Gratuity Calculation As per UAE LABOUR LAW 2016



We experienced that some employees have not given what they was estimated, and most of employees even do not know the calculation process.
This Article will show you step by step guidance to calculate your Gratuity in case of Resignation or Termination.


Before beginning to Article please note that the Gratuity calculation is based on Resignation and Termination and will only be calculate by BASIC SALARY.
Resignation means if employee quit a job before completing contract while Termination means where company terminate an Employee or Worker. 

GRATUITY FOR UNLIMITED CONTRACTS:

Less than 1 Year:
As per UAE LABOUR Law Article 132, Section 2, if worker Resigns with less than a year of service, he will not get any gratuity.
Gratuity is only applicable when an employee completes one year of service with  a company.

More than 1 & Less than 3 Years:
If worker Resigns and he worked between 1-3 Years he should take  1/3rd of 21 days of basic salary for each year of employment.

More than 3 & Less than 5 Years:
If worker Resigns and he work more than 3 but less than 5 years, he should take 2/3rd 21 days for every year of worked.

More than 5 Years:
Resignation under Unlimited Contract after 5 years, worker should take 21 days basic salary for every year he/she worked and 30 days basic salary for additional years.  (if work with same company above 5 years) 

What if Company Terminates the Employee?
In case of Unlimited contract where the company terminates the worker, 21 days of wages from minimum 1 and maximum 5 years should be paid to Employee, If employee worked for more than 5 years, he/she will be eligible for 30 Days of Basic wage for each year of worked.


check now 
GRATUITY FOR LIMITED CONTRACTS:

Gratuity for Limited Contracts are slightly different from Unlimited Contracts.
1/3rd and 2/3rd system does not apply under limited contract.

Without Completing Contract:
It is clearly mentioned in UAE LABOUR Law Article 138 that If employee have not completed his/her Limited Contract period as signed in Agreement, he/she will not be eligible for any Gratuity.
In simple words, if someone signed a contract for 2 years but resigned after 14 months, company will do not pay any gratuity to that worker.

1-5 Years:
If you have accomplished your limited contract and it is within 1 to 5 years, you are entitled for 21 day’s basic salary wage for every single year of work.




More than 5 Years:
If you have completed 5 years of continuous service with your company and have resigned contract, then for the first 5 years of work you are eligible for 21 day’s basic wage & for the service above 5 years, you will get paid 30 day’s basic wage for every year of service.

What if Company Terminates the Employee under Limited Contract?
In case you have been terminated by your Employer or Company and you have not completed your 1 year yet, you will not eligible for any gratuity, but if worked with the company for more than 1 year and less than 3 years, you will get 30 day’s of basic salary for No. of years your served before termination.

FAQ’s:
Q: What is the maximum Gratuity that we can get?
As per UAE LABOUR LAW, Article 132, maximum gratuity amount for employee can not exceed 2 years’ gross salary.

Q: Do I get 3 month salary in case of termination?
Yes, if you are terminated for reason other than mentioned in UAE LABOUR LAW Article 120, you are eligible for 3 month’s compensation.

For more FAQ’s please Leave Your Comments Below, experts will answer your Queries.



Thank you For Reading

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130 comments:

  1. Hai good morning want to ask. i have gratuity or no.i resign last april 12 2016. i work is 1year and 9 months. but i resign already. and i want to ask i have ban. but my visa is not yet cancelled my visa expried is july 22.and i want to know also if passible my company is cancelled my visa even i have complain to the labour until now. and passible my company is file the case agains me because i hier to my company after 3months he want to see me there in the court.please help me thank you

    ReplyDelete
    Replies
    1. Thank You for contacting us,
      If you was working under Limited Contract then it is clearly mentioned in UAE LABOUR Law Article 138 that If employee have not completed his Limited Contract period as signed in Agreement, he will not be eligible for any Gratuity.
      Your second Question, If you are terminated by company for reason other than mentioned in UAE LABOUR LAW Article 120, you are eligible for 3 month’s compensation.

      Further more you can complaint to MOL against your employer if necessary.
      Please reply for more help.
      Thank You

      Delete
    2. ive been working in uae for 4yrs as a household worker my contract just finished last april 30.. and i didnt renew it.. now im here in the philippines but i didnt receive any gratuity

      Delete
    3. Helo sir madam,
      I just want to ask if there is a graduity for a servant like me, and what is the calculation bcoz im working for 8 years as a servant.
      Thank you and regads.

      Delete
  2. Am unlimeted contract. am not terminate my company force me to gave resignation latter. and already gave because that time am very scerd and i dont know what i will do that time.but before i gave my resignation letter i already complain there in labour. until now not yet finsh. because the first scedule on may 16 2016.but my employer not coming. thank you

    ReplyDelete
  3. This comment has been removed by the author.

    ReplyDelete
    Replies
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      Delete
  4. Am less than 1 year under unlimited contract company terminated me for the reason of company situation of exigencies in the organization. They gave 30 days notice period. Is this arbitrarily termination? What benefit i will get frm them.

    ReplyDelete
    Replies
    1. You are eligible for 3 month’s compensation if reason's are other then Labour Law article 120.
      If your visa issued after 1st Jan 2016, you are free of ban but under mutual agreement, to read full article regarding Visa Categories and New Ban Law 2016 click below link or copy paste it.
      Thank You very Much

      https://uaelabours.blogspot.ae/2016/05/new-uae-ban-rule-profession-categories.html

      Delete
  5. Hi i was terminated last March due to outsourcing after 6 years in the company. They gave me 2 months notice to stay in the company for the transition period. I just want to ask if i'm eligible for 3 months salary as the company said i will get only one month salary added to my gratuity. Hope i got a response from you. Thank you so much.

    ReplyDelete
  6. Hi I was terminated from my company last march I was in provision period..I just work for 5 months and 27 days...until now I am still looking for a job...Do I get anything from the company?

    ReplyDelete
  7. As servant or maid do we have graduity fee when we end our contract or when we are terminated by our employer? Thanks

    ReplyDelete
  8. As servant or maid do we have graduity fee when we end our contract or when we are terminated by our employer? Thanks

    ReplyDelete
  9. Hi Good Evening, currently I am working more than 1 year from my Company. And the Company is Close for 4 months renovation. And they told me us all to find another Job as they cant give or salary in 4months while the company is close. How do we get our Final settlement according to our Situation? Please give us Help because we are 15 staffs
    Thanks

    ReplyDelete
    Replies
    1. It is illegal and against LAW if company hired employees and not paying them.
      If you are not receiving wages on time and full, please complaint and report to Labour office to avoid future issues for yourself.

      Our advise for all of you to keep the receipt for anything you are asked to pay for,further more you have right to leave you job at any time but be aware of your contractual obligations.
      If not satisfied, please write us back here, we will reply you soon.

      Delete
  10. i am working as security guard for more than 9 years in the same company, we are assigned in oilfield but our contract in oilfield ends,the company sent us a paper if we want to continue to work in other site with lower salary if we want to continue we sign continue if not want to continue we sign in not continue and they said if we dont want to continue we go to office to process the resignation and i went to office and submit my resignation letter then after a few days they terminate us and sent us a termination paper because of there is no more location to give for us. am i terminated or resign? my basic when i joined the company was 700 for 3 years and 2000 for the remaining 6 years they said they will calculate the 700 for the first 3 years and 2000 for the remaining years is it correct? can i get a compensation?

    ReplyDelete
    Replies
    1. Yes they will calculate as per your Contract.
      Your first contract of 3 years will be calculated by 700 and second contract will be 2000 AED.

      yes it is resignation, if you signed it, you already completed 5 years of continuous service with your company and have resigned contract, now for the first 5 years of work you are eligible for 21 day’s basic wage & for the service above 5 years, you will get paid 30 day’s basic wage for every year of service.
      Compensation effect only when you terminate by company, due to other reason's mention in Article 120.

      Delete
  11. I resigned, my contract is for 3 year but I only finished 1 year and six months. And I finished the 3 months notice of company policy. Do I have ban

    ReplyDelete
  12. I am terminated due to business situation. I work in freezone and been working for 9years and a half. Is freezone a limited or unlimited contract?

    ReplyDelete
    Replies
    1. Limited Contract's, 1 Visa is mostly for 3 Years

      Delete
  13. Good evening. I've worked in the company for 5 years and 9 months already, I am terminated in the company when i get back from vacation according to my colleague she's not happy anymore with my performance. And they let me to sign the cancellation paper and i didn't get yet my gratuity. Is it legal to the UAE labour law? And why there is 21 days and 30 days calculation on my gratuity? and my contract is under unlimited. hope you can help me with this. thank you

    ReplyDelete
  14. Good evening. I've worked in the company for 5 years and 9 months already, I am terminated in the company when i get back from vacation according to my colleague she's not happy anymore with my performance. And they let me to sign the cancellation paper and i didn't get yet my gratuity. Is it legal to the UAE labour law? And why there is 21 days and 30 days calculation on my gratuity? and my contract is under unlimited. hope you can help me with this. thank you

    ReplyDelete
  15. I am working as security guard for 2 yrs. and 6 months in limited contract my company terminated my contract on May 31, 2016 because the contract of my present location finish this coming May 31, 2016 they terminated me because there is no more location available to redeploy me my basic salary is 2000AED am i entitled for a plane ticket? how much my gratuity ? am i entitled for a 3 months compensation ?

    ReplyDelete
  16. Hi! Good afternoon, i would like to ask regarding my salary and my basic salary, 1st my salary gross monthly at AED3500/- but my basic is only AED800/- is this are correct? 2nd they cutting our salary 2 days every each month. now from october 2015 till now i am getting AED3268/- only. is there any way to complain to labour regarding this question?

    ReplyDelete
  17. Hi i have worked in one of the government company ADNOC for 15yrs. and 6 months with Unlimited Contract, i was terminated last april 24, 2016 due to crude oil price crisis, my basic salary is 14500AED, can you please explain to me how these calculation will be applied to my case on "What if Company Terminates the Employee?
    In case of Unlimited contract where the company terminates the worker, 21 days of wages from minimum 1 and maximum 5 years should be paid to Employee, If employee worked for more than 5 years, he/she will be eligible for 30 Days of Basic wage for each year of worked. How much gratuity money should the company pay me? Thanks

    ReplyDelete
  18. I worked for my company for 3 years now and already had my increase of 700. My basic is 2000 I want to know where they should put my increment should it be in the basic salary or in the allowance?

    ReplyDelete
  19. I worked for my company for 3 years now and already had my increase of 700. My basic is 2000 I want to know where they should put my increment should it be in the basic salary or in the allowance?

    ReplyDelete
    Replies
    1. Mostly companies are not increasing Basic salaries as it will affect on Gratuity once you complete your contract period.
      Mostly firms add increment amount as other allowances.
      Thank You

      Delete
  20. good morning i just want to know if i start working here in my company last year may 2015 so my 1 year here is may 2016???because in my emirates id expired on august 2017 so it means that my 1 year or 2 years working here in my company is on august not on the day when i start working here..is this rigth???

    ReplyDelete
    Replies
    1. Your days will be count after stamping visa or Printing Emirates ID Card, check the issue and expiry date on Visa or Emirates ID.
      Thank You

      Delete
  21. Hello, i work for an real estate [local] but my visa is domestic worker, my employer does't give me anything if i leave the job i am working for him since 32 years, can i go to labor court to claim my gratuity?

    ReplyDelete
    Replies
    1. Thank You for your comments Franco
      Please note that MOL follow the contract you signed, if you signed general Labour or Worker/Helper contract you will be deal as a general worker, no matter what and how long you worked for a firm.
      Furthermore we will suggest you to call MOL Toll free Number and question them.
      Wishing you Good Luck.
      Thank You

      Delete
  22. my husband worked for this uae company and this july 2016 it will be his 5th year how much can he get for his gratuity if plans to resign by dec.2016?

    ReplyDelete
    Replies
    1. For the first 5 Years of his work he is eligible for 21 days of basic salary while working more than 5 years will count 30 days of basic wage (30 days wage mean he will get the full salary).
      Please note that he will only get 30 days of basic wage for years that are above or after 5 years of work.
      Thank you very much for contacting us

      Delete
  23. This comment has been removed by the author.

    ReplyDelete
  24. Hello, on my contract it says that I should be entitled to 21 days after completing at least one year of employment and it does not mention any reduction in the end of service gratuity. Can you please let me know if my EOS should be based on my what is written on my contract or the regulations mentioned in your article?
    I look forward to your response.
    Many thanks.

    ReplyDelete
  25. To whom it may concern.
    Just wanna know is there any breach of contract here in UAE that the employee is the one will pay to his employer if he/she resigned before the said year of contract?

    ReplyDelete
  26. Hi. I just want to know. If you completed a 2 year contract and you renewed again another 2 year contract and resigned without completing the 2nd contract, are you still eligible for gratuity? Another question, are the company has the right to hold your gratuity and will only give to you 5 years after your resignation? Thank you .

    ReplyDelete
  27. Assalamualikum i worked in g4s abudhabi joined on april15-2011 till nov 13 2014. Due to emergency my father expired on nov 13 2014 i came back to india and due to family reasons i didnt come back to uae. I have band debts can i claim gratuity from company and clear band debts. Plz suggest me.

    ReplyDelete
  28. Assalamualikum i worked in g4s abudhabi joined on april15-2011 till nov 13 2014. Due to emergency my father expired on nov 13 2014 i came back to india and due to family reasons i didnt come back to uae. I have band debts can i claim gratuity from company and clear band debts. Plz suggest me.

    ReplyDelete
  29. i received my 1 month termination notice after a service of 5 years and 4 month from my Company, my question is" am i entitled for the graduity of 30 days each year?

    ReplyDelete
  30. Hi i am working in a hotel i have two question to ask.
    1.can i get 18 month gratuity or only one year after resigning my contract was two years but i resigned in 18 months so would i get 18 month gratuity or only 1 year.it would be appreciated if u tell me my gratuity how much it should be my basic salary is 1500.

    2.my second question is do we have to pay the recruitment fee to the employer after finishing probation period kindly reply me ASAP i am very tense.

    Thanks

    ReplyDelete
  31. Hi!I worked as Domestic Helper for almost 28 years till now to my Employer..I can get a graduati for my long service???..

    ReplyDelete
  32. I joined the company during sept 2015. My salary is 5000/- Aed (gross). I got a new job. If I cancelled is there any ban.

    ReplyDelete
  33. My contract is unlimited and the company did not renew my contract after two years or more,is this consider as termination?

    Thanks

    marlontreyes@gmail.com

    ReplyDelete
  34. Hello,sir mdm I just want to know if the domestic helper are counted also for this gratuity, even it's not under a company contract,I am just asking thank you so much if you don't ignore my question, I am working in my employer nearly 5years till now............tnx again from PHILIPPINES

    ReplyDelete
  35. Hello and good eve im working in a nursery for 3 years and now theres an ongoing situation here in d company wherein the late salary is always the problem. We doesnt have d fix date 4 the salary and now we r waiting for the may and june salary. According to our principal our cut off is end of the month but until now stil waiting for may and june. They have this letter from the labour that demands the company that they should give us the payslip,that the salary wil be evry 20th of the month and the vacation pay wil be hiven in advance. And they should comply until july 7th. Now we r stil waiting for this almost 3 months salary. Just wanna know what is the best thing to do for us to get what is due to us. The company didnt communicate with us stil now to know whats really happening around. And what is the necessary disciplinary actuon the labour wil give them if they wil not comply with the demand letter. Thamks and God bless

    ReplyDelete
  36. Hello! I had a Unlimited contract. I was terminated by our company for the reason of Redundancy and my last day was on 31st May 2016. My Emirates ID expired on 2nd of June 2016. Am I eligible for 3 months compensation? What are my rights as an employee? I will appreciate your prompt reply. Thank you.

    ReplyDelete
  37. Hi blessed day, i would like to know if the Housemaidnis qualified for Gratuity? Coz I've been working 19yrs jn 1 empliyer...Tnx a lot may God bless u...

    ReplyDelete
  38. Salam I have unlimited contrac my basic salary is 1500 i join my company's from 1/1/2006 till present if they terminated me how I can count my gratuity naw I recived my salary 3600 with alowance.Thank u

    ReplyDelete
  39. My company terminate my contract due to company situation and my visa will expired on august 2016 but they stop me to work last june 20,2016, my contract is unlimited, should I received gratuity or the company will pay me because they terminated me?
    wihout any noticed they said it's my last day last june 20,2016.
    my lastday of was june 20,2016.

    ReplyDelete
  40. my emirates id will expire on 12 october 2016,is this day my last day of working?

    ReplyDelete
    Replies
    1. The expiry date of Emirates ID means that your visa will expire on that day or date.
      You will have to change the sponsor or exit the country once it get expired.
      Note: You are allowed extra 30 days to stay or to change the sponsor after expiry of your visa.
      Thank YOu

      Delete
    2. It is your visa Expiry Date.
      You have to renew it before expiry, or you have to change sponsor either exit country.
      Thank You

      Delete
  41. Hi sir/madam...i already resign from my company and they cancel me last June 9..i finish my contract for 2 years...i just want to ask how much gradauty i will get and aside from that what else i can get?thank u sir /madam!

    ReplyDelete
    Replies
    1. If you have completed your contract you will get 21 days of your basic salary.
      follow this formula:
      basic salary / 30 * 21 *2 = (answer will be your 2 years gratuity)
      There is nothing for you from that company, sorry :(

      Delete
  42. Hi Sir/ Madam ... When I join the company they give me an offer letter showing 1800 basic salary + 700 accommodation + 300 transportation. But I labour contract they show my basic salary 1000+ 500 other allowance , total 1500. Is there is any leagal value for my offer letter...? If they calculate my gratuity as per labour contract ...then can I do something with the offer letter....?

    ReplyDelete
    Replies
    1. Sorry Mr. Anonymous
      Ministry of Labour only follow Contracts.
      You will get paid what you have signed in MOL contract.
      Thank You

      Delete
  43. Hi sir/ma'am. I've been working for more than a year now. My company informed me that my position will no longer exist and so I am subject for redundancy. They inform me ahead of 1 month notice July 2016, and will start my official redundancy on Aug. 1 until Sept. 30. They are obliging me to work for the 2 months notice of redundancy, and will cancel my visa on Oct. 1, 2016. Is it fair for me not to have the chance to search for a new company withing the 2 months notice? Do I have the right to refuse to work on my company's Redundancy notice period of 2 months? Please advise.

    ReplyDelete
    Replies
    1. As per our experience 2 months are enough to get a new job.
      If you are getting 60 days for searching, do not take any action against your company, simply get a new job and apply for a cancellation or get termination letter with positive reason.
      Thank You

      Delete
  44. Hi good evening.
    I am on unlimited contract and will expire 2017, am working as a sales staff in a pharmacy and right now they called me by phone and told me verbally that they will replace me with a licensed pharmacist and that they no longer need me.they will give me 2-3 months to find another job and if so they will cancel my visa. Is this a legal way what they are doing?is it a normal process?or i should ask from them written letter of termination?or what if they ask me forced resignation.Please advice.. Thank you

    ReplyDelete
    Replies
    1. Yes you will need a termination letter from the company if they are going to terminate you within couple of months.
      If the termination reason is other than mention in Labour Law you are entitled for 3 months compensation.
      If the termination reason is legal you have to collect 21 days of basic salary as a gratuity from your company for each year you worked,
      Thank You

      Delete
  45. Hi sir, Good afternoon
    Sir i worked MH Alshaya Co.LLC., i had complete my 2 years contract and i terminated from the company after completed 2 years. sir can you let me know what i get as a gratuity, and its almost 2 months i am sitting at room and company taking so long ti making visa cancellation, please can you suggest me.

    Narendra Adhikari
    0501806402
    adhikari.narendra04@gmail.com

    ReplyDelete
    Replies
    1. Thank You very much for contacting us Mr. Narendra
      You are eligible for 21 days of basic salary for each consecutive year you work for your company.
      Please note that your status should change within 30 days of visa expiry, you are entitled to leave country within those 30 days or to change sponsor.
      If you couldn't you may face Ban.
      Further more you can complain at Ministry of Labour if your company is not taking your cancellation serious.
      Thank You

      Delete
  46. Dear Sir/ Madam Greetings of the day.
    I hope you having a great day today. Obviously we are thankful to you for your kind information.If you don't mind, could you please let us know, what is the law for workers if the company decide to close the business? By which law they gonna pay to the workers? or is there any chance to say by the company that they will not pay to the workers because of no business? thank you

    ReplyDelete
  47. Hi! I have been working on my company 1 year and 2 months so it was june 2015 i started working there but the stamp of my emirates ID was september 2015 and expiration of my emirates ID is september 2017, the situation now is that the company was closed we already file a case to the labour because they did not give us 3 months salary. In case of cancellation of my visa do i get gratuity from my company? And what shall i do cause i started there june 2015 and my stamp is september 2015?

    ReplyDelete
  48. hi im working on one of ADNOC group for marine supply and services for 7 yrs till now. Last february 08 2016 i was Partially unfit for offshore due to my angioplasty and stopped me from working offshore they send me to our guesshouse here in Abu dhabi and wait for some further instruction but before i was unfit i received letter from the HR that my promotion as 2nd officer is approved effective on february 1 2016,,my question is can i get the salaRy of my promotion starting february to my last day in this company eventhough i was terminated due to my unfit status?because till now i received my old same salary

    ReplyDelete
  49. Hi..gud am.how about the nannies?I'm working here for 8yrs. .so i don't have gratuity?��

    ReplyDelete
  50. Good Morning! Sir i just want to know how much gratuity should i get if company release me or terminate me at the end of my 3 yrs contract.I have unlimited contract and my basic is 5000 Dirhams.

    ReplyDelete
  51. HI, I would like to know about my gratuity eligibility. I am having Dubai residence visa and have completed 4 years in my company ( two visa's for 1st 2 years). My visa is already to due on Oct 18th 2016 and have given my passport to company for renewal process.
    I was under unlimited contract for 1st four years of my service. Now when they have given my documents for signing, I read that they have changed the contract from Unlimited to LIMITED.
    For the same I would like to know whether I am eligible for gratuity or no if I resign from company after 3 months of my renewal visa ( which is limited contract now).
    As per my research I came across articles that employees under limited contract are not eligible for gratuity if not served as per contract. However, now my case is different. If I am eligible then how much would be. I mean how the calculations would be. 21 days full for 4 years and3 months or 2/3rd of basic?

    Regards,
    NJ
    naveenorritel@gmail.com

    ReplyDelete
    Replies
    1. Dear Sir,

      Awaiting for your reply at the earliest

      Delete
  52. hello Sir, i was in dubai in 2010 were applying for a employment visa in hotel security field , in medical test i came to know that i am a hepatitis b positive and they cancled my visa and i was come back to my home country pakistan , and now my faimly settled in dubai i want to visit ,now i need a help please someone help me to know , can i enter in dubai on a visit visa ? or i am banned or black list and e.t.c , and please tell me any way if its possible to cleare

    ReplyDelete
  53. This comment has been removed by the author.

    ReplyDelete
  54. Hello, I finished my limited contract of 2 years, joining date of October 14, 2014 up to October 14, 2016. Now my question is their computation of my gratuity is basic salary (1,000) / 30 working days and multipled by 7 days and then multiplied by 2 years. Is it correct? Please advised me about this. Thanks

    ReplyDelete
    Replies
    1. You will take 21 days per year as you had said you are in limited contract.

      Delete
  55. Question: i got termination from my company without any notice period because of company reducing the employee strength. Company did not updated my latest salary package in labor record after my 2 year visa renewal time. Now company did the final settlement gratuity calculation is based on the initial basic salary when I joined in 2013. i already got the mail about the salary increment when they renewed my visa 1 year ago. but the company is not calculating my gratuity based on the new renewal salary package. how can i approach labor law office with all these queries.

    Old basic salary : 2000 (When i joined)
    New offered basic salary : 3500 ( July 2015)
    Termination date: August 15, 2016

    Total year exp: 3 year and 2 month.
    What are the benefits i will get from them ?

    ReplyDelete
  56. Good day! I've been working in my company for 8 years now from June 2008, being the pioneer under unlimited contract. I took my 1 month vacation on Feb 2016. Then ask again another leave just this June 2016 for a very important matter back home. My boss allowed me and it took me 4 months staying in the Phils. I supposed to go back to Dubai earlier but my boss told me to stay for more because of company's financial situation. He told me to wait until market becomes ok. Then after he told me that they cant't afford to give the salary I am receiving monthly which is AED 7,000. They told me that 3,000 will be deducted and they can only afford to give me AED 4000. I told my boss that if its like that, 80% of my decision is to leave the company. He told me to come back to Dubai and we will settle this things. I came back to Dubai just this Nov 2, 2016. I met my boss but we didn't talk about this issue. Now I wanted to know if that 4 months is counted on my gratuity calculation. And also, is it good that I should resign or let the company terminate me since there is financial issue as they said? I haven't submitted my resignation letter and my visa is still under the company. They want me to find another before cancelling my visa. How would be the computation of my gratuity?

    Thank you and hoping for your kind response.

    ReplyDelete
  57. hi,i have been completed my 2 contracts for 4 yrs,my basic was 1300 plus fixed allowance 100 plus housing allowance of 600 a total of 2000aed,so how should i compute may gratuity?should i include the fixed allow. and housing allow? pls help i just want to know my rights before i go to my head office..thnks

    ReplyDelete
  58. Hi,
    Our Company had given us a notice that our company would close down and terminate all our contract , they have already terminated some of my colleagues and had given them their necessary gratuity but my question is aside from the gratuity should our company be required to give us all a 3 month compensation? is there anything else that we ahould receive aside from the gratuity?

    ReplyDelete
  59. what if the employee was terminated and he / she worked for 9 years in the company, will that person will get 3 months salary + the 9 years gratuity?

    thanks in advance for replying

    ReplyDelete
  60. Hi. We have one employee who we terminate due to company restructuring. He is still under probationary period. What are the benefits that he can get from the company?

    ReplyDelete
    Replies
    1. Hi, Could you please help me out on this? Thank you.

      Delete
  61. hi sir

    Can you please help me regarding my gratuity calculation. Ny company terminated me and my last day dec 12.. i been working there for 1 year 9 months and 12 days..
    Please let me know if 9 months and 12 days should include in the gratuity? can u please give me the calculation.. my basic is 2280..

    thanks and really appreciated from your response

    ReplyDelete
  62. My employee has completed 1 year of service he is still employed i want to book gratuity (liability in my books of accounts) how should i calculate and book, his basic salary is 4000

    ReplyDelete
  63. I get very useful information from this post becuase I am planning to visit Dubai for job. Altohugh there is a large number of Dubai jobs but for the new one it is hard to get good job at good salary.

    ReplyDelete
  64. a lot of questions are left unanswered... could someone eply to the questions please?

    ReplyDelete
  65. Hello, I work in company 11 mount, now company getting close have a big lost, so give us opportunity to find other job. Did I have right on Gratuity or not? Thank you in advance

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  66. Hello there! I have been worked with this company for more than 7 yrs.
    I have some questions. Hope to get answer from you. Thank you.
    1. I will resign in sept. 2017 den i jave to complete 1month so im gonnay stay with the company until oct2017 buttttt... i have 127 days credit to this company. I mean.. i had an emergency leave twice. 1st 16 days, 2nd 31 days. Den i cameback late frim my vacation 81 days. So i have 127days credit to the company. I will not go for vacation.. means i have 60days.. it will be additional for my days t9 complete my 8yrs? Thank u in advance. More power! Gobld bless you all!

    ReplyDelete
  67. hello, can you please tell how a 6 year employees unlimited contract gratuity calculation



    ReplyDelete
  68. Hi I have been working with the company for 1 year 10 months. am i eligible for leave salary. how can i know my gratuity amount.

    ReplyDelete
  69. My husband is under limited. He's been working in his company for almost 6yrs (will end mar 2017). Company terminated his contract which will end this march 2017 and company told him that he will be working only til end of feb 2017. How much gratuity he can get?

    ReplyDelete
  70. Hello how are you I just wanted to ask how to compute exactl my gratuity..is it by 21 days or 14 days.. I finished my 2years unlimited contract. What had happened I went to the nearest tasheel and I ask someone there to compute my gratuity.. I was surprised because he calculated it by 14 days not by 21 days from my basic salary.. So I am so confused now please help..thank you very much.

    ReplyDelete
  71. I want to ask only that unlimited contract or limited contract which is better i mean that if i make limited contract with company and i resign in the middle of completing 2 years so i can get gratuity or no in limited contract and unlimited contract please define thanks

    ReplyDelete
  72. hi, I finished my contract for 3 yrs, how much graduity I will take, under DMCC, THNK U

    ReplyDelete
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    Replies
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  74. Hi Sir,I have been working for 10 years in a company in UAE. Just now i informed company i will not renew my contract. They giving salary of 2900 and Friday works 100 each.From 2900 they giving 1500 by bank and rest 1400 giving by hand. Basic salary in my unlimited contract is just 400. So how they will calculate my end service charge ?

    ReplyDelete
    Replies
    1. Dear Sir, Could you help me to know exact gratuity i get after giving resignation as i have been working in the same company since 9 years under unlimited contract @ AED: 1,200 basic salary?

      Delete
  75. Please Help...Basic salary is just 400 in my unlimited contract, Salary in bank is 1500. So how i get gratuity for 10 years service ? They will calculate 400 or 1500 ?

    ReplyDelete
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    ReplyDelete
  77. why it is dived by 30 to get a accurate per day salary it should be basic salary *12/365 right? as per article 8 calender year considered as 365 and Calender month considered as 30 which one we need to follow calender month or calender year

    ReplyDelete
  78. Dear sir I have been working in a UAE company for than 5 years. I got the termination in Feb 2017. But I am still working as per the company requirement. So far I have not received my final settlement money. Is there any chance of getting compensation along with the gratuity? Please advise me sir. Thanks and regards.

    ReplyDelete
  79. Hello I was terminated by my employer due to attitude problem. I have been working for the company for ten years. What are my benefits when I leave the company(

    ReplyDelete
  80. How to calculate graduate jate of joining ya visa to visa renew

    ReplyDelete
  81. If any one resigned after working 5 years one day.At that time gratuity will be 21 days basic or 30 days basic. example my last basic is AED. 1600.

    ReplyDelete
  82. Hello,

    I am working in same company from last 5 years & 7 Months. My current Visa is going to expire in Nov 2017. Please let me know still i am going to break contract or I will get full amount of my gratuity.

    ReplyDelete
  83. Hi. I completed one contract in my company ( 2 years) and then renewed my contract for another 2 years. However I resigned after completing one year of my new contract. I am on a limited contract. How much gratuity am I entitled to?

    ReplyDelete
    Replies
    1. Hello..your situation is the same to my husband situation do you. Get your graduity from ur company after u resign

      Delete
  84. Hi my husband is working in uae for almost 3 years he completed the first contract (2yrs) and renew for another 2 years under limited contract but after 1 year he decided to resign. Can he entitled to get a graduity in his first contract?

    ReplyDelete
  85. I have been working for the company for 4 years. When my visa expire after 4 years company made a reason to terminate me and which i accept and they agree to give me the final settlement as per the labour law. My basic salary is 3086 and my contract is unlimitedd contract. When i went to collect my final settlement they pay me 14 days salary x 4 years. As far as i know i am entitled for 21 days salary x 4 years which i ask them on which they said i will get only 14 days salary x 4 years as my contract is unlimited. Is it true? If i claim for 21 days salary x 4 years where i can find the supporting article (law). Please advice as my days in Abudhabi is going to end.

    ReplyDelete
  86. Hi . I work here in Dubai for almost 7 years. Now, I didn't want to renew another year of contract from my employeer. This thing bother me so much because my employeer don't want to pay my gratuity. I work for her in morethan 7years and now she refuse to pay my gratuity. Is there any action I can make regarding this matter? I hope anyone can answer my concern about this matter. Thank you in advanve. :)

    ReplyDelete
  87. Hi. I completed one contract in my company which is limited contract for 2 years and then I renewed my contract for another 2 years under limited contract but I resigned after completing one year of my new contract.How much gratuity am I entitled to?

    ReplyDelete
  88. Hi, if the person is deported for criminal case do you think he can get his gratuity for 9 years of service.

    ReplyDelete
  89. Hi is there any gratuity for commission based jobs. If yes how will it be calculated?

    ReplyDelete
  90. Can i get three months salary if company terminated me. I worked in this company 6.5 years and now company terminated me with unlimited contract

    ReplyDelete
  91. How much I have to pay for my company? If I resign after 6 months.

    ReplyDelete
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    ReplyDelete
  93. Hi sir/maam
    Good morning i just want to know if the limited contract employee is entitled for gratuity if he/ she didnt finis the contract but already finish 2 or 3 contract in the same company? Every contract is for 2 years. Employee sign the contract fo fourth times for the same company each contract is for 2 years and didnt finish the the fourth contrac so employee still entitled for gratuity? Thank you so much. Waiting and hoping for your answer.

    ReplyDelete
  94. Hi there
    My vise as been finished at 9.2.2018 my contract was 2year limited now iam simply sitting they are not sending me back they are delaying my paper I already signed my cancel paper and they said emigration as been and wait for the ticket but I have one doudt that how they calculate my gratuity ana leave salary can u pls tell me exact calculation of gratuity and wat if they delay my ticket what can I do if suppose they failed to pay my gratuity or delaying my settlement what can I do is there any way to make complaint against my company.... If its there let me know thank you

    ReplyDelete
  95. Hi
    I've been spent three years and 5 months in my company, two years of it as Limited contract and the rest was as Unlimited one. So, if i want to know my gratuity how i can calculate it ?!

    ReplyDelete
  96. Hello, I am working in a trading company. As what i have noticed in years of stay in my company, they are deducting the number of absences in my co-employees graduity as these absences were already deducted to the employees monthly salary. Is it in the law or against the law? what action can we do about it? thanks in your advise.

    ReplyDelete
  97. Dear sir , I had been working for the company for nine years with unlimited contract and now I resign. What is my gratuity count on ? Is it counting 9 years X 31days ?

    ReplyDelete
  98. Hi,
    I have been working in the same company for the last 12 years. My current monthly salary is Dhs.18000. When I joined it was Dhs.9500. My renewed labour contact still shows Dhs.13000 as my gross salary and Basic is listed as Dhs.4500. When I asked my employer, I was reassured that the gratuity will be higher and not based on this and that there is no need to change it.
    I am worried that this will affect my Gratuity big time. Does the salary transfer to my Bank account hold any relevance?
    Please advise.

    ReplyDelete
  99. Hello, Thank you for the article however, I would like to point out a correction in this article.

    Please do not use the word "gross salary" as this confuses the reader. Gratuity is always calculated based on the basic salary. The word "gross salary" should be removed to avoid confusion. Please see under FAQ in the above article. I hope you will look into this.
    Many thanks.

    ReplyDelete
  100. Hi,
    Sir, an medam as I'm working in one of security llc company in Dubai since from 2011 Jan (8yrs).so now I want to resign for my job but there is still 1yrs is left for my contract it's a freezone company so company can deduct any amount from my gratuity

    ReplyDelete
  101. hi,
    i have completed 4 years and 6 months with unlimited contract in a company,this 6 month will count in my gratuity or only 4 years will count, your kind reply will be appreciated.

    ReplyDelete
  102. IM WORKING IN JAFZA FREEZONE COMPANY, AND IM COMPLETED 4 YEARS AND 10 MONTH.
    MY CONTRACT IS LIMITED.
    WHAT IS GRATUITY

    IS UAE LAW FOR LIMTED VISA IS APPICALBE FOR FREEZONE?

    ReplyDelete
  103. I started work with my company working offshore for the first 4 years under a company Abu Dhabi residence visa. I have continued working with the same company but I am now office based and have been for the last 7 years.
    My company informs me that I am only eligible for gratuity from my time spent in the office under a new contract and my offshore time does not count, is this correct?

    ReplyDelete

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