Am I eligible to gratuity upon resignation if I took 76 unpaid leave days?

In the UAE, entitlement to leave salary (also known as end-of-service benefits) and gratuity is typically based on the length of continuous service with an employer.

Both leave salary and gratuity are calculated based on the employee's final basic salary.

Here's how the calculation generally works:

1. Leave Salary: According to UAE labor law, employees are entitled to receive leave salary for any accrued but unused annual leave days upon termination of employment. Leave salary is calculated based on the employee's daily wage.

Since you took unpaid leave during your notice period, those days would not be considered as part of your accrued annual leave. Therefore, you would not be entitled to leave salary for the unpaid leave days taken during the notice period.

2. Gratuity: Gratuity is a lump sum payment made to employees upon termination of employment, calculated based on the length of service with the employer. According to UAE labor law, gratuity is calculated as follows:

- For employees with less than one year of service: No gratuity is payable.

- For employees with one year or more of service: Gratuity is calculated as 21 days' basic salary for each year of service for the first five years, and 30 days' basic salary for each subsequent year of service.

Since you joined the UAE on 13.01.2023 and your current notice period ends on 27.06.2024, your length of service would be less than two years. Therefore, you would not be entitled to gratuity according to the UAE labor law.

It's essential to review your employment contract and consult with your employer or a legal advisor for specific details regarding your entitlements based on your employment agreement and any company policies that may apply.

Additionally, labor laws and regulations may vary depending on your specific circumstances and the jurisdiction in which you are employed.

Dear questioner

We need to review your contract for the annual leave details mentioned.

However, if you never used the paid leave then you are eligible for annual leave salary but according to your company type and contract type.

Please share your WhatsApp number to discuss this further.