📅 2025 Edition
Gratuity Rules 2025
Current Regulations for End of Service Benefits
What Applies in 2025?
As we move through 2025, the UAE labor market is fully governed by Federal Decree-Law No. 33 of 2021. The transition period for old contracts has ended, meaning all private sector employees should now be on fixed-term contracts.
Key Rules for 2025
- Unified System: No more "Unlimited" contracts. Everyone is on a fixed-term basis.
- Calculation: 21 days' basic pay for the first 5 years, 30 days thereafter.
- Eligibility: Minimum 1 year of continuous service required.
Important Note for 2025
Ensure your employment contract has been updated to reflect the new law. If you are still on an old unlimited contract, you should speak to your HR department immediately as this may affect your legal standing.