Gratuity Calculation for Domestic Workers in UAE

Domestic workers in the UAE, including maids, nannies, drivers, cooks, and gardeners, are covered by a separate law from standard private sector employees, Federal Decree-Law No. 9 of 2022. Gratuity calculation for domestic workers in UAE is genuinely less settled than the standard formula used elsewhere on this site, and this page explains exactly why, along with the wider MOHRE work permit rules that apply to hiring or working as a domestic worker.

Standard private sector employee? Use our Gratuity Calculator UAE for the formula that applies to you.

Is There a Fixed Gratuity Formula for Domestic Workers?

This is genuinely unclear under current law. Federal Decree-Law No. 9 of 2022 does not set out its own gratuity formula. Instead, it leaves the calculation method to a future decision by the UAE Cabinet, which had not been issued as of this update. This is different from private sector gratuity, which has a clearly defined formula under Federal Decree-Law No. 33 of 2021.

The Old Formula Still Used as a Reference

The previous 2017 law for domestic workers, Federal Law No. 10 of 2017, set out a specific formula: 14 days of basic salary per year of service, generally capped at 6 months’ total pay. Since the 2022 law has not replaced this with a new formula, many employers and payroll references still use this 14 day figure as a practical guide. This is not the same as a confirmed current legal requirement, since the matter technically remains open pending the Cabinet’s decision, so treat this figure as a widely used reference point rather than a guaranteed entitlement.

Worked Example Using the Reference Formula

This example uses the widely referenced 14 day formula, not a figure confirmed by a current cabinet decision, so an employer’s actual payout may differ.

Domestic Worker Eligibility to Hire in the UAE

If you are looking to hire a domestic worker rather than calculate gratuity as one, MOHRE sets specific requirements for sponsoring employers.

How to Apply for a Domestic Worker Work Permit

Applications and contract renewals can also be handled through licensed Tadbeer centers rather than only online, which many employers prefer for document verification support.

Domestic Worker Rights Under Current Law

Federal Decree-Law No. 9 of 2022 sets out several protections that apply regardless of the unresolved gratuity question.

MOHRE Domestic Worker Complaints

If a dispute arises between an employer and a domestic worker that cannot be resolved directly, either party can refer the matter to MOHRE. MOHRE will attempt to mediate an amicable settlement first, and if that fails within the period set out in the executive regulations, the dispute is referred to the competent court.

Only use MOHRE licensed Tadbeer centers and recruitment agencies for hiring, since MOHRE has revoked licenses from and shut down several unlicensed domestic worker recruitment operations, which carry real legal risk for both employers and workers.

Common Mistakes People Make

Transferring a Domestic Worker to a New Employer

A domestic worker can generally move to a new sponsoring employer under specific conditions set out in the executive regulations, rather than only through a fresh recruitment process from abroad. This transfer process still runs through MOHRE and typically requires updated documentation, a new work permit, and confirmation that the previous employment relationship has been properly closed out, including any final settlement owed to the worker.

What Happens to Repatriation Costs on Transfer

If a domestic worker joins a new employer within the UAE rather than returning to their home country, the original employer is generally not responsible for covering repatriation costs, since that responsibility effectively passes along with the new employment arrangement. This is a useful distinction for both employers and workers to understand before assuming who bears which cost during a transfer.

Domestic Worker Contracts and Documentation

Every domestic worker employment relationship should be documented through a MOHRE registered standard contract, not just a private arrangement between the household and the worker. This contract sets out salary, working conditions, and the responsibilities of both parties, and having it properly registered matters significantly if a dispute or gratuity question arises later.

What the Contract Should Cover

Keeping a signed copy of this contract, along with recent salary records, protects both employer and worker if questions come up later about entitlements or the terms actually agreed.

Wage Protection for Domestic Workers

Domestic worker salaries are increasingly expected to be paid through the Wage Protection System, the same mechanism used to confirm timely salary payment for standard private sector employees. This gives both the employer and worker a documented, bank verified record of payment history, which can matter significantly if a wage dispute or gratuity calculation question arises later.

Domestic Worker Health Insurance and Medical Care

Employers are required to provide health insurance coverage for their domestic worker, generally in line with the emirate specific health insurance regulations that also apply to standard private sector employees. Beyond insurance, employers are expected to provide reasonable assistance if the worker needs medical care, and withholding necessary medical attention is treated as a serious violation of the employer’s obligations under the law.

What If My Employer Refuses to Provide Insurance or Medical Care

This is a valid basis for a MOHRE complaint. Domestic workers, like standard private sector employees, can raise disputes over unmet employer obligations directly with MOHRE, which will attempt mediation before referring an unresolved case to the relevant court.

Working Hours and Rest for Domestic Workers

Unlike standard private sector roles with an 8 hour daily cap, domestic worker hours are structured around a rest guarantee rather than a fixed maximum working day. The law requires at least 12 hours of rest within each 24 hour period, with at least 8 of those hours consecutive, which in practice limits how much active working time is possible in a single day without breaching the rest requirement.