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I want to dismiss an employee under article 120. Do I need to pay him the EOSB?

I want to dismiss an employee under article 120/44 of MOHRE labor law. I want to know if we need to pay him his complete end-of-service benefits.

Rajasree Ravivarma

Hussain Lootah & Associates

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26 Jul 2022, 05:53

Yes. The new labor law is silent regarding that part.

In the old labor law, it was clearly mentioned that if an employee is getting terminated under Article 120, he is not entitled to the end-of-service benefits.

26 Jul 2022, 05:54

The new law is totally silent on that part. Hence it means the employee is eligible to get the end-of-service benefits though he got terminated under article 44 of the new labor law.

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