Employment Details
AED
Legal Formula Overview
According to the UAE Labour Law, the end-of-service gratuity is calculated as follows:
- 21 days' basic salary for each year of the first five years of service.
- 30 days' basic salary for each additional year, provided that the total gratuity shall not exceed two years' basic salary.
DisclaimerThis calculator provides an estimate only. Final calculations should be verified with your HR department or legal counsel based on your specific contract and recent amendments to the UAE Labour Law.
Frequently Asked Questions
Am I eligible for gratuity if I resign?
Yes, under the new 2024 law, employees are eligible for gratuity even if they resign, provided they have completed at least one year of continuous service.
How is the daily wage calculated?
The daily wage is usually calculated by dividing the basic monthly salary by 30 days. Allowances like housing and transport are generally excluded.