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.

Published October 26, 2026 Source: Emirates 24|7

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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.