In a recent judgment issued by the Abu Dhabi Court of Cassation, a compelling employment dispute sheds light on the significant legal implications surrounding an employer’s refusal to provide an experience certificate. The case centered on an employee’s claim for damages due to the alleged harm caused by the employer’s failure to issue this certificate upon the employee’s termination, as well as the subsequent reputational damage claimed by the former employee.

Case Background and Initial Proceedings

The claimant, an individual who had been employed for a considerable period and held a senior position, faced termination in 2022. Following this, the employee sought an experience certificate to aid in securing new employment. Despite multiple requests, the employer did not issue the certificate, citing various justifications. The employee claimed that this delay not only hindered potential career opportunities but also tarnished their professional reputation due to the negative impression cast upon prospective employers. The claimant further alleged that the lack of an experience certificate had resulted in material and moral damages, asserting that they were deprived of lucrative employment offers and endured emotional distress.

In the initial proceedings, the Court of First Instance dismissed parts of the claim, deeming the request for damages related to the denial of the experience certificate valid only to a limited extent. However, the court awarded a partial compensation amount, reasoning that some harm was indeed inflicted by the employer’s refusal to issue the certificate.

Appeal and Further Judgments

After a comprehensive review, the Court of Appeals modified the initial judgment, ordering the employer to pay interest on the awarded amount, affirming that the employee’s loss of prospective job offers was exacerbated by the delayed issuance of the experience certificate. The court highlighted that under the UAE Labor Law, employees are entitled to an experience certificate free of charge upon request and that failure to provide it in a timely manner constituted a breach of duty on the employer’s part.

Appeal to the Court of Cassation and Final Ruling

The case was ultimately escalated to the Court of Cassation, where the claimant further challenged the adequacy of compensation. The primary argument presented was that the employer’s delay in issuing the certificate not only breached statutory obligations but also inflicted substantial financial and psychological damage due to missed employment opportunities and strained finances.

In its final ruling, the Court of Cassation upheld the lower court’s decision, concluding that the awarded compensation was proportionate to the harm proven by the claimant. The court emphasized that compensation in such cases must address the actual damage incurred without resulting in excessive penalties against the employer. Moreover, it reiterated that while the employer’s conduct was found to be wrongful, the evidence provided by the claimant did not substantiate the full extent of the reputational harm alleged.

Legal Implications and Key Takeaways

This judgment underscores several critical aspects of employment law in the UAE:

Right to Experience Certification: Under UAE law, employers are obligated to issue experience certificates upon the termination of employment. These certificates play a pivotal role in employees’ ability to secure new roles, and failure to provide them can expose employers to liability for damages.

Proof of Damages: While courts recognize the potential harm from the lack of an experience certificate, claimants must present concrete evidence of financial or reputational damage to secure substantial compensation. In this case, while the claimant provided evidence of lost opportunities, the court required more definitive proof of reputational harm.

Limiting Employer Liability: The ruling demonstrates the judiciary’s balanced approach in assessing compensation. Although employers may face penalties for non-compliance, the courts are cautious in awarding damages that are directly proportional to the actual harm suffered.

Good Faith Requirement in Employment Relations: Employers are expected to act in good faith, particularly in assisting former employees in securing future employment. Refusal to provide an experience certificate can be construed as bad faith, leading to potential legal consequences.

Conclusion

The Abu Dhabi Court of Cassation’s decision reaffirms the legal obligations of employers concerning experience certificates and the broader expectations of fair treatment during employment transitions. For employees, the case highlights the importance of documented proof of damages when seeking compensation. For employers, it serves as a cautionary reminder of the liabilities that may arise from procedural neglect. This case will likely influence future employment disputes in the UAE, emphasizing the judiciary’s commitment to safeguarding employee rights while ensuring balanced employer accountability.

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