Labour Court orders company to pay BD5,500 in unpaid wages and compensation

TDT | Manama

Email: mail@newsofbahrain.com

A Labour Court in Bahrain has ordered a company to pay BD5,500 in back pay and compensation to a salesman in a case regarding non-payment of wages.

The legal battle, which lasted six months, began after the salesman, employed by the company from May 2023 to August 2024, was not paid his wages. His monthly salary included a basic pay of BD800 and an additional BD150 for transport. Faced with no payment, he was forced to resign and take legal action.

The court ruled that the company must pay BD4,900 for unpaid salaries, BD617.867 for unused annual leave, and an end-of-service certificate. Additionally, interest on the unpaid wages was set at 6% annually for delays of up to six months, rising to 12% for delays beyond that period.

The salesman’s lawyer, Jassim Al Essa, argued that his client had no option but to resign on 1 September 2024. Despite this, neither the company nor its representatives attended any hearings or presented a defense, which the court interpreted as tacit acceptance of the claims.

Under Bahrain’s Labour Law, the salesman was entitled to annual leave compensation due to his over a year of service, which led to the award of BD617.867 for unused leave, based on his basic salary. An end-of-service certificate was also granted, as required by law.

However, the court rejected the salesman’s claim for BD10,500 in commission, ruling that he failed to provide adequate evidence to support his entitlement. Similarly, a claim against one of the company’s partners was dismissed, with the court noting that individual employment disputes are within the jurisdiction of the Labour Court.

The court also ruled out the salesman’s claim for compensation for unfair dismissal, as he had not followed the required procedure to address breaches before resigning, as outlined in Article 106 of the Labour Law. In addition to the payout, the company was ordered to cover BD216.500 in court fees and a BD10 execution fee.