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Reading: Court rules in favor of worker after company dismisses him for salary deductions over 6 years, awarding BD 27,000.
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Gulf Press > Gulf News > Court rules in favor of worker after company dismisses him for salary deductions over 6 years, awarding BD 27,000.
Gulf News

Court rules in favor of worker after company dismisses him for salary deductions over 6 years, awarding BD 27,000.

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Last updated: 2024/08/31 at 1:59 PM
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A worker in Bahrain was wrongfully dismissed by his employer and was not paid his rightful entitlements for over six years. The company deducted over BD 18,000 from his monthly salary, in addition to other fees, and delayed payment of his wages. The worker, an inspector, took the matter to the High Labour Court to demand payment of his overdue wages and entitlements. The court ruled in favor of the worker, ordering the company to pay him BD 27,435 for overdue wages, outstanding entitlements, and compensation for wrongful dismissal.

The worker’s attorney, Siddiqa Al Mawali, stated that her client joined the company in November 2017 with a monthly salary of BD 1,200. From January 2018 to May 2023, the company deducted a total of BD 18,935 from his salary. The company also deducted additional fees for Labour Market Regulatory Authority (LMRA), totaling BD 330. The worker was dismissed by the company in April 2023 without a valid reason or legal justification.

Despite the company’s claim that the worker had been dismissed in April 2019, the attorney presented evidence, including bank statements, showing that the worker was still employed until May 2023. The court ordered the company to pay the worker BD 18,735.5 for overdue wages, as well as additional compensation for annual leave allowance, end-of-service gratuity, and wrongful termination. The worker will also receive a service certificate for the period of his employment.

The court ruled that the company must pay the worker BD 18,735.5 for overdue wages, with an interest rate of 6% per year for wages overdue for six months or less. The interest rate increases by 1% for each additional month of delay, up to a maximum of 12%. In addition to the overdue wages, the company was ordered to pay the worker BD 1,275 for annual leave allowance, BD 3,525 for end-of-service gratuity, and BD 3,900 for wrongful termination. The worker will also receive a service certificate for the period of his employment.

The annual legal interest rate for these payments is 1% from the due date until full payment, along with attorney fees and other expenses. The court’s ruling highlights the importance of upholding workers’ rights and holding companies accountable for wrongful dismissal and unpaid entitlements. This case serves as a reminder for employers to follow labor laws and regulations to avoid legal consequences and financial compensation to employees who have been wronged. The worker’s perseverance in seeking justice through legal channels has resulted in a favorable outcome and fair compensation for the injustices he faced at the hands of his employer.

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News Room August 31, 2024
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