Ask Gulf News: Can your employer deduct from end-of-service benefits for damaged equipment?

Question: I worked for a photography company and resigned one month ago. On my final working day, I returned all the cameras and equipment that I had in my possession. The company accused me of damaging the equipment and deducted an amount from my end-of-service benefits as compensation for the damage to the equipment. My question is: does the company have the right to do so, and what should I do since I do not accept this deduction?

Answer: Under Article 51/7 of Labour Law No. 31 of 2021, “The employer may deduct from the end-of-service benefits any amounts payable under the law or a judgment, in accordance with the conditions and procedures specified in the Implementing Regulation hereof.”

In case you did not sign any document authorising the employer to make such a deduction, you must file a complaint with the Ministry of Labour claiming the amount that the company deducted.

In such cases, the company is required to justify the deduction before the Ministry and provide evidence supporting their claim of damage. This is based on the general principle under Article 1 of the Evidence Law, which states that the burden of proof lies with the claimant: “The plaintiff has the right to prove their claim and the defendant has the right to disprove it.” The employer must prove that the alleged damage occurred and that the employee is responsible.

The court will assess the evidence submitted by both parties and decide whether the deduction is justified or whether the deducted amount should be returned to the employee.