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Is it fair to reduce gratuity in employee contract amendments?

Dear Sir/Madam,

I have worked continuously for a company for 10 years and am now being retired. My original contract was signed in 2013. However, in 2018, we were asked to sign a new contract and were given a gratuity payment.

On 1 January 2023, we were given another new contract which further reduced the gratuity. Each new contract has reduced the gratuity from the original contract.

I understand that contract amendments should not disadvantage employees. Therefore, should the gratuity be paid at the original, most beneficial rate for the employee?

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KHE Legal Consultancy
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16 Apr 2023, 07:46

Dear Questioner,

The bonus is paid according to the employee’s last salary, and each new contract cancels the contract that you accepted.

16 Apr 2023, 08:03

Although the amendments reduce the number of days for gratuity paid per year of service?

16 Apr 2023, 14:23

Remuneration is proportional based on the number of years you have worked.

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Mohamed Bakheet Advocates & Legal Consultants
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16 Apr 2023, 11:49

Dear questioner,

The gratuity will be as per the updated agreement.

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