Does Sick Leave Affect Your UAE Gratuity? Here's What UAE Labour Law Says (2026)
If you've taken extended sick leave at some point during your UAE employment, you may be wondering whether it affects the gratuity you're owed at the end of your service. This is a common concern, especially for employees who've had a serious illness or injury requiring weeks or months away from work. This guide explains exactly how sick leave interacts with your gratuity calculation under UAE Federal Decree-Law No. 33 of 2021. Does Sick Leave Reduce Your Gratuity? The short answer is: generally, no — but with an important nuance. Gratuity in the UAE is calculated based on your basic salary and your total years of continuous service. Standard paid sick leave, taken within the limits set by law, does not interrupt your continuous service and does not directly reduce your gratuity calculation. However, unlike maternity leave (which is fully protected and does not affect gratuity at all), sick leave has a tiered pay structure that can indirectly affect your finances dur...