Can I Terminate an Employee for Absconding and What About Gratuity and Airfare?

One of my employees applied for 14 days of annual leave, but he arrived after 18 days without informing us of his late arrival. We tried contacting him before his return, but all the numbers he provided were unreachable. After his arrival, I asked him to hand over his passport and look for a new job. He left for his home, saying he would get his passport, but then he didn't return for 1 month. We tried calling his mobile, but it was switched off. After 1 month, he came to me and asked to cancel his visa.

Termination for Absconding

Can I terminate him for absconding as he was not responsible enough to inform us beforehand, and this has affected my business?

Liability for Gratuity and Air Ticket

Secondly, will he be liable for the gratuity and air ticket? If yes, how should I calculate his gratuity (base salary or full pay)?

He has completed 1 year of service with us and in the 13th month applied for 14 days of annual leave. His monthly salary is AED 4500 (Basic AED 2000).

Regards,
KS

Yes, you can terminate his service as per Article 120, Clause #10: "absents himself from work without a valid reason for more than 20 non-successive days in one single year, or for more than seven successive days."

The case lies under absconding. If this employee is Indian and is appointed in India, then as per the appointment letter, beyond certain leaves, it is a clear case of termination. As per Indian laws, gratuity is payable only after the completion of 5 years; thus, legally he cannot ask for gratuity. Also, gratuity is always calculated at 15 days of basic + DA (dearness allowance, if your company pays this).

However, his salary suggests that he is not employed in India. If that is the case, you have to follow the law of the land where he was appointed.

Regards,
Neha

As informed by Nasser, you have the authority to terminate him without notice under Article 120, clause #10, which states that if a staff member is absent for seven consecutive days, termination is permissible. Additionally, please refer to the following article regarding his End of Service benefits:

"Per Article 139: A worker shall forfeit entitlement to his entire severance pay under the following circumstances: If he is dismissed from service for reasons specified in Article 120, or if he abandons his employment to evade potential dismissal in accordance with the aforementioned article."

It would be advisable to terminate his employment without him absconding and arrange for his departure from the country on the company's ticket to prevent any future misunderstandings. Furthermore, gratuity is calculated based solely on the basic salary. Given that he has completed only one year of service, he will be entitled to receive seven days' worth of basic salary (equivalent to 1/3rd of the total gratuity).

Regards,
Guru

Termination Under Article 120 of UAE Labor Law

Termination under Article 120 of the UAE labor law is the right option. As per Article 120, the employee will not be eligible for any severance pay; this means the person will not be entitled to any gratuity. You can pay him his leave balance that is accrued.

Regards,