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No job gratuity before one-year service

Employees in the UAE are not entitled for end-of-service benefits before completing a full one-year service in the job, according to a UAE court.

Employees are also not eligible for such benefits in case they complete one year that includes a one-month job termination notice, the court decided. It issued that decision in a case involving an employee demanding end-of-service benefits after he was sacked in the 11th month of work service.

While a court of first instance ruled for the employee, a court of cassation overturned that sentence and deprived the plaintiff from gratuity on the grounds he did not complete a full-year in service. The court decided that a one-month termination notice must not be added to that service period because the employee did not work during that month.

"The court of cassation decided that any worker must complete a full one-year job service before he is entitled for end-of-service benefits," Emarat Al Youm daily said.

It said the worker, who was paid a monthly salary of around Dh62,500, had first won the case and offered Dh219,000 compensation and gratuity before the court of cassation reduced the sum to Dh187,000 after rejecting end-of-service payment.

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