in excess of that. The foreign worker is also entitled to a reward for the parts of the year in proportion to what he spent at work, provided that he has completed one year of continuous service.

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Abdallah Shahin
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