Who is eligible for gratuity payments in the UAE?
Primarily, expatriate employees working in the UAE's private sector who complete at least one year of continuous service are eligible. UAE nationals traditionally had pension schemes, but recent voluntary schemes allow them to opt into end-of-service benefits too.
Gratuity eligibility in the UAE depends on several factors:
Eligible Employees
- Expatriate employees in UAE private sector
- UAE nationals (under new voluntary schemes)
- Employees with minimum one year continuous service
- Both limited and unlimited contract holders
Sector Coverage
- Private sector companies
- Free zone establishments
- Some semi-government entities
- Domestic workers (under specific conditions)
Exclusions
- Federal government employees (have pension schemes)
- Employees terminated for misconduct
- Workers with less than one year service
- Certain categories in specific free zones
Special Considerations
- Free zone variations (e.g., DIFC DEWS scheme)
- Company-specific enhanced benefits
- Voluntary schemes for UAE nationals
