UAE gratuity after 7 years of service
An expatriate worker in the UAE private sector who completes 7 years with the same employer is entitled to 165 days of basic salary as end-of-service gratuity, which is 5.50 months of basic salary.
How the 165 days are made up
The first 5 years earn 21 days each (105 days) and the 2 years after that earn 30 days each (60 days), a total of 165 days.
What it comes to on common salaries
| Basic salary a month | Gratuity | Per year of service |
|---|---|---|
| AED 1,500 | AED 8,250 | AED 1,179 |
| AED 2,000 | AED 11,000 | AED 1,571 |
| AED 3,000 | AED 16,500 | AED 2,357 |
| AED 4,000 | AED 22,000 | AED 3,143 |
| AED 5,000 | AED 27,500 | AED 3,929 |
| AED 7,500 | AED 41,250 | AED 5,893 |
| AED 10,000 | AED 55,000 | AED 7,857 |
| AED 15,000 | AED 82,500 | AED 11,786 |
| AED 20,000 | AED 110,000 | AED 15,714 |
One more year
With 8 years of service the gratuity would be 195 days; on a basic salary of AED 5,000 that is AED 32,500, which is AED 5,000 more than now.
Points to remember
- Only the last basic salary counts, not housing, transport or other allowances.
- Unpaid absence days are taken off the service count.
- The employer must pay within 14 days of the end of the contract, and may deduct amounts the worker owes.
Common questions
How much gratuity after 7 years in the UAE?
165 days of basic salary, which is 5.50 months. On a basic salary of AED 5,000 that is AED 27,500.
Does the gratuity include allowances?
No: only the last basic salary counts (u.ae).
Sources
- UAE Government portal u.ae, "End of service benefits for workers in the private sector" (u.ae), read on 13 November 2026. It quotes Article 51 of Federal Decree-Law No. 33 of 2021 and Article 30 of Cabinet Resolution No. 1 of 2022. Everything about the 21 and 30 days, the two-year cap, the basic salary, the 14-day payment deadline, part-time workers and the Savings Scheme comes from that page.
- The only assumption: a "day" of salary is the monthly basic salary divided by 30. The page does not state the divisor; check how your employer or MOHRE counts it.
Rules read on 13 November 2026 from the UAE Government portal. They apply to expatriate workers in the private sector; Emiratis follow the pension and social security legislation. Laws change and your contract may give more. This site is not connected with the UAE Government or MOHRE and gives no legal advice: contact the Ministry of Human Resources and Emiratisation for your own case.