A reader from India asks, “I was in Dubai in February-March this year. I gave interviews in many companies in Dubai and I accepted a job offer from one company. They gave me a job contract, which I accepted and signed. This job contract was also signed and approved by the general manager of that company. The company’s management told me they would apply for the employment visa and send the visa to my home country. I returned to India on April 1. Now, the company has informed me that it would not send the visa as they could not fulfil its written Contract and commitment. The company has caused me loss of money and made me helpless. When I was in Dubai, I did not accept a very good offer from another company for the reason that I had signed the offer letter with this firm. Please advise on how I can take legal action against the company. Can I file a labour case against the company on the basis of the signed job offer letter given to me?”
The company’s action towards the questioner is illegal and the questioner has the right to file a case before the civil court, not at the labour court, against the company to claim all damages incurred as a result of the company’s action. The court would issue its proper judgement in this regard and might order the counter party to pay the questioner a suitable compensation.
Terminated contract
My employer in Dubai has decided to close down the company and hence terminated my two-year limited labour contract before the completion of the contract period. The company calculated only one month’s salary in compensation for breaking my limited labour contract. I believe that other benefits were calculated correctly. I found out from the Ministry of Labour that the compensation shall be based on three months’ salary. When I informed my company about what was mentioned by the labour ministry, it said since it is a free zone-registered company, the three-month rule doesn’t apply to it. That rule applies only to the companies under the labour ministry. Is it true? Does the labour law different for free zone-registered companies? Please advise.
I would like to clarify to the questioner that in case of a labour dispute related to free zone companies, the enforceable law is the Labour Law, not the free zone rules. Therefore, in accordance with article 115 of the Federal Labour Law No. 8 of 1980 which states: “Where a contract of employment is for a limited period of time and the employer revokes it for reasons other than those specified in article (120), he shall compensate the worker provided that the amount of compensation shall in no case exceed the aggregate remuneration due for a period of three months or the residual period of the contract, whichever is shorter, unless the contract contains a provision to the contrary”.
— Ask the Law questions are replied by lawyer Mohammad Ebrahim Al Shaiba of Al Shaiba Advocates and Legal Consultant
