Dubai court cuts Dh1.2m labour fine to Dh60,000 on appeal

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Dubai: The Dubai Court of Appeal has significantly reduced a labour fine imposed on a local company from Dh1.2 million to just Dh60,000.

This drastic reduction came after the company successfully appealed a lower court's ruling regarding employment and residency violations, arguing that the original penalty was disproportionate to the actual infractions committed.

The legal dispute began when authorities penalized the firm for failing to comply with mandatory labor and residency laws governing its workforce.

The company's defense counsel presented evidence demonstrating substantial mitigating factors, convincing the appellate judges to reassess the scale of the financial penalty.

By heavily reducing the fine, the court's final verdict highlights the judiciary's willingness to review administrative penalties and ensure that enforcement measures remain fair, balanced, and economically viable for businesses operating within the emirate.