Q: I have resigned from my current job and my last day is May 9th after a notice period of 2 months. I was employed for 4 years. My employer has paid me a full year housing allowance and would like to deduct the remaining months from my end of service. Is this allowed? I have not been made aware that the amount would be deducted in case I resign. Also, I am entitled to 30 days of leave per year. Since I have resigned, they have applied a pro-rata for this year for the end of service calculation. Is this allowed? Shouldn't I be compensated for the 30 days that I have not taken? Thank you!

Q: I was working in a company in the UAE for five years. In the UAE they do not have a retirement plan for expats, only End of Service Allowance (EOSA). My employment contract is an open contract. No contract duration. I had taken a loan from the company. I borrowed the funds to support my children education. I had been approved for the loan given I have a salary. The company decided to terminate the employment of about 400 employees. I did not request to be terminated. No package was given at all for compensation except EOSA plus ticket and freight cost. I recently received the company Draft Final Settlement document whereas the EOSA amount that I was hoping to use to survive and provide food and shelter for my family was taken away completely and applied towards paying the loan. They fired me, I did not ask to be fired. They have broken their side of the contract. What legal recourse do I have for not accepting the company literally taking away my EOSA and leaving me bone dry?

Q: Three years ago, my employer provided me with a laptop to use for the work purpose. Some time ago, the company laptop broke down and I used at work my own laptop. Now, I am resigning from the company and my manager deducted the cost of the company laptop (the price they paid 3 years ago) in full from my end of service gratuity. He explained to me, that because the laptop is not repairable, I have to refund to the company its full price. I believe that it is not fair, as there is wear and tear of the device and its price after for years of use should be considerably lower. Am I right? And what can I do in this situation?

Issue: An employee resigned from the job after working for 5 years, and signs a letter addressed to the employer that he wants his gratuity to be paid only after his customer pays the employer. Therefore, has the employer defaulted for End of Service (EOS) payment under the UAE Labour Law?

The UAE has adopted a major reform in its legislative system that brought about 40 new laws and amendments to the company law, criminal law, personal status, among others. The amendments aim to develop the legislative structure in various sectors, the labor law being one of these, was the most recent. We try in this article to shed light on the changes introduced with the new labor law and their significance on both, the employer and employee.

The provisions of this Law, known as "UAE Labour Law", govern the relationship between employers and employees and other labour matters in the United Arab Emirates. There are special labour related regulations applicable in some of the free zones in the UAE.

This Decree sets the rules and conditions for the termination of fixed-term (limited) or unlimited (not term-bound) employment contract between employer and worker in the United Arab Emirates.

The provisions of this Decree-Law, known as "New UAE Labor Law", govern labour relations in the private sector of the United Arab Emirates. The New Labor Law repeals the previous UAE Labor Law (Federal Law No. (8) of 1980).