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How is gratuity calculated for a partial year of service in the UAE?

Asked by Anonymous·Jun 26, 2026·1 answers
Someone who worked, for example, three years and six months wants to know how the extra months are counted.

This answer is AI-generated by LEXAI. It is general legal information, not legal advice — verify anything you act on with a licensed UAE lawyer. How LEXAI uses AI

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LEXAI

AI-generated answer

Jun 26, 2026
In the UAE, once you have completed your first full qualifying year, additional partial years are pro-rated. Under the UAE Labour Law (Federal Decree-Law No. 33 of 2021), enforced by MOHRE, gratuity accrues at 21 days' basic wage per year for the first five years and 30 days per year afterward. For a fraction of a year, you take the relevant daily entitlement and apply it proportionally to the months and days worked. For example, for service in the first-five-years band, you can calculate the full-year amount (21 days' basic wage) and then take the portion corresponding to the extra months — so half a year would attract roughly half of that year's entitlement. The exact day count is based on your actual completed service, and unpaid leave days are excluded from that total. Because the precise pro-rating depends on your exact start and end dates and basic wage, MOHRE's official online calculator is the most reliable way to get the figure. If your employer rounds down unfairly or ignores partial-year service, you can challenge it with MOHRE or compare verified UAE employment lawyers on LEXAI.
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