Jurisdictions and savings schemes

UAE Alternative End-of-Service Benefits Savings Scheme

The federal alternative end-of-service system allows participating employers to fund approved investment arrangements instead of building only a traditional gratuity liability for the subscription period.

Reviewed: 26 July 2026Educational guidance, not legal advice

Employer participation matters

The scheme is voluntary for employers under the current system. Employees should confirm the enrolment date, fund and contribution records.

Pre-enrolment and post-enrolment service

Traditional gratuity accrued before the scheme start may need to be treated separately from contributions made after enrolment.

Account value is not a simple gratuity estimate

Investment returns, fees and actual account value can change the amount. Use the provider statement rather than predicting returns with a fixed formula.

Review contributions at exit

Compare the employer's contribution record, payroll basic wage and scheme statement. Confirm the withdrawal or continuation process with the provider.

Questions to ask HR or payroll

  1. When was I enrolled?
  2. Which fund or provider holds the account?
  3. What pre-scheme amount was preserved?
  4. Do payroll and scheme contributions match?
  5. What happens to the account when I leave?

Frequently asked questions

Is the federal Savings Scheme mandatory for every employer?

No. MOHRE describes it as a voluntary alternative system for participating employers.

Does the calculator predict investment returns?

It should not. Use the actual provider statement.

Do I lose pre-scheme gratuity?

Pre-enrolment accrued benefits require separate treatment under the scheme arrangements and employer records.

Official sources used

Rules can change and facts can be disputed. Review the source that applies to your jurisdiction and current circumstances.

Ministry of Human Resources and Emiratisation (MOHRE)Alternative End-of-Service Benefits SystemUAE GovernmentEnd-of-service benefits for workers in the private sectorMinistry of Human Resources and Emiratisation (MOHRE)Social protection and well-being assurance