UAE Gratuity Calculation: Your Practical 2026 Guide
UAE gratuity is calculated on the employee's last basic salary only, at 21 days' pay per year for the first five years and 30 days' pay per year after that, with the total capped at two years' basic salary. The advice many founders still see online is wrong on one key point: under the current […]
Employment Contract UAE
Under UAE law, all private sector employment contracts must now be fixed-term for a maximum of three years. A fixed-term contract is an employment agreement with a defined start and end date, usually aligned with the employee's residence visa validity, and it isn't the old open-ended model many founders still assume applies. That single rule […]
How to Calculate Overtime in UAE: A 2026 Employer Guide
Overtime pay in the UAE is calculated from an employee's basic salary, not total salary. Regular overtime is paid at 125% of the normal hourly rate, while work on a rest day or public holiday is generally paid at 150% of the normal hourly rate, depending on whether substitute leave is given. If you're a […]
How to Calculate Overtime in UAE: A 2026 Employer Guide
Overtime in the UAE is calculated on your employee's basic salary, with a 25% premium for standard overtime hours and a 50% premium for work between 10 pm and 4 am, for any time worked beyond the standard 8-hour day or 48-hour week. In practice, that means payroll starts by turning the employee's monthly basic […]
