Showing posts with label Domestic-workers-guide. Show all posts
Showing posts with label Domestic-workers-guide. Show all posts
June 17, 2019

Gratuity Calculator UAE for Domestic Workers

gratuity calculator uae for domestic workers as per uae labour law

Gratuity Calculator for domestic workers also know as end of service calculator for domestic workers or housemaids gratuity in UAE to be discuss in today’s short but important guide through which all domestic workers can calculate their gratuity online in few minutes.

Gratuity in UAE for Domestic Workers:

Gratuity pay for domestic workers in officially announced by Ministry of Human Resources and Emiritization  and can be calculated on basic salary at 14 days salary per year, before proceeding to online gratuity calculator or online domestic worker calculator, please keep below points in mind.

Who cannot get Gratuity?

Any domestic worker who breached the contract (resigned) or did not completed the contract period without any reason will not be able to claim for gratuity pay.

What if someone resign before contract ends?

If you (employee) have breached your employment contract you are liable to pay contract breach compensation (salary/money) to your employer which should be your net salary or total salary, for example if you are getting 2000 AED a month, you are supposed to pay 2000 AED to your sponsor (employer) if you don’t want to continue with him/her as a contract breach compensation fine.

What if Employer breaches the Contract?

If you have resigned because the employer breaches the contract, or if your employer (sponsor) terminates you without any reason, you should get one month full salary (extra) from your employer as contract breach compensation (salary/money). For example if you are getting 2000 AED full salary a month, your employer should pay you your gratuity, your normal monthly salary along with 2000 AED extra for breaching the contract.

Gratuity for those who ends contract:

Gratuity for those housemaids and other domestic workers who completed the contract with their employers and don’t wanted to renew again with them will get gratuity as per UAE labour law.

How many Professions are coming under Domestic Workers?

The new list of professions under the domestic helpers or domestic workers include are: (only for households, not companies)

1: Housemaids
2: Private sailor
3: Watchman and security guard
4: Household shepherd
5: Family chauffeur
6: Household horse groomer
7: Household falcon care taker
8: Trainer
9: Housekeeper
10: Private Coach
11: Private teacher
12: Babysitter
13: Household farmer
14: Private Nurse
15: Private PRO
16: Private agriculture engineer
17: Private Teacher
18: Drivers

How to Calculate Gratuity in UAE for Domestic Workers:

To calculate domestic workers gratuity as per UAE Labour Law through MOHRE UAE website
Click Below Link

Once you have clicked the above link, you will be redirected to below page.

domestic workers gratuity calculation

Step 1:
Write your contract start date and end date.

Domestic workers visa rules as per uae labour law

Step 2:
Write down your total net salary which you are receiving from your employer and your basic salary which was signed in domestic worker’s contract by both parties.

end-of-service benefits for domestic workers

Step 3:
Select reason of leaving from below mentioned six options including:

house workers gratuity in uae

1: Contract Ended
2: Resigned or dismissed on probation period
3: Worker resigned for no reason
4: Worker resigned because employer breached the contract
5: Worker dismissed for no reason
6: Worker dismissed for breaching the contract

Step 4:
In case if you have not paid with Annual leave salary, weekend allowances, injury or disability money or any other specific salary such as if you have worked on holidays etc, you need to select the number of days, months or year to get your total allowances.

annual leave salary for housemaids as per uae labour law

Once you have successfully filled above requirements, check the amount written on total allowances tab, you can print it for your safety or take screenshot of it to avoid future issues with your employer.

gratuity rules for domestic workers in uae

For Question and Queries, Join our Facebook Group or write your question in below comment box.

Guide about gratuity calculator for domestic workers or gratuity for housemaids in UAE is ended here, for more UAE Labour Law updates, please keep visiting us.

March 25, 2019

Gratuity Calculator UAE as per UAE Labour Law

Gratuity in uae, Gratuity for Housemaids in uae, gratuity for maids in uae, gratuity for domestic workers

Gratuity Calculator UAE 2019 to be share in today’s guide, according to reports only seventy percent of employees are getting gratuity in UAE and it may be because of less info about end of service benefits.

So, let's learn about the calculation of your end of service gratuity.

Important point before calculation is to know your contract type, if it is limited term contract or unlimited term contract, because gratuity in UAE depends up to your contract type and is based on the reason for end of service either it is Resignation or Termination?

What is the difference between Resignation and Termination?
Resignation means if employee (worker) quit or leave job before completing his/her contract while Termination means where company (employer) terminate (cancel) an Employee.

Gratuity in UAE will always be calculating by basic salary of worker.

Limited Contract Gratuity:

No Gratuity without Completing Limited Contract:
It is clearly mentioned in UAE LABOUR Law Article 138 that if employee has not completed his/her limited contract period as signed in agreement, he/she will not be eligible for any gratuity.

In simple words, if someone signed a limited term contract which mostly is for 2 years or maximum 3 years but resigned after 6 months, 12 months, 14 months or without completing the contract, company will do not pay any gratuity to that worker.

Gratuity for 1-5 Years of Service:
If you have completed your limited contract and it is within 1 to 5 years, you are entitled for 21 day’s basic salary wage for every single year of work.

Gratuity for 5 Years of Service:
If you have completed 5 years of continuous service with your company and have resigned, then for the first 5 years of work you are eligible for 21 days’ basic wage & for the service above 5 years, you will get paid 30 day’s basic wage for each year of service.

What if Company Terminates the Employee under Limited Contract?
In case you have been terminated by your Company and you have not completed your 1 year yet, you will not eligible for any gratuity, but if you worked with the company for more than 1 year and less than 3 years, you will get 30 days of basic salary for No. of years your served before termination.

Unlimited Contract Gratuity:

No Gratuity for less than one year of service:
Please keep in mind that gratuity in UAE is only applicable when an employee completes 1 year of service with a company, so as per UAE LABOUR Law Article 132, Section 2, if worker resigns with less than a year of service, he/she will not get any gratuity.

Gratuity for more than 1 & Less than 3 Years of Service:
If worker resigns and he/she worked between 1-3 Years, he/she should take 1/3rd of 21 days of basic salary for each year of employment.

Gratuity for more than 3 & Less than 5 Years of Service:
If worker resigns and he/she worked for more than 3 years but less than 5 years, he/she should take 2/3rd of 21 days for each year of work.

Gratuity calculation for more than 5 Years of Service:
If worker is resigning under unlimited contract after 5 years of continued service, the worker should take 21 days basic salary for every year he/she worked and the 30 days basic salary for additional years after completing 5 years.

What if Company Terminates the Employee?
In case of unlimited contract where the company terminates the worker, 21 days of wages from minimum 1 and maximum 5 years should be paid to Employee, if employee worked for more than 5 years, he/she will be eligible for 30 Days of Basic wage for each year of his/her service.

Online Gratuity Calculator UAE:

Many asked us about how to calculate gratuity online, to calculate your gratuity online using gratuity calculator uae 2019, please follow below formula and links as per your contract types.

UAE Gratuity Formula:

Gratuity Formula 1:
Basic Salary ÷ 30 (days in Month) x 21 (basic salary days) x 2 (years of service)
Example:  3000 ÷ 30 x 21 x 2 = 4200

How it Works?
3000 ÷ 30 = 100 your daily Wage is 100 AED
100 x 21 = 2100 so, your 21 days of basic wage is 2100.
Now Multiply your basic wage with the No. of years you work : 2100 x 2 = 4200

Gratuity Formula 2:
Basic Salary x 21 days x No. of years of service / 30
Example: 3000 x 21 x 2 /30 = 4200 AED 

If there is any dispute between worker and company for gratuity payment or amount payable to the company, such case should be put to the Labour office (MOHRE/free zone) for investigation.

Frequently Asked Questions about UAE Gratuity Calculation 2019

Q: Can company deduct any payment from the gratuity payable to the worker?
Yes, the company (employer) may deduct any amount due and payable to the employee (worker) to the employer (company) from his/her gratuity payment and pay for the balance to the employee.

Q: Shall an employee be entitled to gratuity if he/she died?
Yes, in the event of a worker’s death, the employer (company) must pay the end-of-service gratuity to employee beneficiaries (heirs).

Q: What is the maximum Gratuity that we can get?
As per UAE LABOUR LAW, Article 132, maximum gratuity amount for employee cannot exceed 2 years’ gross salary.

Q: What is the worker entitled to at the termination of his/her contract?
The worker (employee) at the termination of his/her employment contract will be entitled for to the following:

1: A notice period, or any amount due in lieu of the notice period, only in case of unlimited contract.
2: Compensation (payment/reward) for the unreasonable dismissal if the contract was terminated by the company (employer) for unreasonable cause, only in-case of unlimited contract.
3: If employee is working under limited contract, compensation equivalent to the period until the end of the contract, or three month's salary whichever is greater.
4: Payments equivalent to the balance of unutilized leave or any part thereof.
5: Payments for overtime or any other pending balance or salary.
6: End of service benefits, gratuity.

Q: Can I get 3-month salary in case of termination?
Yes, if you are terminated for reason other than mentioned in UAE LABOUR LAW Article 120, you are eligible for 3 month’s compensations.

Q: Will absence be calculated in Gratuity?
The day of absence from work without pay shall not be included in calculating the time period of service. However, if the employee (worker) completed 1 year in service he/she will be entitled to a gratuity for the fraction of the year proportional for the part of the year he spent in company if he has completed 1 year in continuous service.

The guide about gratuity calculator uae 2019 as per UAE Labour Law ends here, feel free to ask your questions in below comment box regarding gratuity in UAE.