Question:
What is the wage for the annual leave calculated in case of full-time workers?
Answer:
As per Article 29 of Federal Decree-Law No. 33 of 2021 on Regulation of Employment Relationship, the worker shall be entitled to an annual leave with full wage, of not less than
- 30 days for each year of extended service;
- 2 days for each month if his service term is more than six months and less than a year;
- A leave for parts of the last year he spent at work if his service is ended before using his annual leave balance.
Example calculation:
- Basic salary = AED 10,000
- Allowances = AED 2,000
- Years of service: more than a year
- Annual leave = 23 days
1. Daily wage
(AED 10,000 + AED 2,000) ÷ 30 = AED 400/day
2. Annual leave pay
AED 400 × 23 = AED 9,200
So the employee would receive AED 9,200 for 23 days of annual leave.