Khaleej Times, Sun, Mar 31, 2024 | Ramadan 21, 1445
UAE: Can employee sue employer for no salary raise despite new colleagues getting higher pay?
Emirates:
Question: I have been working in a company for more than 10 years. I am
still earning the same salary I did when I first joined and my designation and
grade remain the same. I have colleagues who joined after I did and they earn
much more than I do for the same work. Does the UAE law say anything about
salary increase and growth opportunities within the organisation?
Answer: Pursuant to your queries, it is assumed that you are employed by an
employer in the mainland of UAE. It is further assumed that you are
discriminated by your employer regarding salary increments and promotions. The
provisions of Federal Decree Law No. 33 of 2021 on the Regulation of Employment
Relations and Cabinet Resolution No. 1 of 2022 on the Implementation of Federal
Decree Law No. 33 of 2021 Regarding the Regulations of Employment Relations are
applicable.
In the UAE, an employee is entitled to receive a salary as mentioned in his/her
employment contract registered with the Ministry of Human Resources and
Emiratisation (MoHRE). This is in accordance with Article 8 of the Employment
Law read with Article 10 of the Cabinet Resolution No 1 of 2022.
Furthermore, an employer shall not discriminate amongst its employees for
payment of salary wherein employees perform the same nature of work. This is in
accordance with Article 4(1) & (4) pertaining to Equality and Non-Discrimination
under Employment Law, which states, “1. It shall be prohibited to discriminate
against persons on the grounds of race, colour, sex, religion, national
original, ethnic origin, or disability, in such a way as to weaken equal
opportunities or impair equal access to, continuation of, or enjoyment of rights
associated with, employment. An employer shall not discriminate in respect of
work involving the same job duties.
4. Women shall receive the same salary as men for the same work, or a work of
equal value. Procedures, controls and standards for assessment of work of equal
value shall be established by decision of the Cabinet, upon the proposal of the
Minister."
Additionally, any employer who employs 50 or more employees should have its
rules and regulations related to promotions, rewards, instructions, penalties
and procedures for termination of employment. This is in accordance with Article
14(1) & (4) of Cabinet Resolution No. 1 of 2022, which states, “Subject to the
provisions of Article (13) of the Decree-Law, establishments that employ 50 or
more employees shall set rules regarding the organisation of work, such as the
regulation of work instructions, penalties, promotions and rewards, and the
procedures for terminating the employment relationship, subject to the
following:
1. The rules shall be set in a manner that does not contradict the provisions
and rules set out in the Decree-Law, the provisions of this Resolution and the
Legal Regulations.
4. The regulation of promotions and rewards shall include the criteria and rules
related to promotions and rewards.”
Based on the aforementioned provisions of law, it may be noted that the
Employment Law and the subsequent ministerial resolutions are silent on salary
increments to an employee by an employer. Therefore, as you feel discriminated
related to salary increment by your employer, you may approach your employer and
inform that you deserve an increment and promotion as you have been serving the
employer for more than 10 years and deserve it on the merit of your work.
However, if your employer does not reciprocate to you positively related to this
matter, you may consider filing a complaint with the MoHRE pertaining to
discrimination by your employer with relevant documentary evidence confirming
that you are discriminated by your employer.
Alternatively, if your employer is employing 50 or more employees, your employer
should have its own HR policy (internal rules and regulations) and if the same
includes rules with regard to salary increments and promotions, then you may
file a complaint against your employer with the MoHRE on grounds of
discrimination. In the event there is no amicable settlement reached between you
and your employer, then you may escalate the dispute to a competent court.