UAE labour law · updated 2026
Work out the pay in lieu of notice, the money owed when a notice period is not fully served. Enter your wage and the days of notice missed, and see the figure in AED.
Pay in lieu of notice works both ways. Whoever ends the job without serving the notice pays the other side for the days that are missed.
This is an estimate based on UAE Labour Law (Federal Decree-Law No. 33 of 2021). For educational purposes only. Consult a licensed UAE advisor for your specific situation.
Five plain English answers to the questions people ask most about notice.
01
It is money paid instead of working the notice period.
If either side ends the job and the notice is not served, that side pays the other for the days missed. The amount is the daily wage multiplied by the number of days not served, and nothing more.
You do not need a lawyer to work it out. Take the monthly wage, divide it by thirty for a daily figure, and multiply that by the days you will not be at work. That is the sum that changes hands.
02
Most UAE contracts set notice at 30 days.
Longer periods of 60 or 90 days are common for senior roles, so read the clause in your own contract before you count anything. During probation the notice is usually shorter, and it is written into the same contract.
If nothing is written down, thirty days is the usual default. It is worth checking early, because a ninety day notice changes your plans, and your final figure, far more than a thirty day one.
03
Notice pay uses your full wage, not just basic salary.
It includes allowances such as housing and transport. This is the main way it differs from gratuity, which is worked out on basic salary alone, so if your allowances are large the difference is significant.
This is why the notice figure can look bigger than people expect. Gratuity is quietly based on the smaller basic number, while notice pay uses the whole wage that lands in your account each month.
04
You owe your employer for the notice days you did not work.
The amount is usually deducted from your final settlement rather than invoiced separately. Many employers agree to waive part of it, especially if a replacement starts early, so it is always worth asking.
If they do agree, get it in writing. A short email that both sides acknowledge is enough, and it saves you from a deduction you did not expect on your last payslip.
05
Notice pay is settled with the rest of your end of service money.
That includes unpaid salary, leave salary and gratuity, and it should arrive within the same window as your other dues after your last day.
Check the settlement breakdown line by line. If the notice pay is missing or the days look wrong, raise it before you sign, because reopening a settlement after you have signed it is much harder.