What is basic salary in UAE labour law?

In UAE labour terms, 'basic salary' is the core fixed portion of your pay before allowances such as housing, transport, and other benefits are added; together they make up your total or gross salary. The distinction matters because, under the Labour Law (Federal Decree-Law No. 33 of 2021), several entitlements are calculated on the basic salary rather than the gross figure, most notably your end-of-service gratuity. That means two offers with the same total package can leave you with very different long-term benefits if one has a much lower basic component. Your registered MOHRE contract should specify the basic salary and the breakdown of allowances, so it is the document to check. When reviewing an offer, do not look only at the headline total; look at how it splits between basic and allowances. If your contract lumps everything together or shows an unusually low basic figure, ask HR to clarify the breakdown. To understand how your particular salary structure affects your entitlements, you can verify the framework via MOHRE and compare verified UAE legal professionals on LEXAI for advice on your contract.