Bank to compensate sacked employee

A labour court in Abu Dhabi has set a precedent in a work dispute when it made a major bank in the emirate pay end of service benefits to a sacked employee, saying such a payment is guaranteed by the law not the work contract.

The court asked the bank to pay Dh130,000 as end of service and other financial benefits to a national woman who had worked at the customers’ service section at the bank, Emarat Alyoum Arabic language daily reported on Sunday.

“In its sentence, the court affirmed that a worker has the right to get full end of service benefits in line with the Federal Labour Law Number 8 for 1980,” it said.

“The court said the law guarantees this right even if the work contract does not include any reference to the end of service benefits… it made clear that the source of this right is the law not the job contract.”

The paper said the payment to the unnamed ex-employee includes Dh50,000 in lieu for annual holidays which were not used plus a month salary as a compensation for the arbitrary sacking.

“The court is authorised to determine whether the expulsion of the employee is arbitrary or not…it took into consideration the nature of work carried out by that employee, the period of her service and the damage caused to her… compensation in any case should not exceed three month’s salary.”

But the court rejected a plea by that employee to be paid more damages, including commissions, and to be restored to her job, saying she could not produce the necessary documents, according to the paper, which also did not name the bank involved.

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