Employment Law / Gratuity etc
 

Afternoon,

I've done lots of reading and lots of researching so far but wanted to get some input from you bunch of experts.

Here's the situation;

I work for a company, called Company A.
They are, elsewhere, owned by Company B.
Here, they are independent but still thought of to be under the leadership of B.
I am under visa sponsorship for Co. A. and have worked for them for 3+ years.
I am transferring to Co. B.
In fact, I have already transferred, just without the contract etc.
This means cancelling Co A visa and contract, 'joining' Co B visa and new contract.

I'm being told, in the contract, that accrued gratuity will be honoured and that it's nothing to worry about as that gratuity, plus extra holiday days and all that jazz.

I had a very quick chat with Tas Heel (they're nearby) and the woman laughed and said that the MoL see your Labour Card and VIsa at the date references in any gratuity type disputes. I will also have to sign to say I received all the benefits to cancel Co A visa. I haven't done this yet as have only just got new contract for Co B. This of course will be plainly lying to say I've received when I haven't but Co B can point to this if any dispute in 12 months (for example) when I leave.

Question is;

They're saying it's no problem and have included the information in the contract that they'll honour my time served for Gratuity, Leave etc.

How tight is this? HAving had the brief conversation earlier I'm a little unsettled. If I get a letter from Co B stating it's all good separately will that assist? I don't anticipate any issues but I also have trust issues with companies, they're not charities and the wrong day, the wrong person could mean a dispute.




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They have added an explicit clause into the new contract stating that NO COMMISSION (which we get monthly) will be included in the Gratuity calculation. Now, Meow has an article and there are many others that say regular commission payments can be included in the basic element and therefore be part of the calculation.

Is this legally true?
Can they put a clause in the contract, 'force' me to sign and agree to and will that hold up with the MoL if disputed?



Thanks in advance for any ideas, guidance or thoughts.

Re: Employment Law / Gratuity etc
 

You are questioning my published articles? :rolleyes:

DO NOT sign anything to say you have received a payment that you have not. That's foolish and negates any future claim.

If your employer is taken over then your existing contract stand for six months before the employer can change anything and it is possible to have continuous employment. You need to have all the information in writing (NOT sign any false documents) so you can produce them in the event you need to raise a case with MoL.

The information I have published is as confirmed by MoL. There are specific circumstances however. The commission must form a substantial part of remuneration and paid regularly, generally monthly. Annual bonuses do no qualify.

No UAE employer (or at least those that are covered by UAE Labour Law) can contract around Labour Law. They can put what they like in the contract but if it leaves an employee any worse off it is not legally valid.

Re: Employment Law / Gratuity etc
 

You raise an interesting point there Meow.

In my role, we get commissions/bonuses as and when we sign contracts and during the contract delivery. On an average year I would get say 5-7 commission transfers (paid with salary) and in total these would normally be equal to or even well above my annual salary. Would payments like these be considered part of the gratuity??? Just curious.

Re: Employment Law / Gratuity etc
 

In my view no as they are not part of "regular pay". It really applies to sales people in very low salaries who need the commissions to survive and get a steady amount each month. Your payments are more ad hoc.

Additionally, the MoL is not likely to be very interested in backing any case you make against an employer as you earns heaps anyway. ;)

Re: Employment Law / Gratuity etc
 

Would I dare question a Meow article? I'm no fool.

The commission bit seems a grey area, we are paid bonus monthly and normally there's an amount each month. Occasionally I will fail and bill nothing and get paid nothing, I assume this doesn't matter?

Our point is this (for example)
Basic 13,000
Allowances 7,000
Commission 5,000

So gratuity will be paid on 13,000 a month basic.
Labour Law says 13,000 + regular commission of 5,000 (let's say that's the average)
We are suggesting, as they don't want the second option, to pay us on 65% of the 13+7+5 as that's the total package. I think we're being pretty reasonable. Maybe too reasonable.


Back to contract - Co A has been jettisoned from the group and therefore our contracts and visas are now with a separate company that has no ties to the group. We are sat in Co B offices and need to make sure our arses are covered for gratuity calculations and continuous service.

Thanks for your help.