Work out your end-of-service gratuity under Article 51 of Federal Decree-Law No. 33 of 2021 — the current law. Note: resigning does not reduce your gratuity (that rule ended in February 2022), so there is deliberately no contract-type question here.
In short: UAE gratuity is 21 days of your last basic salary per year for the first five years of service and 30 days per year after that, capped at two years’ wage. You need at least one year of service, allowances do not count, and since February 2022 resigning does not reduce it.
| Length of service | — |
| Daily basic wage (basic ÷ 30) | — |
| First 5 years — 21 days per year | — |
| After 5 years — 30 days per year | — |
| Statutory cap (2 years' wage) | — |
Article 51 of the UAE Labour Law (Federal Decree-Law No. 33 of 2021) sets gratuity for full-time foreign private-sector workers as follows:
Worked example: basic salary AED 10,000, 7 years of service → (10,000 ÷ 30 × 21 × 5) + (10,000 ÷ 30 × 30 × 2) = AED 35,000 + AED 20,000 = AED 55,000.
Not covered: DIFC and ADGM free zones have their own employment schemes; domestic workers fall under a separate law; UAE nationals are covered by the pension system instead. Days of unpaid absence are excluded from service.
No. Since 2 February 2022, resignation does not reduce gratuity. The old limited/unlimited contract reductions were abolished — any calculator asking for your contract type is using the old law.
Basic salary only. Daily basic wage = last monthly basic ÷ 30. Allowances never count.
Statutory gratuity is zero below one year of continuous service. After that, part-years count pro-rata.
Two years' wage in total. This calculator applies the cap automatically and shows it in the breakdown.
Within 14 days of the contract ending (Article 53).
Possibly: Article 68(3) lets an employer settle a legacy unlimited contract under the old law. Check with HR or MOHRE if that describes you.