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Can an employer revoke a previously granted employee benefit?
Hi,
I would like to inquire whether an employer has the right to revoke a benefit that was previously granted to an employee.
For instance, if a company provided family status to some employees and gave family tickets in a given year, can they revoke it the following year?
Greetings,
An employer’s right to revoke a previously granted benefit depends on whether the benefit was part of the employment contract or an optional company policy:
If the benefit is contractually agreed upon, the employer cannot unilaterally revoke it without employee consent.
If it was a discretionary company policy, the employer may modify or withdraw it, provided it does not violate UAE Labour Law or cause unfair discrimination.
To assess your specific situation and legal options, book a consultation with us today!
Dear Questioner,
Thank you for your question!
An employer may have the right to revoke a benefit, such as family status or family tickets, depending on the terms of the employment contract or company policies:
Employment Contract: If benefits are specified in the contract, the employer typically cannot revoke them without mutual agreement or a contract amendment.
Company Policies: If the benefits are part of company policy, the employer may have more flexibility to modify or revoke them, but must communicate the changes clearly and fairly.
UAE Labor Law: Employers cannot change contract terms that negatively affect the employee without just cause.
If the benefits were part of a discretionary policy, revoking them is possible, but clear communication and advance notice are important.
Let me know if you need further clarification.
Best regards,
Mohammed Salah
Legal Consultant
Dear Client,
Thank you for your inquiry!
Under UAE labor law, an employer cannot arbitrarily revoke benefits that have been previously granted and documented in an employment contract or official internal memo.
If family status and related benefits, such as family tickets, were explicitly provided in a given year and mentioned in an internal memo, they are considered part of your contractual entitlements.
1. Legal Considerations:
a. Binding Nature of Benefits:
Benefits explicitly mentioned in an internal memo or employment contract are legally binding. Revoking them without mutual agreement or valid justification may constitute a breach of contract under UAE labor law.
b. Employer's Right to Modify Benefits:
Employers may adjust or revoke benefits if changes are communicated formally and applied uniformly across all employees, provided they comply with UAE labor regulations. However, the unilateral revocation of benefits already granted may be legally challenged.
2. Recommended Actions:
a. Request Formal Clarification:
Seek formal clarification from your employer regarding the revocation of family status benefits and whether the decision applies universally or selectively to certain employees.
b. File a Complaint with MOHRE:
If the revocation is unjustified, you have the right to file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE) for mediation and resolution.
c. Consult Legal Counsel:
Engage a labor lawyer to review your employment documents and advise on legal recourse to protect your entitlements.
If family status benefits were explicitly granted in writing, revoking them without valid justification may be considered a breach of contract. I recommend seeking clarification from your employer and consulting legal counsel or filing a complaint with MOHRE if necessary.
Best regards,
ABDUL WAHIED