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Fatima Abd El-Wahhab

Fatima Abd El-Wahhab

Attorney

الأسئلة المجابة 29736 | نسبة الرضا 97.9%

Lawyer

If we pay a staff his full gratuity then start a...

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If we pay a staff his full gratuity then start a new labor contract with new salary, after 10 years how do we calculate his gratuity?
Lawyer's Assistant: Where are you located? It matters because laws vary by location
In Dubai
Lawyer's Assistant: Has anything been filed or reported?
No
Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?
No Thxs

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إجابة الخبير: Fatima Abd El-Wahhab

Fatima Abd El-Wahhab

Fatima Abd El-Wahhab

Attorney

الأسئلة المجابة 29736 | نسبة الرضا 97.7%

We would like to inform you that End of Service Benefits, it is calculated upon the new contract last paid salary.


UAE Labor Law stipulates the following:
Article 26
A worker who has completed one or more years of continuous service shall be entitled to severance pay at the end of his employment. The days of absence from work without pay shall not be included in calculating the period of service. The severance pay shall be calculated as follows:
1. 14 days' wage for each of the first five years of service.
2. A worker shall be entitled to severance pay for any fraction of a year he actually served, provided that he has completed one year of continuous service.
Article 27
Where a worker under a definite term contract abandons his employment at his own
initiative before the expiry of his contract period, he shall not be entitled to severance
pay unless his continuous period of service exceeds five years.
 

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Fatima Abd El-Wahhab

Fatima Abd El-Wahhab

Attorney

الأسئلة المجابة 29736 | نسبة الرضا 97.9%

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