Are part-time workers in the UAE entitled to gratuity? Here’s what the law says

Find out how the payout is calculated under the UAE Labour Law

Last updated: June 11, 2025 | 07:00

2 MIN READ

If you’ve worked part-time for over a year, you could be entitled to gratuity — but the calculation is different from full-time contracts. Here's how it works and who qualifies under UAE Labour Law.

Virendra Saklani/Gulf News

Dubai: If you are employed on a part-time basis in the UAE, you might be unsure whether you qualify for end-of-service gratuity – a benefit typically awarded to employees when their service with a company ends.

Under the UAE Labour Law – Federal Decree Law No. 33 of 2021 – part-time employees are not excluded from receiving gratuity. However, the law specifies that the calculation and eligibility criteria differ from those that apply to full-time workers.

These details are further clarified in Cabinet Resolution No. 1 of 2022, which outlines how gratuity is calculated for non-full-time workers, including those on part-time and job-sharing contracts.

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Are part-time employees eligible for gratuity?

According to Clause 2 of Article 30 in Cabinet Resolution No. 1 of 2022, a part-time worker is only entitled to receive gratuity if they have completed at least one continuous year of service with their employer. If your employment duration is less than one year, you are not eligible for end-of-service benefits.

How is gratuity calculated for part-time work?

The gratuity amount for part-time workers is calculated in proportion to the number of hours they work, compared to a full-time employee in the same organisation. The law provides a specific formula for this purpose, outlined in Clause 1 of Article 30.

Here’s how it works:

Determine the total number of hours the part-time employee has worked over the course of one year, as per their employment contract.
Divide that figure by the number of hours a full-time employee works in a year under a standard full-time contract.
Multiply the result by 100 to get the percentage equivalent.
Apply this percentage to the gratuity amount that would be paid to a full-time employee to calculate the part-time worker’s end-of-service entitlement.

For example, if a part-time worker puts in 1,000 hours per year and a full-time employee works 2,000 hours annually, the part-time worker's gratuity will be 50% of the full-time gratuity entitlement.

Gratuity is not applicable to employees on temporary contracts if the total employment period is less than one year.

This approach helps ensure that part-time workers in the UAE are compensated fairly for their service, in proportion to the time they have worked. If you are employed under a part-time or flexible work arrangement, it is advisable to check your contract and consult with your HR department to understand your entitlements clearly.

This article was originally published on May 13, 2022 and has been updated since.