File Complaint for Delay in Gratuity Payment? Complete Guide
According to the UAE Labor Law, employees are entitled to end-of-service benefits upon completing a one-year contract with a company. This includes gratuity payments, a fundamental aspect of employment agreements. However, if an employer fails to fulfill the obligation of paying gratuity within 14 days of contract termination, employees have a way out to address this issue. This article explores the specific provisions of the UAE Labor Law to provide insights into the process of how to file complaint against an employer for delay in gratuity payment.
End of Service Gratuity Calculator
What Does the UAE Labor Law Say? Understanding the Relevant Articles
Article 51
Expatriate workers on completing one year of continuous service will be entitled to end-of-service benefits according to the following rules:
- Last due Basic pay of 21 days per year on completing 5 years of service
- Last due Basic pay of 30 days per year on working for more than 5 years of service
- The gratuity will be calculated as mentioned above, provided that the total amount should not exceed 24 months.
- The unpaid absence days shall not be counted in the gratuity payment.
Article 53
In the event of contract termination, whether initiated by the employee or the employer, it is mandated by the UAE Labor Law that gratuity payments must be settled within 14 days from the date of termination. This legally binding timeframe underscores the importance of a prompt and fair settlement of employee entitlements.
Article 53 of the Labor Law states that if the employer fails to proceed with the employee’s application for gratuity payments within 14 days of the end of the service contract, the employee should file a labor complaint against him.
Reasons an Employer Denies Gratuity Payment
How to File Complaint for Delay in Gratuity Payment: Step-by-Step Guide
Prepare Legal Documents
Collect all the relevant legal proofs, including your employment contract, submitted applications, and communication records. Communicate with your employer regarding the delayed gratuity payment. Clearly express your concerns and reference the specific articles of the UAE Labor Law that govern gratuity entitlements.
Read the Terms and Conditions of Contract
Thoroughly review your employment agreement to understand the terms and conditions related to gratuity entitlement. Ensure that you meet the eligibility criteria as stipulated in your contract. This step is crucial before submitting your application in legal court to avoid misunderstanding or inconvenience.
Check Applicable Law Articles
Research the labor laws and regulations applicable to gratuity in your jurisdiction. Understanding your legal rights will empower you during the complaint-filing process. Labor departments or employment tribunals often handle such disputes.
Sample Letter to Claim Gratuity
Submit a Complaint to the Ministry of Human Resource and Emiratization
If discussions with your employer do not yield results, it’s time to escalate the matter. File a complaint with the MOHRE, providing all necessary documentation and proof of the gratuity denial. You can file your complaint in MOHRE in the following ways:
- Contact the Ministry’s helpline number 80060
- File an online complaint application by visiting www.mohre.gov.ae or download the App and fill in the required columns.
If the dispute isn’t resolved through amicable means between you and your employer, the Ministry will issue a letter to initiate legal proceedings in a Labor Court. The computation of benefits is based on the final remuneration due at the termination moment, with allowances and non-monetary benefits excluded from the calculation.
Bottom Line
Understanding your rights under the UAE Labor Law is crucial when facing a gratuity denial. By adhering to the 14-day rule and taking proactive steps outlined in the labor law, employees can navigate through the process of filing a complaint professionally and effectively.
