# End of service benefits / gratuity?



## niner4nine (Apr 26, 2009)

Hello,

If you please, I have a question about the end of service benefits that I am entitled to. I am a Western expat working for a large multinational company .

My employer recently gave me a 30 days notice of termination from my unlimited contract (non-free zone company). The ostensible reason for the termination was that approximately 4 months ago I told my company (in writing) that I was considering pursuing a Master's degree in my home country. If I was accepted to the Master's program, which I estimated carried less than a 50% chance, then I would leave the company around September 2012. If I was not accepted, than I said I would like to stay on. I still do not know if I was accepted or not.

When then notified me of the termination, they said they had already hired a replacement that would begin working in the same capacity next week. They also said that they were very happy with my work, so there were no work performance issues.

Can you please clarify what end of service benefits I am entitled to? Is this a just cause for termination? How does my notice of potentially joining a Master's program help or hurt my case?

Thanks and regards.


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## BedouGirl (Sep 15, 2011)

I am not an expert but I think I would take the letter they have given you and a copy of the letter you wrote to them to the Ministry of Labour to check. I think they can if they pay you three months' money, but the MoL will tell you for sure.


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## rsinner (Feb 3, 2009)

Well, check the labour law for yourself. [this is from the MOL website so probably a authentic as it gets] http://www.mol.gov.ae/newcontrolpanel/Attachments/18102011/labour law no.8 year 1980.pdf

I just quickly flicked through and it seems that as long as they gave you a 30 days' notice they are fulfilling the labour laws (obviously if the contractual notice period is longer they need to adhere to that) - Article 117. End of service benefit will be calculated as per article 132


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## fcjb1970 (Apr 30, 2010)

I have to ask, why would you ever give such a letter to your employer? I can see no reason for informing an employer that you might possibly leave if something happens.

Your EoS gratuity is only based on how long you worked there (21 days for each year assuming you work a complete year). If you resign, they do not have to give you the entire amount (it is usually 1/3 and should be in your contract). I doubt you have a case for wrongful termination, but if you threaten taking them to MoL they might give you the 3-months to avoid a hassle.


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## niner4nine (Apr 26, 2009)

Thank you for your responses. I will investigate further. 

As for why I notified my company of my intentions, it was a gesture of goodwill and complete transparency. I was hoping they would treat me in a same manner, but alas they did not. It is a pity because I find out in May if I am accepted for the Masters program or not (and they knew this.....) 

I have worked for smaller, more personal companies my entire life (until now) and perhaps should have changed my strategy for dealing with this large, soulless corporation 

At any rate, a lesson learned, and hopefully I get into school! Will update with any progress.


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## BedouGirl (Sep 15, 2011)

It's a shame because you were being transparent and it has backfired and I am sure this will affect how you deal with future employers who might actually deal with you differently. Good luck sorting this out and with your application.


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