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Dubai, UAE

Grounds under which an amount can be deducted from EOSB

Hello Sir,

I am working in a trading company for the past 7 years in Dubai. My designation is Sales Executive.

I have resigned from my job and I am in the 1 month notice period. Now the company is telling me that the payment of cheque bounce cases last year will be deducted from my settlement.

Is there any rule stating such a thing that the payment forbidden company has to be deducted from the employee?

Al Nassar Advocates & Legal Consultants
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14 Oct 2019, 12:28

Dear Sir/ Madam,

Thank you for reaching out to me on this.

I understand that the bounced cheque was for the suppliers and not yours personally. So there is no reason why the company should deduct the amount from your EOSB.

Any loss that the company makes should be attributed to them only and cannot be passed to the employee unless the employee has done some financial misconduct.

You will find Article 60 of the UAE Labour Law helpful in this regard, which enlists the grounds under which the employer can deduct the amounts from the salary.

The ground mentioned by the company is not one of the grounds to deduct the amount.

If the employer still deducts the amount, then you are eligible to file a labour case against the company and claim the shortfall at 9-12% legal interest.

I trust you will find this helpful.

Regards,

Hari Wadhwana

14 Oct 2019, 12:35

Thank you.

Do I need to fix a lawyer?

14 Oct 2019, 12:42

It is advisable to engage a lawyer to handle the labour case as it involves lengthy documents in Arabic and appearing before the court.

Having said the above, it is not compulsory to have a lawyer. You may litigate your case through Typing Center but they are not qualified lawyers so you may face challenges dealing with them.

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Maryam Hayyaz & Wejdan Bushahab Advocates
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14 Oct 2019, 13:27

Dear Questioner,

The employer cannot deduct the salary for an employee because of these absurd reasons.

The cheque has been given by the client to your employer and as an employee, it's not your liability.

You only did what you were supposed to do. Unless there is wrongdoing on your part, the employer has no right to deduct your salary or any other dues.

Further, if he is doing so, you have the right to file a labour case with MOL.

Kindly contact us on the phone for a detailed discussion or write to us at our email for further assistance.

14 Oct 2019, 14:26

Thank you, they have sent an email stating this.

Once they follow it, I will contact you.

Ali Alshimmari Advocates & Legal Consultants
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14 Oct 2019, 21:17

Salam.

It is illegal. You have the full right to file a labour complaint.

Thanks,

Ashraf Konsowa

Legal Consultant

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