Generally speaking, an employee cannot lose his right to end-of-service gratuity. This right is mandatory and cannot be excluded in the employment contract or any Addendum hereto. The only exception is if the employee breaches his employment contract in a manner that allows the employer to terminate the employment for cause. The reasons for a termination for cause are exhaustively provided in

2020-08-10

(10) of 2017 On Domestic Workers and Free Zone companies governed by their specific employment laws. The employer shall give the worker , upon the request thereof and at the end of his contract , a certificate of end of service gratis in which the date of commencement and termination of the employment , the total duration of employment , the type of work performed , the last paid wage and supplements , if any , shall be mentioned . And as per UAE Domestic labour law, government of UAE (ministry) will attempt to resolve the dispute (complaint) amicably within a period of maximum 2 weeks. If not solved within 14 days the case will be refer to court and the good thing is that cases filled by domestic helpers are exempt from fees at all stages of litigation and the cases must be heard in a speedy and prompt manner. DEWS is designed to replace the existing end of service gratuity effective from 1 January 2020. For more information on DEWS, please see our previous alert: UAE: Proposed reform to the End of Service Gratuity regime in the DIFC. The law has not yet finalised and therefore may be subject to change.

Maximum end of service benefits uae

If an employee has served more than 5 years, he is entitled to full 21 days’ basic salary as gratuity pay. An employee is eligible for gratuity pay in UAE if they complete 12 consecutive months of service with the employer. Absence without pay from work is not included when calculating the period of service. NH, Dubai. UAE Labour Law does not specify when the end of service gratuity and other final benefits should be paid, but the expectation is that this would be at the time of the final salary payment and when the residency visa is cancelled.

2 Dec 2020 How to calculate end of service benefits of UAE expats.

The UAE is a famous destination choice for multinational corporations. There are various types of employment rules that may be unanticipated or unknown. For many companies, end-of-service benefits pose a problem and could become worse with time. But, if both government and businesses act hand in hand, the process might become very smooth.

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Article 132 of the UAE Labour Law states that “the worker, having spent one year or more in continuous service, shall be entitled to an end-of-service gratuity upon the termination of his service.” Read more about this benefit and how you can claim it, even if you are outside the UAE.

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