Abu Dhabi court orders company to pay AED316,333 in unpaid employee dues

The Abu Dhabi Labour Court of First Instance ruled that a company must pay a former employee AED316,333 in back wages, end-of-service gratuity and leave allowance after it failed to provide proof that the dues had been paid. No representative of the company appeared before the court despite being legally notified. The employee filed a lawsuit against the company, seeking back wages for 33 months amounting to AED232,500, an end-of-service gratuity of AED75,164 and leave allowance of AED9,000. He also requested that the company be ordered to pay fees and expenses. No representative of the defendant appeared, despite being legally notified. The court explained in its ruling that the plaintiff had an employment relationship with the defendant from September 2012 until the end of August 2026. His total monthly salary was AED15,500, including a basic salary of AED6,000. He claimed unpaid wages for the period from December 2023 to August 2026, amounting to AED232,500. The court stated that the Labour Relations Law obliges employers to pay employees' wages on time, in accordance with regulations approved by the Ministry and the conditions, controls and procedures set out in the executive regulations. It noted that the burden of proving payment of wages falls on the defendant. However, the company did not provide any evidence to refute the employee’s claims or prove that the wages had been paid. The court added that, according to the employment contract, the plaintiff’s total salary was AED15,500. As the defendant failed to provide proof of payment of the claimed wages, the employee was entitled to AED232,500, within the limits of his claim. Regarding the leave allowance claim, the court said the defendant had not proven payment through legally prescribed methods of evidence. The employee was therefore entitled to leave allowance for the final two years of service, in line with established judicial practice, amounting to AED9,000, within the limits of his claim. The court also found that the employee was entitled to an end-of-service gratuity for 13 years, 11 months and 20 days of service, valued at AED74,833. It ruled that the company must pay total dues of AED316,333, as well as the applicable fees and expenses.