Is it legal to deduct pay from a salaried employee? Seven specific situations are outlined in Article 25 (1 & 2) where an employer can withhold or deduct an employee’s salary in the UAE.
However, there are still concerns regarding whether it is legal to deduct pay from a salaried employee, and minimum wage issues are also a topic of concern for employees. The following article will examine these issues more closely.
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Is it legal to deduct pay from a salaried employee?
Under certain circumstances, employers can withhold or deduct an employee’s salary but must follow specific laws and regulations.
According to Article 25 (1 & 2), there are seven specific instances under which employers can withhold or deduct an employee’s wage, including:
- The redemption of loans.
- Exceeding entitlements.
- Calculating contributions.
- Worker contributions to savings funds or loans.
- Instalments for social projects or benefits.
- Amounts deducted for violations committed by employees.
- Debts due pursuant to a judgement.
However, it is not permissible to deduct an amount greater than allowed except with the approval of the competent court. Employers cannot arbitrarily deduct pay from salaried employees and must follow the laws and regulations.
Employee Salary Issues.
Employee salary issues are a common concern for workers in the UAE. While employers have the right to withhold or deduct an employee’s salary under certain circumstances, they must follow specific laws and regulations. Employees who feel their salary is unfair or insufficient can seek legal advice.
Minimum Wage Issues.
While there is no federal minimum wage in the UAE, specific industries and professions have minimum wage requirements. Employers must follow these standards, and workers who feel that their salary is not equitable or adequate can seek legal guidance.
Employees need to be aware of their rights and ensure they receive fair compensation for their work.
FAQs about whether is it legal to deduct pay from a salaried employee.
In conclusion, employers in the UAE have certain rights when it comes to withholding or deducting an employee’s salary, but they must follow specific laws and regulations.
Employees should know their rights and seek legal advice if their salary is unfair or insufficient. While there is no federal minimum wage in the UAE, specific industries and professions have minimum wage requirements that employers must adhere to.
By understanding these issues, employees can ensure that they are receiving fair compensation for their work.
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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.