I’ve worked in a company for more than three years. My employer used to give me work on a public holiday, but didn’t pay me any extra money for it. He only gives compensatory leave in exchange for such days. My question is, does the UAE labour law entitle the employer to not pay a worker any extra for working on a public holiday and only compensate them with a lieu day?
Federal Law No. 08 of 1980, Article no. 81, mentions the following: “Where the circumstances of the worker to work on public holidays or rest day in respect of which he is entitled to full or partial pay, he shall be granted compensatory leave in respect of such days, together with a bonus equal to 50 per cent of his remuneration. If he is not compensated for such days by leave, his employer shall pay him a bonus equal to 150 per cent of his basic remuneration in respect of the days worked.”
I am an employer, in what cases does the UAE labour law allow me to reduce the employee salary legally and what is the maximum percentage allowed to cut from their salary as per the UAE labour law?
I refer you to UAE Federal Law No. 08 of 1980, Article no. 60, which mentions the following;
“No amount of money may be deducted from a worker’s remuneration in respect of private claims, except in the following cases:
a) The recovery of advances or amounts of money paid to the worker in excess of their entitlements, on condition that the amount deducted in this case does not exceed 10 per cent of his periodic remuneration.
b) Contributions which the worker is required by law to pay from his remuneration, e.g. towards social security and insurance schemes.
c) The worker’s contributions to savings fund or repayment of advances repayable thereto.
d) Contributions towards any welfare scheme or in respect of any other privileges or services provided by the employer and approved by the Labour Department.
e) Fines imposed upon the worker for any offence he has committed.
f) Any debt payable in execution of the judgement of a court of law.
The deduction shall not exceed one-quarter of the worker’s remuneration. Where two or more debts are payable, the maximum shall be half the worker’s remuneration and the sums of money attached shall be divided pro rata among the beneficiaries, after payment of any legal alimony at the rate of one-quarter of the workers remuneration.”
— Questions answered by advocate Mohammad Ebrahim Al Shaiba of Al Shaiba Advocates and Legal Consultants