Dubai: Can employees file case against firm for unpaid extra fuel cost?

KT reader asks if the company can be sued for refusing to provide more fuel allowance

by

Ashish Mehta

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Published: Sun 10 Dec 2023, 8:40 AM

Last updated: Mon 11 Dec 2023, 3:55 PM

Question: I am employed by a mainland Dubai company. My job involves a lot of travel, for which the company has given me a car with fuel allowance. However, I end up paying much more on fuel than what's allotted to me. I have raised this with the company many times but to no avail. Do I have a recourse legally?

Answer: Since you are employed by a mainland company in Dubai, the provisions of Federal Decree Law No. 33 of 2021 on the Regulation of Employment Relations and the provisions of Cabinet Resolution No. 1 of 2022 on the Implementation of Federal Decree-Law NO. 33 of 2021 Regarding the Regulation of Employment Relations are applicable.

In the UAE, allowances provided to an employee may be included in the employment contract of an employee under Article 8 of the Employment read with Article 10 (1) of the Cabinet Resolution No. 1 of 2022, which states, “Subject to the provisions of Article 8 of the Decree Law:

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1. The employment contract should include the name and address of the employer, the name, nationality and date of birth of the employee, proof of his identity, his qualification, the job or occupation, the date of work commencement, the workplace, the working hours, the rest days, the probation period, if any, the term of the contract, the salary agreed upon including the benefits and allowances, the annual leave entitlements, the notice period, the procedures for terminating the employment contract and any other data determined by the Ministry in order to regulate the relationship between both parties.”

Based on the aforementioned provision of law, it is assumed that your contract states that the employer shall bear the fuel expenses of the car you drive which is provided by your employer and is used for the business of the company. In this case, an employer is to provide the fuel expense.

But if an employer refuses to do so, then you may consider filing a complaint with the Ministry of Human Resources and Emirtisation (MoHRE) in accordance with the provisions of Article 54 of the Employment Law read with Article 31 of the Cabinet Resolution No. 2022. Based on your complaint, the MoHRE will make efforts to resolve the matter between you and your employer related to the fuel expenses of your car which is used for the business of the company.

If there is a disagreement between you and your employer, the MoHRE will refer your complaint to the relevant court in the UAE which has jurisdiction to hear the matter and the said court shall decide on the matter in accordance with Article 22(1) of the Employment Law, which states, “Amount or type of salary shall be determined in the Employment Contract. If such amount or type is not determined in the Employment Contract, the competent court shall determine the same as a labour dispute."

Ashish Mehta is the founder and Managing Partner of Ashish Mehta & Associates. He is qualified to practise law in Dubai, the United Kingdom and India. Full details of his firm on: www.amalawyers.com. Readers may e-mail their questions to: news@khaleejtimes.com or send them to Legal View, Khaleej Times, PO Box 11243, Dubai.

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