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DIFC uses the DEWS savings plan instead of a lump sum.
Basic only — not housing or transport. It's on your contract and payslip.
Basic AED 10,000/month
7 yrs of service · resigned.
Next step
Your gratuity is AED 55,000. Your next employer will look at your CV first — 75% get auto-rejected by ATS.
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Gratuity · UAE, 7 yrsAED 55,000
UAE gratuity is paid on basic salary only. Your daily wage is basic ÷ 30. For each of your first five years you earn 21 days of that wage; for every year after five you earn 30 days. Partial years count pro-rata, nothing is due under one year, and the total can't exceed two years' basic salary. Resigning no longer reduces it.
Worked out with the calculator above using the same rules.
| Scenario | Monthly salary | Service | Reason | Gratuity |
|---|---|---|---|---|
| 7 years, resigned | AED 10,000 | 7 yrs | Resigned | AED 55,000 |
| 3 years, resigned | AED 8,000 | 3 yrs | Resigned | AED 16,800 |
| 2 years 6 months, terminated | AED 6,000 | 2 yrs 6 mo | Terminated | AED 10,500 |
| 11 months, resigned | AED 12,000 | 11 mo | Resigned | AED 0 |
| 30 years (hits the cap) | AED 20,000 | 30 yrs | Terminated | AED 480,000 |
| DIFC, 3 years (DEWS) | AED 10,000 | 3 yrs | Resigned | AED 20,988 |
The DIFC row shows DEWS contributions, not a lump sum.
Leaving your job? Add unused leave and notice pay with the final settlement calculator, or check your leave salary.
On basic salary only. Housing, transport and other allowances are excluded, so check the basic figure on your contract — in many UAE packages it is only half of total pay.
No. Under Decree-Law 33/2021 gratuity starts after one year of continuous service. From one year on, partial years are paid pro-rata, so 1 year and 6 months earns 1.5 years' worth.
Not any more. Under the old labour law, resigning early on an unlimited contract cut gratuity to a third or two thirds. The 2021 law, in force since February 2022, pays the same gratuity whether you resign or are terminated.
Not since 2022. All UAE private-sector contracts are now fixed-term, older unlimited contracts were converted, and gratuity is worked out the same way for everyone.
DIFC replaced lump-sum gratuity with DEWS, a savings plan. Your employer pays 5.83% of basic salary a month into it (8.33% after five years). Pick DIFC in the calculator for an estimate of the contributions; investment returns aren't included.
Yes. Total gratuity can't exceed two years' basic salary. With the 21/30-day formula that only bites after roughly 25 years of service.
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