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Can the company pay my gratuity upon termination only for onsite service and skip my remote service?

I worked for a company for 2 years and 2 months. For 8 months, I worked remotely under a contract governed by UAE law. The contract explicitly stated:

"This contract is governed by and shall be construed in accordance with the laws of the Emirate of Dubai and the United Arab Emirates."

During this remote period, I accrued 25 days of vacation.

After the remote work period, I relocated to Dubai with a new contract. This contract acknowledged my prior remote employment I worked onsite for the company for 18 months, after which they terminated my employment.

Now, regarding my termination, I have two questions:

1. The company has mentioned that they will compensate me for the 25 days of vacation at the remote rate, considering that these vacation days were accrued during my remote work period.

2. They also informed me that I will not receive gratuity for the entire duration of my service but only for the onsite period (18 months) as I had two separate contracts.

Is this legally valid?

متميز
دار الحقوق للاستشارات القانونية
دردشة توظيف
اجتماع
27 Nov 2023, 13:07

Dear Client,

Thanks for your question, I hope you are doing well. I will definitely assist you in this matter.

1.  Compensation for accrued vacation should be based on the terms specified in your employment contracts. If your contract during the remote work period states a specific rate for vacation compensation, then it should be honored.

2 The payment of gratuity is typically calculated based on your total length of service, including all employment periods with the same employer.

If you had two separate contracts with the same employer, the gratuity should generally be calculated based on your entire duration of service, unless there are specific contractual provisions stating otherwise.

For any further legal assistance, you can WhatsApp us. We have an extensive team of knowledgeable and experienced lawyers to provide the legal assistance you need.

We will definitely be happy to help you.

Thanks & Regards

ABDUL WAHIED

سايماكس لو
دردشة
توظيف
اجتماع
27 Nov 2023, 16:12

Hi

This is Nada,

If both contracts were with the same company, your end-of-service should start from the first working day of the first contract, unless you were working as a freelancer and your first contract does not include end-of-service benefits.

if you require any legal support please contact me by email.

Regards,

Nada

متميز
كي إتش إي للاستشارات القانونية
دردشة توظيف
اجتماع
29 Nov 2023, 12:00

In your case, you can claim the accrued salary for the 25 days of vacation as per the UAE laws because the governing law for your contract is UAE labor law ( if nothing contrary is mentioned in the contract).

You can also file a complaint for the gratuity for all the years of employment because of the reason you had worked for the same company.

Before moving with the case, it is better to review both contracts to check if anything contrary is mentioned.

29 Nov 2023, 12:01

If you need us to review your contract, we can do the same for a charge.

Please share your WhatsApp number for the same.

متميز
النجار أند بارتنرز
دردشة
توظيف
اجتماع
30 Nov 2023, 09:27

Dear questioner,

In your case, since you worked remotely for the company before relocating to Dubai, the vacation days accrued during that period should still be considered part of your total employment period.

Therefore, you should be compensated for the full days of accrued vacation, regardless of whether they were accrued remotely or onsite.

Gratuity, also known as end-of-service gratuity, is a mandatory payment that employers in the UAE must make to their foreign employees upon termination of employment.

The amount of gratuity is calculated based on the employee's last basic salary and the total duration of their employment service.

In your case, since you had two separate contracts with the same employer, the gratuity should be calculated based on your entire duration of service, including both the remote and onsite periods.

This is because the UAE Labor Law considers all employment periods with the same employer as continuous service for the purpose of gratuity calculations.

Therefore, the company's decision to only provide gratuity for the onsite period is not legally valid. You should be entitled to gratuity for the entire duration of your service, including the remote work period.

Please feel free to reach out to me by email if you have any further questions.

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