UAE Final Settlement: What Your Employer Must Pay
When your employment ends — whether you resign, are terminated, or your contract expires — your employer has exactly 14 days to pay everything they owe you. Here is a complete breakdown of what your final settlement must include and how to ensure you get every dirham.
The 14-Day Rule
Your employer has 14 days to settle — no exceptions.
Article 53 of Federal Decree-Law No. 33 of 2021 requires employers to pay all end-of-service entitlements within 14 days from the last working day. If they miss this deadline, file a complaint with MoHRE immediately.
What Your Final Settlement Must Include
Pending Salary
All wages earned up to your last working day, including any unpaid months. Calculated on a per-day basis for partial months.
End-of-Service Gratuity
Calculated on basic salary only (excluding housing, transport, and other allowances):
- - 21 days basic salary for each of the first 5 years
- - 30 days basic salary for each year after 5 years
- - Total capped at 2 years of total salary
- - Minimum 1 year of service required
Unused Annual Leave
You must be paid for all accrued but unused annual leave. This includes any leave carried forward from previous years. Calculated based on your gross salary (basic + allowances).
Notice Period Pay
If your employer terminated you without giving the contractual notice period (minimum 30 days), they must pay you for the notice period. This is calculated on gross salary.
Other Entitlements
Overtime payments, pending commissions, bonuses due, repatriation flight ticket, and any other contractual benefits.
Example Settlement Calculation
Employee: 3 years service, AED 8,000 basic salary, AED 12,000 gross salary, 15 unused leave days
What to Do If Employer Refuses to Pay
Send a formal written request (email or WhatsApp) to your employer demanding payment within 14 days
Document the demand and any response or non-response
After 14 days, file a complaint with MoHRE specifying 'Final Settlement Non-Payment'
Bring your contract, salary slips, last working day confirmation, and your calculation
MoHRE will mediate. If the employer does not attend or refuses, case goes to court
The court can freeze employer bank accounts and assets to enforce payment
Calculate Your Exact Settlement
Upload your employment contract and we will calculate your complete final settlement — gratuity, leave, notice pay, and all entitlements. Know exactly what you are owed before negotiating.
Check Your ContractFrequently Asked Questions
What is included in UAE final settlement?
Your final settlement must include: (1) all pending/unpaid salary, (2) end-of-service gratuity, (3) unused annual leave encashment, (4) notice period pay (if applicable), (5) any pending overtime payments, (6) repatriation flight ticket, and (7) any other contractual entitlements like commissions or bonuses.
How long does my employer have to pay final settlement?
Under Article 53 of Federal Decree-Law No. 33 of 2021, your employer must pay all entitlements within 14 days from the end of the employment relationship. Failure to pay within this period is a violation, and you can file a complaint with MoHRE.
How is end-of-service gratuity calculated in UAE?
Gratuity is calculated based on basic salary only (excluding allowances): 21 calendar days of basic salary for each of the first 5 years, and 30 calendar days for each additional year. The total gratuity cannot exceed 2 years of total salary. Employees must complete at least 1 year of service to qualify.
What if my employer refuses to pay final settlement?
File a complaint with MoHRE immediately. Include your employment contract, salary slips, and a calculation of what you are owed. MoHRE will initiate mediation within 14 days. If that fails, the case goes to labour court. Courts take delayed settlement seriously and may award additional compensation.
Do I get gratuity if I resign?
Yes. Under the 2022 labour law, you receive full gratuity regardless of whether you resign or are terminated, as long as you have completed at least 1 year of service. The old rules that reduced gratuity for resignations have been abolished. You must serve your notice period or pay in lieu.