Unified UAE Legislation Database

Practical Guide: How is the payment for occupational injury calculated?

Status

In force

Issuing Authority

Effective date

XX.XX.XXXX

Official Link

https://

Situation:

The worker with the basic salary of AED 10,000 was injured as a result of occupational injury that prevented him from performing his job for 7 months. 

 

What actions are required?

1. Determine the worker's treatment period. Establish how long the worker is unable to perform their job due to the injury.

 

2.  Apply the wage compensation rules:

- Full salary is paid for the first 6 months of treatment (or until recovery, whichever is sooner).

- If treatment extends beyond 6 months, the worker is entitled to half salary for the next 6 months, or until recovery, confirmation of disability, or death — whichever comes first.

 

3.  Calculate the total compensation. Use the employee’s basic monthly salary as the basis:

- 6 months full pay → salary × 6

- Remaining period (up to 6 months) at half pay → salary × 0.5 × number of additional months

 

Example:

1. First 6 Months – Full Wage 
AED 10,000 × 6 = AED 60,000

 

2. 7th Month – Half Wage
AED 10,000 × 0,5 = AED 5,000

 

3. AED 60,000 + AED 5,000 = AED 65,000

 

The employer must pay AED 65,000 for the 7-month period of work incapacity.

 

Basis:

- Article 37 of F...