The Question: What is the Computation for Gratuity in the UAE?


Question: I have been working in a construction company in Dubai on an unlimited contract. I joined the company on August 2nd, 2014. My visa issue date was 20th September 2014. I have now applied for resignation and in the letter, I have mentioned my last date of work will be August 3rd, 2017. My basic salary in the contract is AED 4500, I am receiving my basic salary of AED 5500 + AED 300 allowance (AED5800) through WPS. What will be my end of service amount?. Also after my last vacation, I rejoined the company on 20th September 2016, but since I completed 3 years, am I entitled for one complete month of leave salary?

Answer: Unfortunately we cannot calculate gratuity or end of service benefits without reviewing the labour contract. Under the UAE laws, the gratuity is calculated on the basic salary.

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