Skip to main content

Ask a Lawyer·Labour / Employment

Labour / EmploymentAnswered

Can my employer deduct money from my salary for damages or mistakes in the UAE?

Asked by Anonymous·Jun 10, 2026·1 answers
I'm a delivery driver and my company deducted a big part of my last salary after a minor accident with the van, saying I have to cover the repairs. Nothing about deductions was explained when I signed my contract. Is my employer allowed to take money from my pay like this, and is there any limit on how much they can hold back each month?

This answer is AI-generated and editorially reviewed. It is general legal information, not legal advice — verify anything you act on with a licensed UAE lawyer. How LEXAI uses AI

1 answers

Best answer
L
LEXAI

Editorially reviewed by LEXAI

Jun 11, 2026
Your employer cannot simply take a large slice of your salary because of an accident. The UAE Labour Law only allows deductions in defined situations, and recovering the cost of damage caused by a worker is one of them, but with strict limits: the amount deducted for damage in any one month is capped at five days' wage, and going beyond that needs court approval. On top of that, total deductions from your monthly pay, from all causes combined, cannot exceed half your wage. A one-off deduction of a big part of your salary, imposed without any agreed procedure, investigation, or acknowledgment from you, is very likely unlawful. It also matters that nothing about deductions was explained in your contract. Ask the company in writing for the legal basis and the calculation behind the deduction, and keep a copy of the accident report if one exists. If they will not return the excess, file a complaint with MOHRE, which can order wrongly withheld wages repaid. Speaking with a UAE labour lawyer before escalating can clarify whether the deduction was lawful in your case and how much you can recover.
Helpful (0)

Facing something similar?

Describe your own situation below. Your details go to our team, and a verified UAE lawyer may receive them so they can contact you about it.

Pick your situation so your enquiry can reach a verified UAE lawyer who works in that area.

Your details stay private and are used only to handle your enquiry. A verified UAE lawyer may receive them so they can contact you about it. Privacy policy

Related Questions

Underlying law

Keep reading

Labour Employment

UAE Work Permit: Types, Eligibility, and How MOHRE Issues One (2026)

Working in the UAE without a valid MOHRE work permit is illegal for both the worker and the employer. This guide sets out the 13 permit categories, the conditions MOHRE checks, the offer-letter-to-contract sequence, the fee bands, and what cancellation does.

5 min read

Labour Employment

UAE Maximum Pension Salary: Contribution Limits and Deductions Explained

The UAE calculates pension on a capped contribution salary, not on total pay. This guide explains the floor and the ceiling, what counts toward the contribution salary, how employer and employee shares split, and why expatriate staff receive end-of-service gratuity instead of a pension.

5 min read

Labour Employment

Warning Letter UAE Labour Law: Rules, the Penalty Ladder and Your Rights

A written warning is a formal disciplinary penalty under UAE labour law, not an informal telling-off. Learn what a valid warning must contain, which sanctions an employer may impose and in what order, how many warnings can precede dismissal, and how to contest one.

5 min read