What happens to a worker’s gratuity after death? UAE law explains
Question: Two days ago, a worker passed away at our company. What procedures need to be followed for his burial, and who is responsible for the expenses? Also, what happens to his end-of-service benefits? Will his family be entitled to claim them, or will they be forfeited?
Answer: In the event of a worker’s death, the employer is responsible for handing over the worker’s entitlements to his family and bearing all costs related to the burial or transportation of the body to the worker’s home country.
This is stipulated in Article 15 of Federal Decree-Law No. (33) of 2021 Concerning the Regulation of Labor Relations, which states the following:
1. In the event of the worker’s death, the employer shall hand over to the family any wages or financial entitlements owed to the worker, including the end-of-service gratuity, in accordance with the provisions of this Decree-Law and its Executive Regulation. This must be done within 10 days from the date of death or from the date the employer is informed of the worker’s death.
2. Subject to the provisions of Clause (1) of this Article, the worker may, during their lifetime, designate a family member in writing to receive these entitlements in the event of death.
3. The employer shall bear all costs involved in preparing and transporting the body of the deceased worker to his country of origin or place of residence, if requested by his relatives.
4. If it is not possible to hand over the entitlements to the family or rightful beneficiaries, the Ministry, in coordination with the concerned authorities, may establish a mechanism to retain the worker’s dues.
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