New UAE labour rules: Same end-of-service benefits, gratuity for public, private sector employees

Full-time private sector, federal government employees are entitled to a gratuity of 21 days' basic salary for each year of the first five years of employment

Sherouk Zakaria

Published: Mon 13 Dec 2021, 2:25 PM

Last updated: Tue 14 Dec 2021, 1:42 PM

Employees in the federal government and the private sector will avail of the same end-of-service benefits under the new general regulations announced by the Ministry of Human Resources and Emiratisation on Monday.

Starting from February 2, 2022, full-time private sector and federal government employees are entitled to a gratuity of 21 days' basic salary for each year of the first five years of employment.

If the period of service exceeds more than five years, employees are entitled to the gratuity of 30 days' basic salary for each year of work after the first five years, in addition to the 21 days' basic pay for each year for the first five years.

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The law will determine gratuity for employees working in the new temporary, flexible and part-time job models introduced last month.

Under the law, no gratuity is paid for employees who do not complete one year of employment.

Under the new Federal Decree Law no. 47 of 2021, the new general unified regulations aim to establish an integrated, sustainable and competitive labour market in the UAE.

sherouk@khaleejtimes.com