End of Service Gratuity
#1
BE Forum Addict
Thread Starter
Joined: Aug 2011
Posts: 2,578
End of Service Gratuity
So I know you are entitled to 21 days basic salary for each of the first 5 years worked and 30 days for each subsequent year, but how are the "days" calculated? For example, I get six weeks holiday which (until I came here) equated to 30 days (ie. 6 x 5 working days), but here if anyone says they get 30 days annual holiday, that usually means one calendar month. So, going back to my EOS gratuity query, does 30 days mean 4 or 6 weeks? Am guessing that it's simply calculated by dividing 30 by 365 days and multiplying this factor by your annual salary for each year. Presumably the lower 21 days rate still applies to the first 5 years irrespective of your length of service. Can anybody confirm all of this? It's for a family friend in case any of you were hoping that I am leaving. Not yet anyway.
#2
Forum Regular
Joined: May 2012
Posts: 46
Re: End of Service Gratuity
I'm not aware of the increase from 21 to 30 days after 5 years but I've never stayed anywhere long enough for that!!!
My understanding, having gone through the process once, is it is essentially (monthly basic salary/30)x21xNo. years
No. of years is pro rata so 30 months would be 2.5 etc
My understanding, having gone through the process once, is it is essentially (monthly basic salary/30)x21xNo. years
No. of years is pro rata so 30 months would be 2.5 etc
#3
Re: End of Service Gratuity
Just had a PC crash and lost that old calculator we used to have.
Anyone got a copy? please
Thanks
Anyone got a copy? please
Thanks
#4
Lost in BE Cyberspace
Joined: May 2008
Posts: 5,125
Re: End of Service Gratuity
So I know you are entitled to 21 days basic salary for each of the first 5 years worked and 30 days for each subsequent year, but how are the "days" calculated? For example, I get six weeks holiday which (until I came here) equated to 30 days (ie. 6 x 5 working days), but here if anyone says they get 30 days annual holiday, that usually means one calendar month. So, going back to my EOS gratuity query, does 30 days mean 4 or 6 weeks? Am guessing that it's simply calculated by dividing 30 by 365 days and multiplying this factor by your annual salary for each year. Presumably the lower 21 days rate still applies to the first 5 years irrespective of your length of service. Can anybody confirm all of this? It's for a family friend in case any of you were hoping that I am leaving. Not yet anyway.
#6
Re: End of Service Gratuity
that calculator was great as we get a bit better than the norm. We get 27 days for the first 5 years +10% and 37 days and 10& after. Also if they get rid of You you get double. I said to my boss I was going to knock him out and take the double but apperently it doesn't work like that.
You could play with the settings and keep a track of how much you could get for jumping every day
You could play with the settings and keep a track of how much you could get for jumping every day
#7
Account Closed
Joined: Feb 2011
Posts: 0
Re: End of Service Gratuity
It also depends on contract, IE: 4 year contract you get 21 days x 4 years.
IF like me, you are on an open ended contract and you leave then you are breaking the contract technically so get 7 days.
IF like me, you are on an open ended contract and you leave then you are breaking the contract technically so get 7 days.
#8
BE Forum Addict
Thread Starter
Joined: Aug 2011
Posts: 2,578
Re: End of Service Gratuity
#9
Forum Regular
Joined: May 2012
Posts: 46
Re: End of Service Gratuity
scamp - i see the reference to reduced gratuity in the attachment and it setoff alarm bells as im planning to resign shortly from a permanent contract and need my gratuity!
are you aware of this ever being implemented? I certainly wasnt penalised for resigning from an open ended contract when i left my previous emplyer in qatar??
are you aware of this ever being implemented? I certainly wasnt penalised for resigning from an open ended contract when i left my previous emplyer in qatar??
#10
Account Closed
Joined: Feb 2011
Posts: 0
Re: End of Service Gratuity
scamp - i see the reference to reduced gratuity in the attachment and it setoff alarm bells as im planning to resign shortly from a permanent contract and need my gratuity!
are you aware of this ever being implemented? I certainly wasnt penalised for resigning from an open ended contract when i left my previous emplyer in qatar??
are you aware of this ever being implemented? I certainly wasnt penalised for resigning from an open ended contract when i left my previous emplyer in qatar??
It's a matter of luck I reckon. If they know they'll pay less, if they don't they won't.
#11
BE Enthusiast
Joined: Jun 2010
Location: Dubai
Posts: 585
Re: End of Service Gratuity
If you resign having served between 3 & 5 years, you get 14 days per year
More than 5 years = full entitlement
#12
BE Enthusiast
Joined: Jun 2010
Location: Dubai
Posts: 585
Re: End of Service Gratuity
First 5 years service, gratuity = 21 x Y x 5
Year 6 gratuity = 30 x Y x 1
Year 7 gratuity = 30 x Y x 1, etc
The above is pro-rata'd on a daily basis from when you join and leave the company
#14
Account Closed
Joined: Feb 2011
Posts: 0
Re: End of Service Gratuity
Companies seem to do it differently. My place did it as follows:
Annual salary (to make it simple) 1,000,000 AED
Monthly = 83,333
Working days = 22, 83,333/22 = 3,787
3,787 x 7 days = 26,515
+ pro rata'd for the 7 months of the second year (which I think is generous?)
Annual salary (to make it simple) 1,000,000 AED
Monthly = 83,333
Working days = 22, 83,333/22 = 3,787
3,787 x 7 days = 26,515
+ pro rata'd for the 7 months of the second year (which I think is generous?)
#15
Re: End of Service Gratuity
Not sure if much in this has changed, gratuity is still the same as far as I know.