JAFZA End of Service Calculator and Free Zone Gratuity Rules

If you work in JAFZA, DMCC, or most other UAE free zones, your gratuity is calculated using exactly the same formula as mainland employees, since these free zones follow Federal Decree-Law No. 33 of 2021. The two genuine exceptions are DIFC and ADGM, which run their own separate employment systems. This page explains the formula, the free zone specific details, and where DIFC and ADGM differ.

Infographic showing UAE free zone gratuity calculation for JAFZA, DMCC, and other free zones under Federal Decree-Law No. 33 of 2021, with DIFC and ADGM as exceptions.

Calculate your exact figure: Use our Gratuity Calculator UAE for a full breakdown.

Yes. JAFZA, along with DMCC and most other UAE free zones, follows the same federal labor law as mainland Dubai and the rest of the UAE. Your gratuity is calculated as 21 days of basic salary per year for the first 5 years, then 30 days per year after that, capped at 2 years’ total basic salary, exactly as it would be for a mainland employee.

JAFZA Gratuity Worked Example

An employee in JAFZA with a basic salary of AED 10,000 completes 6 years of service.

1
First 5 Years 5 × 21 days = 105 days of basic salary
2
6th Year 1 × 30 days = 30 days of basic salary
3
Total 135 days
4
Daily Wage AED 10,000 ÷ 30 = AED 333.33

Final Gratuity

135 × AED 333.33 = AED 45,000

The same applies to DMCC. Since DMCC follows the federal labor law rather than running its own separate system, the calculation method, eligibility rules, and 2 year cap are identical to the JAFZA example above. There is no separate DMCC specific gratuity formula.

DIFC and ADGM are the two free zones that genuinely operate outside Federal Decree-Law No. 33 of 2021. Both run their own employment regulations with a different end of service structure, generally built around a workplace savings scheme rather than the 21 and 30 day gratuity formula used everywhere else.

TopicJAFZA, DMCC, and most free zonesDIFC and ADGM
Governing lawFederal Decree-Law No. 33 of 2021Their own separate employment regulations
Gratuity structure21 days per year, then 30 days after year 5Workplace savings scheme, contribution based
Cap2 years’ basic salaryStructured differently under the savings scheme

If your employment is registered with DIFC or ADGM specifically, do not use the standard gratuity formula. Confirm your entitlement through your specific DIFC or ADGM employer or the relevant authority instead.

Ajman Free Zone, along with the free zones in Sharjah, Ras Al Khaimah, Fujairah, and most others outside DIFC and ADGM, generally follow the same federal labor law framework described above. The core gratuity formula does not change based on which specific free zone you work in, provided that free zone is not DIFC or ADGM.

Free zone employees sometimes cannot find their record through the standard MOHRE app or enquiry portal, since some free zone authorities maintain their own separate employment record system rather than feeding directly into MOHRE’s database. If a MOHRE search comes back empty and you work in a free zone, check your specific free zone authority’s own portal, or ask your HR team which system holds your official record.

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Assuming free zone employees have a different gratuity formula from mainland, when JAFZA and DMCC generally do not
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Confusing DIFC or ADGM’s savings scheme with the standard gratuity formula used everywhere else
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Searching a general MOHRE portal for a free zone record that is actually held by the free zone’s own system
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Assuming every free zone is an exception, when DIFC and ADGM are genuinely the only two

Editorial Review & Sources

Reviewed by: Gratuity Calculator UAE Team

Sources referenced: Federal Decree-Law No. 33 of 2021 on the Regulation of Employment Relationships, official MOHRE guidance, DIFC and ADGM employment regulations.

Official Reference: UAE Government – End of Service Benefits for Workers in the Private Sector

Last verified against official MOHRE guidance: July 2026. This page provides general information only, and is not a substitute for confirming your specific entitlement with MOHRE, your free zone authority, or a qualified labor lawyer.

Frequently Asked Questions

Is JAFZA gratuity calculated the same way as mainland Dubai?

Is JAFZA gratuity calculated the same way as mainland Dubai?

Yes. JAFZA follows Federal Decree-Law No. 33 of 2021, the same law that governs mainland employment, so the gratuity formula is identical.
How do I calculate gratuity in a UAE free zone?

How do I calculate gratuity in a UAE free zone?

Use the same formula as mainland: 21 days of basic salary per year for the first 5 years, then 30 days per year after that, capped at 2 years’ total basic salary. This applies to JAFZA, DMCC, and most other free zones.
Which free zones are different from the standard gratuity formula?

Which free zones are different from the standard gratuity formula?

Only DIFC and ADGM. They operate their own separate employment systems with a savings scheme structure instead of the standard gratuity formula.
Does DMCC have its own gratuity calculator formula?

Does DMCC have its own gratuity calculator formula?

No, DMCC uses the same federal formula as mainland and other standard free zones.
Why can’t I find my labour card on the MOHRE app as a free zone employee?

Why can’t I find my labour card on the MOHRE app as a free zone employee?

Some free zone authorities keep their own separate employment record system. Check your specific free zone authority’s portal if a standard MOHRE search comes back empty.