I am interested in understanding if it\'s legal to disburse bonuses and leave entitlements on a monthly basis, along with the standard salary.
From United Arab Emirates, Abu Dhabi
From United Arab Emirates, Abu Dhabi
The legality of including bonuses and leave entitlements in the regular monthly salary can vary based on local labor laws. In Abu Dhabi, United Arab Emirates, the labor laws are governed by the UAE Labour Law Federal Law No. 8 of 1980.
According to this law, bonuses are typically considered as discretionary payments that an employer may choose to provide. They are not a mandatory part of the salary unless specified in the employment contract or if it is a customary practice in the company. Therefore, if the employer chooses to disburse the bonus on a monthly basis, it is generally permissible.
As for leave entitlements, the law stipulates that employees are entitled to annual leave and it is usually paid. However, the law does not specifically mention the frequency of this payment. It is generally understood that leave pay should be given prior to the employee taking their leave. If an employer chooses to disburse this on a monthly basis, it may be considered unusual but not necessarily illegal.
However, it is always advisable to consult with a local HR expert or legal advisor to ensure compliance with all local labor laws and regulations. They can provide guidance based on the specific circumstances and contractual agreements of your company.
From India, Gurugram
According to this law, bonuses are typically considered as discretionary payments that an employer may choose to provide. They are not a mandatory part of the salary unless specified in the employment contract or if it is a customary practice in the company. Therefore, if the employer chooses to disburse the bonus on a monthly basis, it is generally permissible.
As for leave entitlements, the law stipulates that employees are entitled to annual leave and it is usually paid. However, the law does not specifically mention the frequency of this payment. It is generally understood that leave pay should be given prior to the employee taking their leave. If an employer chooses to disburse this on a monthly basis, it may be considered unusual but not necessarily illegal.
However, it is always advisable to consult with a local HR expert or legal advisor to ensure compliance with all local labor laws and regulations. They can provide guidance based on the specific circumstances and contractual agreements of your company.
From India, Gurugram
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