Labour court orders employer to settle Dh186,801 in unpaid wages and benefits

The Court of First Instance found that the company withheld the employee’s monthly salaries for several consecutive months and later refused to settle his remaining entitlements, including accrued leave and end-of-service benefits.

Court records show that the employee initially approached the Ministry of Human Resources and Emiratisation’s dispute resolution committee before filing the case. He sought payment of five months of unpaid wages, end-of-service gratuity, annual leave allowance for the final two years of his employment, commissions for a two-year period, and legal interest and costs. 

The employee told the court that he earned a basic salary of Dh7,000, with a total monthly package of Dh12,000. He said he stopped working only after repeated delays in salary payments and maintained that none of his outstanding dues were ever paid. 

The court ruled that an employer remains liable for salary payments unless there is written proof, an admission, or sworn testimony confirming that wages have been settled. 

Finding no evidence of payment, it awarded the employee Dh59,200 for the five months of unpaid salaries. 

On the question of end-of-service benefits, the court rejected the company’s claim that the employee had abandoned his job, citing lack of evidence. It therefore upheld his entitlement to gratuity and other benefits, bringing the total compensation to Dh186,801.