Questioner asks: I work in a private company in Dubai under the ministry of labour law as a salesman and with a limited contract. I start working with my company on 2010. Two months ago my company imposed fine on me due to some mistake I did as per my company manager by deducting 15 days salary with written warning as well mentioned in it that my service will be terminated if such mistake is repeated My question here is; 1. Is the employer entitled by law to deduct the employee’s salary in case of violation with written warning at the same time? And what is the maximum salary deduction? 2- What are the penalties that the employer may apply to the employee in case of violation in accordance with the Labour Law or ministry rules? Please advice.
I would like to clarify to the questioner that article no.102 of the Federal Labour Law No.8 of 1980 states the following: “The disciplinary measures that an employer or his representative may impose on the workers shall be as follows:
1. Warning
2. Fine
3. Suspension from work with reduces pay for a period not to exceed 10 days.
4. Denial or deferment of periodical allowance, in firms applying such a scheme.
5. Denial of promotion, in establishments applying a promotion scheme
6. Dismissal without prejudice to severance pay.
7. Dismissal with denial of all or part of the severance pay. This penalty may not be imposed for reasons other than those exclusively specified in Article 120 hereof”.
As for the question on the maximum fine, based on the article no.104 of the same law, the maximum fine is 5 days’ remuneration only. Finally, I would tell the questioner that, as per the law, such penalty may not be applied unless after conducting a written investigation with the employee and notifying the latter of such penalty in writing
