JAFZA Gratuity Calculator — Free & Accurate

Updated for 2026

JAFZA Gratuity Calculator — Free & Accurate

Calculate your end-of-service gratuity for Jebel Ali Free Zone employers instantly. Updated for UAE Federal Decree-Law No. 33 of 2021.

1M+

Employees Served

UAE

All Locations

100%

Free & Secure

Overview

What is JAFZA?

Jebel Ali Free Zone (JAFZA) is one of the world’s largest free zones, located in Dubai. It comprises approximately 9,500 businesses from over 100 nations, operating under the umbrella of DP World. JAFZA follows its own recruitment policies through the Jebel Ali Free Zone Authority.
JAFZA follows UAE Federal Decree-Law No. 33 of 2021, applicable for all firms working in UAE and other non-financial free zones. Many JAFZA employees receive less gratuity than they deserve simply because they don’t know the rules this guide covers everything you need to know.

Is JAFZA Gratuity Different from Mainland UAE?
The gratuity formula is the same. The key difference lies in administration JAFZA employees’ rules are registered with the Free Zone Authority (not MOHRE), and complaints are handled internally by JAFZA before going to the courts.

🆕 2026 Update: All JAFZA Contracts Are Fixed-Term
As per the new UAE Labour Law, all firms shifted employees to limited-term (fixed-term) contracts from February 2023. No matter how you leave the job, you now receive gratuity in full provided you complete one year of service.

Minimum Service Requirement
You must complete at least 1 year of continuous service to qualify for gratuity. Employees who leave even one day before completing one year are not eligible.

Who Calculates Your Gratuity?
Gratuity is calculated based on your basic salary only housing allowance, transport, food, commission, and bonuses are excluded from the calculation.

Eligibility

Who is Eligible for JAFZA Gratuity?

Eligibility depends on your length of service and the reason for leaving. Here is a clear breakdown:

✅ Eligible Employees

Employees working with JAFZA-registered companies who complete 1+ year of continuous service

Employees who resign, are terminated, retire, or complete their contract

Part-time employees gratuity calculated proportionally based on working hours

Employees on fixed-term contracts under the new 2023 rules

❌ Not Eligible

Employees terminated for gross misconduct under Article 44

Employees who leave during probation before completing 1 year

UAE national employees (covered under a separate pension system)

Employees who have served less than one full year of continuous service

Calculation Formula

How to Calculate JAFZA Gratuity — Step by Step

Gratuity is calculated against your basic salary only. Follow these three steps:

STEP 1

Calculate Your Daily Wage

Daily Wage = Basic Monthly Salary ÷ 30

Your basic salary divided by 30 gives the daily rate used in all gratuity calculations.

STEP 1

Apply the Service Rate

Less than 1 year

Not eligible

1 to 5 years

21 days/year

More than 5 years

30 days/year (beyond 5)

STEP 1

Calculate Your Daily Wage

Daily Wage = Basic Monthly Salary ÷ 30

Your basic salary divided by 30 gives the daily rate used in all gratuity calculations.

Leave a Reply

Your email address will not be published. Required fields are marked *