FAQ: The employer refuses to pay the full end-of-service benefits amount (EoSB) or calculates it incorrectly after resignation or termination.

Answer:

Upon resignation or termination, an employee is legally entitled to end-of-service benefits (EoSB) under UAE Labour Law. If the employer refuses to pay, pays a reduced amount, or applies an incorrect calculation, the employee has formal legal recourse through MoHRE.

LEGAL BASIS

• Federal Decree-Law No. 33 of 2021 on Regulation of Employment Relationship (Article 63 - employer liability for non-payment of entitlements)

Payment deadline: The employer must pay EoSB within 14 days of the contract end date.

EMPLOYER LIABILITY

• MoHRE may suspend the issuance of new work permits for the establishment

• MoHRE may restrict renewal of existing work permits

• Fines of up to AED 1,000,000 under Article 63 of the Labour Law

STEP-BY-STEP: HOW TO RESOLVE

Step 1 — Calculate your entitlement Before taking any action, independently calculate the EoSB amount you are owed. Calculation rules differ for full-time and part-time workers.

Reference: 

• How is the end-of-service benefits (EOSB) calculated for a full-time worker...