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Dubai: Employee wins Dh336,000 end-of-service compensation
Dubai: Employee wins Dh336,000 end-of-service compensation

Khaleej Times

time16-07-2025

  • Business
  • Khaleej Times

Dubai: Employee wins Dh336,000 end-of-service compensation

An employee in Dubai has won Dh336,000 in end-of-service benefits after a lengthy dispute with the employer. The employee had filed a complaint to the Ministry of Human Resources and Emiratisation after the two parties failed to settle the issue amicably. The claimant started work in the organisation in July 1996 and was under an indefinite contract until May 2023, marking a service period of nearly 27 years. A pivotal factor in the court's decision was an expert report that confirmed the claimant's employment timeline and final salary of Dh14,000. Based on this, the court applied Article 51 of Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations to determine the end-of-service gratuity. The court followed the legal formula: 21 days' wages for each of the first five years and 30 days' pay for each subsequent year, capped at a total of two years' wages. Stay up to date with the latest news. Follow KT on WhatsApp Channels. The court also clarified that any waiver or settlement of end-of-service benefits made before the end of the employment relationship is void. This rendered previously claimed payments by the employer invalid, contributing to the total award. "This decision reaffirms a fundamental principle of UAE labour law — employees cannot be compelled to waive their end-of-service benefits before the employment relationship ends. Any such waiver or settlement is unenforceable. This protects employees' rights and ensures they receive their full statutory entitlements," said legal advisor Vishal Tinani, who led the case on behalf of the employee. While the claimant prevailed on the main issue, not all demands were granted. The court rejected a request for Dh4,000 for a return flight ticket, citing that the termination did not obligate the employer to bear this cost. Additionally, the court declined to award legal interest on the judgment sum, noting that interest typically applies to commercial, not employment disputes. The employer had filed a counterclaim, which was partially upheld. The court ordered the claimant to repay Dh100,000 based on an admitted loan. However, other elements of the counterclaim were dismissed. The employer's request to suspend the civil proceedings pending a criminal investigation into alleged forgery and breach of trust was also denied, with the court noting that the investigation remained in its preliminary stages. The court announced the verdict in November 2024. Tinani added that the ruling is seen as a milestone in the enforcement of end-of-service entitlements, particularly in cases involving long-term employment, and reinforces the UAE's commitment to upholding employee rights under its labour regulations.

Major UK union suspends Angela Rayner's membership in dramatic move
Major UK union suspends Angela Rayner's membership in dramatic move

The Independent

time11-07-2025

  • Politics
  • The Independent

Major UK union suspends Angela Rayner's membership in dramatic move

Unite, a major union, suspended Angela Rayner 's membership and that of Birmingham council leader John Cotton and other councillors over the ongoing Birmingham bin strike. The suspensions stem from Unite's accusation that the Labour -run Birmingham council is effectively 'firing and re-hiring' workers, leading to potential pay cuts of up to £8,000 for bin workers. Allies of Angela Rayner stated she cannot be suspended as she resigned from Unite in April and cannot directly intervene in the local dispute. Talks to resolve the four-month-long strike broke down, with the council claiming it had reached its 'absolute limit' for a resolution. The dispute highlights a growing rift between the Labour Party and affiliated unions, with Unite's general secretary Sharon Graham criticising both Angela Rayner and the Labour council's actions.

UAE: Former employee who missed 13 years of annual leave awarded Dh59,000 compensation
UAE: Former employee who missed 13 years of annual leave awarded Dh59,000 compensation

Khaleej Times

time11-07-2025

  • Business
  • Khaleej Times

UAE: Former employee who missed 13 years of annual leave awarded Dh59,000 compensation

The Court of Cassation in Abu Dhabi has ordered an employer to compensate a former employee for 13 years of unused annual leave. The case involved an employee who worked at the company from 2009 until his contract was terminated in June 2022. After leaving the organisation, the employee claimed he had never taken his entitled annual leave during his tenure and sought financial compensation. According to Habib Al Mulla and Partners, the employer failed to provide any documentation proving otherwise. As a result, the court awarded the employee Dh59,290 in compensation. Initially, in case number 2024/73, a lower court had ruled in favour of the employee but limited the compensation to a maximum of two years' worth of unused leave. However, the Court of Cassation overturned this decision and granted full compensation for the entire period. Dr Habib Al Mulla, founder of Habib Al Mulla and Partners, said in a statement on the social media platform X that this ruling sets a significant precedent in labour disputes related to unused leave in the UAE. He added that the ruling will have significant implications for employers concerning the management and recording of leave entitlements, the potential financial obligations arising from unpaid leave and practical steps for employers to review and update leave policies. The verdict was announced by the Cassation Court in December 2024. Navandeep Matta, Senior Associate at Kochhar & Co. Inc. Legal Consultants (Dubai Branch) described the decision as a landmark in UAE employment law. 'This ruling has sent shockwaves through the employment sector, as the court awarded compensation for 13 years of unused leave. It marks a turning point in how accrued leave is interpreted under UAE labour law,' he told Khaleej Times. Citing Article 29 of Federal Decree-Law No. 33 of 2021 and Cabinet Resolution No. 1 of 2022, Matta explained that employees are legally entitled to compensation for unused leave upon termination, including a limited portion of leave carried forward from previous years. 'In this case, the Court emphasised that it is the employer's legal responsibility to prove that the employee either took their leave or was compensated for it,' he added. 'The company's internal records showed only one vacation over a decade, with no evidence of payments in lieu of leave. Based on this, the court ruled in favour of the employee, using the final basic salary to calculate the owed compensation.' Matta further noted that the decision sends a strong message to employers about the importance of proper documentation. 'This judgment should serve as a wake-up call to HR departments and company leadership. Accurate leave tracking and timely settlement of entitlements are not just best practices — they are essential for compliance.' 'Ultimately, the judgment strikes a balance between legal entitlements and evidentiary fairness. Accrued rights cannot be ignored due to poor record-keeping. Employers must act proactively or risk being caught on the wrong side of the law,' he concluded.

Hamilton water workers ratify tentative agreement with City of Hamilton
Hamilton water workers ratify tentative agreement with City of Hamilton

CBC

time10-07-2025

  • Business
  • CBC

Hamilton water workers ratify tentative agreement with City of Hamilton

The near-three-month strike between Hamilton water workers and the City of Hamilton ended Monday when the union and employer reached a tentative agreement. On Wednesday, workers ratified that deal. The agreement will go before City Council for approval on July 16, the City said on its website Wednesday. Greg Hoath, business manager with the International Union of Operating Engineers Local 772, told CBC Hamilton Tuesday he hoped members would approve the deal. Water workers took to the picket line May 14 after negotiations with the city fell through. The workers, who oversee the water purifying process as well as the discharge of waste water, said they wanted to address decades-old concerns. One was the length of time it takes to reach their top pay rate through on-the-job training. The other was a pay gap that left some members earning about $4 less per hour than another group of workers with fewer certifications, workers told CBC Hamilton. On Tuesday, Hoath said that while he could not disclose what's in the tentative agreement, it's "improved from the previous position of the city." "This labour disruption was really over one issue of pay equity or parity," he said. "We are at least going to have the opportunity to address that question and have it answered once and for all." Mayor Andrea Horwath said Tuesday the "deal reflects our city's commitment to fairness, fiscal responsibility and respect for our workers." Both sides say ready to return to work despite tense strike Hoath acknowledged a "fractious" relationship between strikers and the City. Workers disrupted council meetings and Hoath said the city threatened the union, calling their picketing outside transit facilities unlawful. However, he said members won't let hard feelings affect their return to work. "They will go back to work and do their job. This is water and waste water. We're not going to play around with something as important as those services for the public," Hoath said. City manager Marnie Cluckie shared a similar sentiment in an email to CBC Hamilton Tuesday, saying the employer values the workers and "remains committed to fostering a positive, respectful, and collaborative working relationship." Two other groups of strikers in Hamilton also recently reached deals. Members of the Ontario Compensation Employees Union on strike from the Ontario's Workplace Safety and Insurance Board approved a tentative agreement Monday. They had been picketing since May 22. Canadian Union of Public Employees Local 2073 members voted to ratify a new collective agreement with Canadian Hearing Services. They had been on strike since April 28.

Striking transit workers in Cowichan Valley, B.C., reject mediator's recommendations
Striking transit workers in Cowichan Valley, B.C., reject mediator's recommendations

CTV News

time07-07-2025

  • Business
  • CTV News

Striking transit workers in Cowichan Valley, B.C., reject mediator's recommendations

DUNCAN — The union representing striking transit workers in the Cowichan Valley says its members have rejected a provincial mediator's recommendations to end a five-month labour dispute. Unifor says the dispute involves 44 striking transit operators, cleaners, and mechanics with Unifor Local 114 as well as HandyDART workers with Local 333-BC. They have been on strike for more than 21 weeks, and the union says in a news release that the dispute centres on wage disparities between Transdev workers and other B.C. transit employees, particularly in Victoria and Vancouver. It says the union and the company had agreed to jointly apply to the labour minister for the appointment of a mediator in February. Unifor says the mediator met with both sides on June 12, and issued its recommendations on June 30. Transdev says it's disappointed by the decision to reject a settlement proposal it says included 'significant improvements' to working conditions and a pay offer exceeding 'prevailing standards' across the region and province. It says the proposal included a top-wage tier lift for conventional drivers of 16.42 per cent over four years and 18.85 per cent for HandyDART drivers. 'Under this rejected deal, a conventional driver starting in Cowichan today would earn $7.85 more per hour than in the publicly operated Victoria Transit System,' it says. The company says it also included an increase in its pension plan and improvements to washroom facilities. 'Transdev Canada remains committed to reaching a fair agreement that supports its employees while safeguarding the continuity and reliability of this public mission,' it says in the statement. This report by The Canadian Press was first published July 7, 2025.

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