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Advance payment against gratuity.

By Nizar Kochery/Doha QUESTION: Some companies, to lessen their financial burden, pay gratuity at the end of every year to their employees so it does not keep on accumulating. Are companies allowed to do this, considering the fact that gratuity should be paid at the end of service? Also, some employees get increment in basic salary during the course of their service. How will such cases be settled in case of the annual payment of gratuity? For example, let's suppose that an employee's salary was QR5,000 during his first five years and in the sixth year it was increased to QR8,000. And when the employee or the company wants to terminate the contract, gratuity should be paid as per the last basic salary, according to labour law. But under the annual gratuity payment system, this particular employee had got his gratuity during his five years of service based on his old salary of QR5,000. Does the employee have the right to claim his gratuity for all years based on his new salary of QR8,000? , Doha ANSWER: Article 54 of the Labour Law provides that gratuity shall be payable to those employees with one or more years of continuous service. Employer and employee should agree the rate of gratuity payable after the qualifying service of one year. The minimum rate fixed by law is three weeks' last-drawn basic wage per year of service. However, a mutually-agreed alternative which is more beneficial than what the employees would otherwise receive under the gratuity model is allowed under Labour Law. Accordingly in addition to any sums to which the worker is entitled to upon the expiry of his service, the employer shall pay the end of service gratuity to the worker who has completed employment of one year or more. The payment will be due only on expiry of employment contract and shall be based on the employee's basic salary at the time of termination. Law does not prohibit the employer making annual payment or otherwise as advance against gratuity but on end-of-contract, it should be finally calculated at the rate of the last-drawn basic salary and the employee will be entitled for the difference. Note that gratuity shall not be payable in instances of summary dismissal as set out in Article 61. The employee shall be entitled to gratuity for the fractions of the year in proportion to the duration of employment. Compensation to workers Q: My husband, employed by a contracting company, has died due to a work-related accident. We have prepared the legal heirship certificate and issued power of attorney to a relative to collect the compensation amount from the company. But the company has told him to enquire about the compensation with its insurance company as it has taken insurance for all workers. According to the company, it is not responsible for compensation payment. The insurance company, on its turn, advises us to follow up with the company and not with them for the compensation. Who is liable as per Qatar's Labour Law for paying the compensation? It seems that both the insurance firm and the company are trying not to pay. What is the maximum compensation? A colleague of my husband who was injured in the same accident is also fighting for compensation. SE, Doha A: Article 110 of Labour Law No 14 of 2004 states that where a worker dies as a result of a work-related injury, the heirs of the diseased shall be entitled to receive compensation. The amount of compensation in case of death of the worker because of the work shall be calculated in accordance with the provisions of Islamic Sharia. Currently. death compensation is QR200,000. Employer's arrangement with the insurance company is not relevant with regard to payment of compensation. Workmen insurance is an indemnity contract to protect the interests of the employer. As per Law, the employer (not the insurance company) shall deposit the compensation for the death in the court within a period not exceeding 15 days from the date of death. The court shall distribute the compensation for death amongst the heirs of the deceased in accordance with the provisions of the Islamic Sharia or the personal law applied in the country of the deceased. Malicious complaint Q: My company has lodged a criminal case against me. In this connection, can the employer have any right to withhold my passport? As per my employer, my passport may be required in the court and company will return when the case is completed. If the case filed by the employer is found to be based on false grounds and malicious, can the employee claim for damages? BH, Doha A: As per sponsorship laws, the sponsor is not entitled to withhold an employee's passport. If it is found that the complaint made against the employee is untrue and malicious, the employee is entitled to file a complaint against the employer on the matter of the malicious complaint. In such case the employee may also file a case claiming the compensation for damages he suffered as a result of the same. * Please send your questions by e-mail to: leges@qatar.net.qa LEGAL SYSTEM IN QATAR Sale is a contract whereby the vendor/seller binds himself to transfer to the purchaser the ownership of a thing or any other propriety right in consideration of a price in money. The sale shall include all the attachments of the sold item according to the nature of the transaction, custom prevailing in the relevant place and intent of the contracting parties. The purchaser must have sufficient knowledge of the thing sold; otherwise he shall have the right to seek annulment of the sale. This knowledge shall be deemed sufficient if the contract contains the description of the thing sold and its essential qualities, so that it may be identified. The statement in a deed of sale that the purchaser is familiar with the thing deprives him of the right to claim annulment of the sale on the ground of want of knowledge of the thing, unless he proves fraud on the part of the vendor. If the purchaser takes delivery of the sold item without making any objection thereto within a reasonable period of time, this shall be deemed as an acceptance thereof. Under Article 422, when the sale is made according to sample, the thing sold should conform to the sample. If the sample deteriorates or perishes while in custody of one of the contracting parties, even if it was not his fault, it is incumbent upon that party, whether he is vendor or buyer to establish that the thing is or is not in conformity with the sample. In a sale upon trial within a known period of time, the purchaser has the option either to accept or to refuse the thing sold. If the purchaser refuses the thing sold, he must give notice of his refusal within the time agreed or, in the absence of agreement, within a reasonable time to be fixed by the vendor. When this time has elapsed the silence of the purchaser who had the opportunity to try the thing sold is equivalent to acceptance. A sale upon trial is deemed to have been made subject to a suspensive condition of acceptance of the thing sold unless it appears from the agreement or from the circumstances that the sale was made subject to a resolutory condition. The method of establishing the price may be confined to the indication of the basis on which the price will be ultimately fixed. Fixing the price may be delegated to a third party but if he fails to fix it for any reason, the price shall be a similar price for a similar item.

Gulf Times Newspaper 2013

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Publication:Gulf Times (Doha, Qatar)
Geographic Code:7QATA
Date:Jun 7, 2013
Words:1307
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