Under UAE's Domestic Workers Law, domestic employees who complete one full year of service are legally entitled to an End of Service Gratuity payment. This is a mandatory benefit — not a bonus. This guide explains exactly how to calculate it, when it must be paid, and what happens in different employment scenarios.
⚡ Quick Facts
| ⚖️ Legal Basis | Federal Decree Law No. 9 of 2022 (Domestic Workers Law) |
| ✅ Minimum Service Required | 1 year of continuous employment |
| 💰 Gratuity Rate | 14 days salary per year of service |
| ⏱️ When Paid | On contract end, termination, or resignation |
| 📞 MOHRE Disputes | 600590000 |
| 🌐 More Info | MOHRE Domestic Workers |
💰 What is End of Service Gratuity?
End of Service Gratuity (also called End of Service Benefit or EOSB) is a lump-sum payment that an employer must pay a domestic worker when the employment relationship ends after at least one year. It is calculated based on the worker's last monthly salary and total years of service.
🧮 How to Calculate Gratuity — Formula
📊 UAE Domestic Worker Gratuity Formula:
Gratuity = (Monthly Salary ÷ 30) × 14 × Years of Service
Or simplified: 14 days of salary per year worked
📊 Gratuity Calculation Examples
| Monthly Salary | Years of Service | Gratuity Payable |
|---|---|---|
| AED 1,000 | 1 year | AED 467 |
| AED 1,200 | 2 years | AED 1,120 |
| AED 1,500 | 3 years | AED 2,100 |
| AED 1,800 | 5 years | AED 4,200 |
| AED 2,000 | 2 years 6 months | AED 2,333 |
Partial years are calculated on a pro-rata basis for the days worked beyond the last complete year.
✅ When is Gratuity Payable?
| Scenario | Gratuity Payable? | Notes |
|---|---|---|
| Contract completed (2 years) | ✅ Yes — full amount | Paid on last working day |
| Employer terminates without cause | ✅ Yes — full amount | Plus 3-month compensation |
| Worker resigns after 1+ year | ✅ Yes — full amount | With 30 days notice |
| Worker resigns before 1 year | ❌ Not payable | Less than minimum service |
| Worker dismissed for serious misconduct | ⚠️ May be forfeited | MOHRE determines case by case |
| Worker passes away | ✅ Yes — paid to family | Plus repatriation costs |
✈️ Other End of Service Entitlements
In addition to gratuity, domestic workers are also entitled to:
- ✅ Return air ticket to home country (paid by employer)
- ✅ All unpaid wages cleared
- ✅ Unused annual leave compensation
- ✅ Notice period pay if dismissed without proper notice
🚨 Wrongful Termination — Additional Compensation
⚠️ If an employer terminates a domestic worker without valid reason, MOHRE can order the employer to pay an additional 3 months salary on top of the standard gratuity — plus the return air ticket and all outstanding wages.
🔄 How to Claim Unpaid Gratuity
First, formally request the gratuity payment in writing from your employer.
Call MOHRE at 600590000 or visit mohre.gov.ae to file a formal wage dispute.
MOHRE will contact the employer and attempt mediated resolution within 2 weeks.
If mediation fails, MOHRE refers the case to the UAE Labour Court for a legally binding judgment — free of charge for domestic workers.
❓ Frequently Asked Questions
Does the gratuity formula change after 5 years of service?
For domestic workers in UAE, the standard rate is 14 days per year throughout the service period. This differs slightly from the standard private sector formula which increases after 5 years.
Is gratuity taxable in the UAE?
No — the UAE has no income tax. The full gratuity amount is received by the worker without deductions.
Can an employer deduct gratuity if the maid damaged something?
No — gratuity cannot be withheld or deducted for property damage or similar claims. These are separate civil matters. MOHRE will enforce full gratuity payment.
What if the employer leaves UAE without paying gratuity?
The domestic worker can file a complaint with MOHRE. UAE immigration authorities can place an exit ban on employers who owe workers legally due payments.
Is gratuity different from the 2-year package fee paid to Tadbeer?
Yes — the Tadbeer package fee is paid by the employer to the agency for recruitment services. Gratuity is a separate direct payment from employer to worker at the end of employment.
Can the employer and worker agree to waive gratuity?
No — under UAE law, gratuity is a mandatory legal right that cannot be waived by agreement. Any clause attempting to waive it is legally void.
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📌 Source: MOHRE UAE Official Website — Updated 2026. Always verify at mohre.gov.ae
