Can my employer change my contract and reduce my pay?
The employment contract is an essential document that outlines the terms and conditions of employment between an employer and an employee.
However, it is not uncommon for employers to make changes to the employment contract, including reducing the employee’s pay.
Based on the UAE Labour Law, this article will explore whether an employer can change an employee’s contract and reduce their pay.
Table of Contents
Can my employer change my contract and reduce my pay?
According to the UAE Labour Law, an employer cannot directly or indirectly deduct hiring costs from an employee’s salary. This means that the employer is responsible for bearing the costs of visa issuance and renewal, medical care, and insurance.
However, the law permits employers to deduct from workers’ salaries in specific cases and under certain regulations, and the deduction percentage may not exceed 50 per cent of the pay.
The law allows for deductions in eight specific cases, including redeeming loans granted to the worker within the maximum 50 per cent limit of the monthly deduction percentage from the worker’s wage.
This also includes redeeming amounts paid to the worker and entitlements deducting the worker’s contributions to bonuses, retirement pensions, insurance, and others.
If an employer wants to change an employee’s contract and reduce their pay, they must obtain the employee’s written consent.
The employee must agree to the new terms and conditions before the employer can implement them. If an employee disagrees with the changes, the employer cannot implement them.
Can an employer change your contract?
The employer can change an employee’s contract only with the employee’s written consent. The employee can negotiate the new terms and conditions; the employer cannot make the changes if they disagree.
Contract of Employment UAE.
In the UAE, the employment contract is a legal document that outlines the terms and conditions of employment between an employer and an employee. Ensuring that the contract complies with the UAE Labour Law is essential.
The contract should include job title, salary, working hours, leave entitlements, and termination clauses.
FAQs related to Can my employer change my contract and reduce my pay?
Conclusion.
In conclusion, the UAE Labour Law prohibits employers from directly or indirectly deducting hiring costs from an employee’s salary. Employers can change an employee’s contract, but only with the employee’s written consent.
Ensuring that the employment contract complies with the UAE Labour Law is essential. Younis Mohammed Al Blooshi Labour Lawyer & Legal Consultant is the best option for legal assistance with labour contract cases in the UAE.
Contact the office of Younis Mohammed Al Blooshi via Whatsapp. Click here. Or visit us at our address: Sobha Ivory 1 – Al Amal St – Business Bay – Dubai. You can also call us on phone: 00971589984123.
We recommend you read about the Best Employment Contract Lawyer in Dubai UAE and the Best Employment contract review service from labour lawyer Dubai UAE. Get Expert employment contract legal advice in the UAE Dubai.
A legal consultant specializing in UAE labor law. He regularly publishes articles on the website and writes on various areas of UAE law, with a specific focus on labor law.