Handing in your notice is stressful enough without wondering what you'll actually be paid at the end. The good news is that the UAE Labour Law for the private sector (Federal Decree-Law No. 33 of 2021) sets out clear rules for notice periods and final settlements — and the 2021 law removed the old penalty that cut gratuity for people who resigned early.
Notice Periods
Once you have passed probation, either side can end the employment contract by giving written notice. The notice period is whatever your contract says, but the law sets limits: at least 30 days and no more than 90 days. You keep working and are paid your normal salary during the notice period, unless you and your employer agree otherwise.
If one side ends the contract without giving the required notice, it generally owes the other side compensation equal to the salary for the notice period (or the part of it that wasn't served).
Resigning During Probation
Probation can last up to six months. The notice you must give during probation depends on why you're leaving:
- Moving to another employer in the UAE: at least one month's written notice.
- Leaving the UAE: at least 14 days' written notice.
An employer ending your contract during probation must give at least 14 days' notice. There are also rules about new employers compensating the previous employer for recruitment costs in some probation cases, so check your contract before you resign in the first months.
What Goes Into Your Final Settlement
Use our UAE final settlement calculator for a printable breakdown of gratuity, unused leave, outstanding pay and confirmed deductions.
- Salary for the days worked up to your last day, including the notice period.
- Payment for unused annual leave — basic salary ÷ 30 × unused days.
- End-of-service gratuity, if you completed at least one year of service: 21 days' basic salary for each of the first five years and 30 days for each year after that, including part years.
- Any other amounts your contract or company policy promises, such as overtime already worked or an agreed bonus.
Your employer may deduct amounts you genuinely owe — for example, an outstanding salary advance or loan — as allowed by the law.
Worked Example
An employee with a basic salary of AED 8,000 and a total package of AED 12,000 resigns after 4 years and 6 months, serves a 30-day notice, and has 12 unused leave days.
- Last month's salary: paid as normal for the notice period — AED 12,000.
- Unused leave: 8,000 ÷ 30 × 12 = AED 3,200.
- Gratuity: 21 days × 4.5 years × (8,000 ÷ 30) = 21 × 4.5 × 266.67 = AED 25,200.
Final settlement: roughly AED 40,400, before any legitimate deductions.
Practical Checklist Before You Resign
- Check your contract for the exact notice period and any non-compete clause.
- Put your resignation in writing (email or letter) and keep a copy with the date.
- Ask HR for a written breakdown of your final settlement and check it against your payslips.
- Agree a handover plan and your last working day.
- Plan your visa next steps: cancellation, a new employer's visa, or the grace period before leaving the UAE — grace periods depend on your visa type, so confirm with the relevant immigration authority.
Frequently Asked Questions
Do I lose gratuity if I resign?
Not under the 2021 law. If you have at least one year of service, you receive your full gratuity when you resign.
Can my employer refuse my resignation?
An employer can't force you to stay beyond the notice period set by your contract and the law, but you do need to serve that notice or compensate the employer for any part you don't serve.
What if my final settlement isn't paid?
You can file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE) through its website, app or service centres.
Sources and last review
The probation rules (up to six months; 14 days' notice from the employer or from a worker leaving the UAE; one month's notice for a worker moving to another UAE employer, with the new employer compensating recruitment costs unless agreed otherwise) follow Article 9 of the law. Last reviewed on 6 October 2026. Laws, thresholds and holiday dates change, so check the official pages below before you rely on a figure.
- Federal Decree-Law No. 33 of 2021 (UAE Legislation portal)
- Employment contracts: duration and models in the private sector (u.ae)
- MOHRE: laws and regulations FAQ
This article gives general information about the UAE Labour Law for private-sector employees and is not legal advice. Free-zone, government and some other employees follow different rules; confirm your own situation with your employer, MOHRE or a legal adviser.