Judicial principles and studies
Worker Leaving Employment — Article 29 of the Labor Law: Wage Reduction
Article 29 provides that an employer's reduction of wages constitutes a breach allowing the worker to leave without notice while retaining end-of-service rights. Where a claimant fails to prove the salary and the employer does not deny it, the undisputed amount is used to calculate the worker's entitlements.
Updated: 10 September 2026
Prepared and reviewed by: Ashraf Al-Khawaja
Subject
Article 29 is understood to treat an employer's reduction of a worker's wage as a breach of a fundamental element of the employment contract, entitling the worker to leave without notice while preserving their legal end-of-service rights.
Summary
An employer's breach regarding wages is considered material and allows the worker to terminate employment and retain entitlements related to the end of service, including severance and notice pay, due to the centrality of wages in the contract. Regarding proof of salary, if the claimant does not establish the wage claimed and the respondent does not dispute that amount, the undisputed figure is adopted to calculate the claimant's (worker's) rights.
Practical significance
As a practical effect, wage reduction can justify a worker's departure with a claim to end-of-service entitlements, and the calculation of those entitlements may rely on any salary amount not disputed by the employer. This summary is an educational overview only; it is not judicial text and does not constitute legal advice.
Sources and references
Verify the official text and latest amendments before relying on this material professionally.