What is the minimum service period required to receive gratuity?
An employee must complete a minimum of one full year of continuous service with the employer to be eligible for any gratuity payment.
The minimum service period is a fundamental requirement for gratuity eligibility in the UAE:
Basic Requirement
- Minimum one full year (365 days) of continuous service
- Service must be with the same employer
- Breaks in service may affect eligibility
- Probation period counts towards service period
Continuous Service Definition
- Uninterrupted employment with same employer
- Annual leave and sick leave count as service
- Maternity/paternity leave included
- Authorized unpaid leave may be excluded
Service Calculation
- From first working day to last working day
- Partial years calculated proportionally
- Contract extensions maintain continuity
- Job transfers within same company group may continue service
Special Cases
- Termination due to misconduct: No gratuity regardless of service
- Death or permanent disability: Gratuity payable to heirs/employee
- Resignation before one year: No gratuity entitlement
- Contract non-renewal: Gratuity payable if minimum service met
