Laws & Labor

Gratuity for UAE Domestic Workers

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UAE Domestic Workers are also eligible for Gratuity in UAE

In this concise yet crucial guide, we will discuss the Gratuity Calculator designed specifically for domestic workers in the UAE. This calculator, also known as the End of Service Calculator or Housemaids Gratuity Calculator, allows domestic workers to easily calculate their gratuity entitlements online within a matter of minutes.

By utilizing this tool, domestic workers can accurately determine the amount of gratuity they are eligible to receive at the end of their employment tenure.

According to UAE labor law, domestic workers such as housemaids who have successfully completed their contract with their employers and choose not to renew it will be entitled to receive gratuity.

Domestic Workers Law

The Ministry of Human Resources and Emiratisation has officially announced the gratuity provisions for domestic workers in the UAE. According to these provisions, gratuity is calculated based on the domestic worker’s basic salary, at a rate of 14 days’ salary per year of service. Before utilizing the online gratuity calculator or online domestic worker calculator, it is important to consider the following points.

The worker, who completes one year or more of continuous service, shall, at the end of his/her service be entitled to an end-of-service compensation. Unpaid days of absence from work shall enter into the calculation of the end-of-service compensation. The compensation shall be calculated on the basis of 14-day wages for each year of service and becomes due upon the termination of the contract. The calculation of the compensation resumes upon the renewal of the contract.

Article 26, Domestic Workers Law

Any domestic worker who breached the contract (resigned) or did not completed the contract period without any reason will not be able to claim for gratuity pay.

The worker shall be denied end-of-service compensation if the contract is terminated due to unlawful discontinuance of work or if the worker acts to terminate the contract without due cause.

Article 27, Domestic Workers Law

What happens if UAE Domestic Worker Resigns?

In the event that an employee violates their employment contract, they are responsible for providing compensation to their employer for the breach. This compensation, which can be in the form of salary or monetary payment, should equate to the employee’s net or total salary.

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For instance, if the employee receives a monthly salary of 2000 AED, they would be expected to pay their sponsor (employer) the same amount of 2000 AED as a fine for breaching the contract, if they choose not to continue working with them.

What if Employer Fires the UAE Domestic Worker?

In the event that you resign due to your employer’s breach of contract or if your employer (sponsor) terminates your employment without any valid reason, you are entitled to receive an additional one-month full salary from your employer as compensation for the contract breach.

This compensation, which can be in the form of salary or monetary payment, should include your regular monthly salary as well as an extra amount of 2000 AED for the breach of contract.

For instance, if your monthly salary is 2000 AED, your employer should provide you with your gratuity, your normal monthly salary, and an additional 2000 AED as compensation for the contract breach.

Click on this Link to Calculate your Gratuity as per UAE Domestic Laws.



About Author is a news syndication and press release service company based in UAE.

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