December 22, 2023 SCT - JUDGMENTS AND ORDERS
Claim No. SCT 407/2023
THE DUBAI INTERNATIONAL FINANCIAL CENTRE COURTS
In the name of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Ruler of Dubai
IN THE SMALL CLAIMS TRIBUNAL OF DIFC COURTS
BEFORE H.E. JUSTICE NASSIR AL NASSER
BETWEEN
NURIM
Claimant
and
NISRA
Defendant
| Hearing : | 18 December 2023 |
|---|---|
| Judgment : | 22 December 2023 |
JUDGMENT OF H.E JUSTICE NASSIR AL NASSER
UPON this Claim being filed on 13 October 2023
AND UPON a hearing having been held before H.E Justice Nassir Al Nassir on 18 December 2023, with the Claimant in attendance and the Defendant absent
AND UPON reviewing the documents and evidence filed and recorded on the Court file
AND PURSUANT TO Rule 53.61 of the Rules of the DIFC Courts (“RDC”)
IT IS HEREBY ORDERED THAT:
1. The Defendant shall pay the Claimant the total sum of AED 20,692.24 plus interest at the rate of 9% per annum from the date of this Judgment until the date of full payment.
2. The Defendant shall pay the Claimant the Court fee in the sum of AED 367.25.
Issued by:
Hayley Norton
SCT Judge and Assistant Registrar
Date of issue: 22 December 2023
At: 10am
THE REASONS
The Parties
1. The Claimant is Nurim (the “Claimant”), an individual filing a claim against the Defendant regarding his employment at the Defendant company.
2. The Defendant is Nisra (the “Defendant”), a company registered and located in the DIFC, Dubai, UAE.
Background and the Preceding History
3. The underlying dispute arises over the employment of the Claimant by the Defendant pursuant to the Offer Letter dated 16 January 2023 (the “Agreement”).
4. On 13 October 2023, the Claimant filed a claim with the DIFC Courts’ Small Claims Tribunal (the “SCT”) seeking the payment of unpaid salaries in the sum of AED 17,000.
5. The Defendant failed to acknowledge the Claim, however, it provided written submissions dated 21 and 22 November 2023.
6. On 22 November 2023, a consultation was held before SCT Judge Hayley Norton, at which the Claimant and the Defendant’s representative attended.
7. In line with the rules and procedures of the SCT, this matter was referred to me for determination, pursuant to a hearing held on 18 December 2023 (the “Hearing”). The Claimant attended and the Defendant was absent although served.
The Claim
8. The Claimant commenced employment on 17 January 2023 with a monthly salary of AED 10,000.
9. On 21 August 2023, the Claimant was terminated and his last working day was on 21 September 2023.
10. On 13 October 2023, the Claimant filed a claim claiming his August salary and 21 days’ salary of September 2023 in the sum of AED 17,000, penalties and interest pursuant to Practice direction No. 4 of 2017.
The Defence
11. The Defendant failed to attend the hearing and failed to submit a defence.
Discussion
12. This dispute is governed by DIFC Law No. 4 of 2021 (Employment Law Amendment Law) (hereafter the “DIFC Employment Law”) in conjunction with the relevant Agreement.
Salaries
13. The Claimant submits that he is entitled to salaries in the sum of AED 17,000 for August 2023 and 21 days of September 2023.
14. The Defendant failed to provide any evidence to demonstrate that the Claimant received his full salaries and that no deductions had been made. The Defendant failed to provide any written submissions or supporting evidence.
15. Article 16(c) and (e) of the DIFC Employment Law states the following:
“Payroll Records
(1) An Employer shall keep record of the following information:
(c) the Employee’s remuneration (gross and net, where applicable), and the applicable pay period;
(e) each deduction made from the Employee’s remuneration and the reason for it;”
16. In light of my findings above, I find that the Claimant is entitled to his salaries in the total sum of AED 17,000.
Penalties
17. The Claimant is also seeking penalties under Article 19 of the DIFC Employment Law which provides the following:
“19. Payments following termination
(1) An Employer shall pay to an Employee, within fourteen (14) days after the Termination Date:
(a) all Remuneration, excluding, where applicable, any Additional Payments deferred in accordance with Article 18(2);
(b) where applicable, any Gratuity Payment that accrued prior to the Qualifying Scheme Commencement Date under Article 66(1) not transferred to a Qualifying Scheme under Article 66(6);
(c) a Daily Wage for each day of accrued Vacation Leave not taken; and
(d) all outstanding amounts due in respect of the Employee under Article 66(7) not yet paid to a Qualifying Scheme.“
18. The Claimant’s last working day was on 21 September 2023, therefore, the Defendant should have settled the Claimant’s entitlements by no later than 5 October 2023. However, the Defendant failed to pay the Claimant within 14 days from his last day of work with the Defendant.
19. Article 19(4) of the DIFC Employment Law provides that “A penalty pursuant to Article 19(2) will be waived by a Court in respect of any period during which: (a) a dispute is pending in the Court regarding any amount due to the Employee under Article 19(1); …”
20. The Claimant filed his claim on 13 October 2023, therefore, he is entitled to penalties from 6 October 2023 to 13 October 2023, which equals to 8 days.
21. Article 19(2) of the DIFC Employment Law provides that “subject to the provisions of Article 19(3) and 19(4), an Employee shall be entitled to and the Employer shall pay a penalty equal to an Employee’s Daily wage for each day the Employer is in arrears of its payment obligation under Article 19(1).”
22. The Claimant’s daily wage shall be calculated as follows: AED 10,000 x12/260 = AED 461.53. Therefore, AED 461.53 x 8 days = AED 3,692.24. The Claimant is entitled to penalties in the sum of AED 3,692,24.
Conclusion
23. In light of the aforementioned, I find that the Defendant shall pay the Claimant the total sum of AED 20,692.24 plus interest at the rate of 9% per annum from the date of this Judgment until the date of full payment.
24. The Defendant shall pay the Claimant the Court fee in the sum of AED 367.25.
