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UAE Outlines End-of-Service Gratuity Calculation Rules for Private Sector Expatriates

The UAE Ministry of Human Resources and Emiratisation has detailed the levels for calculating end-of-service gratuity for private-sector expatriate employees. Foreign workers are entitled to 21 days' basic wage for each of the first five years and 30 days for each additional year. Compliance with these labour rules remains compulsory for all private employers.

Issuing authority
UAE Ministry of Human Resources and Emiratisation
Jurisdiction
United Arab Emirates
Publication date
October 25, 2026
Stage
Final rule
Official source
www.emirates247.com
Photo: Emirates 24|7

The UAE Ministry of Human Resources and Emiratisation has outlined four distinct levels for calculating private-sector end-of-service gratuity for expatriate employees, according to Emirates 24|7.

Under the legal framework, foreign private-sector workers are entitled to 21 days' basic wage for each of their first five years of service. For every additional year worked beyond the five-year threshold, the gratuity entitlement increases to 30 days' wage.

Additionally, workers are entitled to gratuity for fractions of a year in proportion to time served, provided they have completed at least one continuous year of employment. The ministry highlighted that compliance with labour legislation remains compulsory for all private employers.

Sources

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