Every Arab labour law protects workers when a job ends, but the protection looks very different from one country to the next. In the Gulf it is a lump-sum gratuity that grows with each year of service. In Egypt and Morocco it is compensation for being dismissed. In Jordan it depends on whether you were registered with social security. This guide puts the nine countries we have calculators for side by side, then runs one identical case through each calculator: 10 years with the same employer on about USD 3,000 a month.
The rules side by side
The table summarises the rules each calculator applies – the law and article, the wage the amount is based on, what one year of service earns, and what happens on resignation. “Not modelled” means our calculator does not cover that point, not that the law is silent.
| Country | Law and article | Wage used | Per year of service | On resignation | Cap | Notice | Nationals and social insurance |
|---|---|---|---|---|---|---|---|
| United Arab Emirates | Federal Decree-Law No. 33 of 2021 | Last basic wage | 21 days’ basic for years 1–5, 30 days after; at least 1 year of service | No reduction | 2 years’ basic wage | Not modelled; gratuity is normally paid within 14 days | Federal private-sector law only; DIFC, ADGM and government jobs have their own rules |
| Saudi Arabia | Labour Law, Arts. 84–85 | Last wage incl. fixed allowances such as housing | ½ month for years 1–5, 1 month after | Under 2 yrs: none · 2–5: ⅓ · 5–10: ⅔ · 10+: full | None applied | Not modelled | Same award for Saudi and non-Saudi employees; Saudis also contribute to GOSI pensions |
| Qatar | Law No. 14 of 2004, Art. 54 | Last basic wage | At least 3 weeks’ basic; after 1 year of service | No reduction (lost only on dismissal under Art. 61) | None | Not modelled | Nationals: state pension and social insurance generally replace it |
| Kuwait | Law No. 6 of 2010, Arts. 51 and 53 | Last full remuneration (÷ 26 for a day) | 15 days for years 1–5, 1 month after | Under 3 yrs: none · 3–5: ½ · 5–10: ⅔ · 10+: full | 18 months’ pay | Not modelled | Nationals: state pension and social insurance generally replace it |
| Bahrain | Law No. 36 of 2012, Art. 116; SIO scheme from 1 March 2024 | Last wage | ½ month for years 1–3, 1 month after | No reduction | None | Not modelled | Service since March 2024 is paid by the SIO from employer contributions; nationals are under social insurance |
| Oman | Royal Decree No. 53 of 2023, Art. 61 | Last basic wage | 1 month (service before 31 July 2023: 15 days for years 1–3, 1 month after) | No reduction | None | Not modelled | 9% savings scheme for expatriates due by 19 July 2027; nationals under social insurance |
| Egypt | Labour Law No. 14 of 2025, Arts. 154, 156, 164, 165 | Full monthly wage | Unjustified dismissal: at least 2 months; fixed-term contract over 5 years ended by employer: 1 month | Nothing from the employer | None (court may award more) | 3 months; pay in lieu if not given | Insured workers: NOSI pension or lump sum (Law 148/2019) instead of an employer award |
| Jordan | Labour Law No. 8 of 1996, Arts. 23, 25, 32 | Last wage | 1 month, for workers not covered by social security; arbitrary dismissal adds ½ month (min. 2 months) | Same bonus (any reason) | None | 1 month; 1 month’s wage in lieu | Covered workers: Social Security Corporation benefits instead |
| Morocco | Labour Code (Law 65-99), Arts. 41, 52, 53 | Average gross wage, last 52 weeks | 96 hours for years 1–5, 144 for 6–10, 192 for 11–15, 240 after; at least 6 months | Not payable | Abusive-dismissal damages capped at 36 months | Employees 8 days to 2 months, managers 1–3 months (Decree 2-04-469) | CNSS job-loss allowance can be claimed separately |
Worked example: 10 years at the same wage
Assumptions: service from January 1, 2016 to December 29, 2025 (3,650 days, which the calculators count as exactly 10 years), no unpaid leave, and a monthly wage equal to USD 3,000 converted at the exchange rates of October 12, 2026, rounded to three significant figures. The same number is used as the basic wage, last wage or average wage – whichever each law asks for. “Employer ends the contract” means:
- UAE, Saudi Arabia, Qatar, Kuwait, Bahrain, Oman: the contract ends or the employer terminates it, without misconduct.
- Egypt: the employer ends an open-ended contract without a legitimate reason and gives the full three months’ notice, so no notice pay is added. The compensation shown is the legal minimum; a court can award more.
- Jordan: the worker was not registered with the Social Security Corporation, and notice was given.
- Morocco: dismissal without gross misconduct of an employee (not a manager), with notice given.
| Country | Monthly wage | Employer ends the contract | Employee resigns | Employer payment in US$ | Calculator |
|---|---|---|---|---|---|
| United Arab Emirates | AED 11,000 | AED 93,500 | AED 93,500 | USD 25,459 | Open |
| Saudi Arabia | SAR 11,300 | SAR 84,750 | SAR 84,750 | USD 22,600 | Open |
| Qatar | QAR 10,900 | QAR 76,300 | QAR 76,300 | USD 20,962 | Open |
| Kuwait | KWD 930 | KWD 7,332.692 | KWD 7,332.692 | USD 23,642 | Open |
| Bahrain | BHD 1,130 | BHD 9,605.000 | BHD 9,605.000 | USD 25,545 | Open |
| Oman | OMR 1,150 | OMR 9,775.000 | OMR 9,775.000 | USD 25,423 | Open |
| Egypt | EGP 158,000 | EGP 3,160,000 | EGP 0 | USD 60,187 | Open |
| Jordan | JOD 2,130 | JOD 21,300.00 | JOD 21,300.00 | USD 30,042 | Open |
| Morocco | MAD 29,500 | MAD 185,340 | Not payable | USD 18,879 | Open |
Each “Open” link loads the calculator with these inputs, so you can change the wage or dates. US-dollar amounts use the same exchange rates and are for comparison only.
Why the results differ so much
The laws fall into three families. The first pays a fixed number of days’ or months’ wage per year whatever the reason the job ends: the UAE (21 days’ basic for each of the first five years, 30 days after), Qatar (at least three weeks), Bahrain and Oman (half a month and then a full month, or a full month for service since July 2023 in Oman), and Saudi Arabia and Kuwait, which use the same half-then-full pattern but cut it on resignation. In the example the UAE pays AED 93,500, about 8.5 months’ wage, while Qatar pays QAR 76,300, or 7.0 months.
The second family is compensation for dismissal rather than a reward for service. Egypt’s Labour Law No. 14 of 2025 requires at least two months’ wage per year when an employer ends an open-ended contract without a legitimate reason – EGP 3,160,000 here, about USD 60,187 and the largest amount in the table. A lawful termination or a resignation gives nothing under the Labour Law. Morocco’s severance is counted in hours of wage (96 hours a year for the first five years, rising to 240 after 15), which gives MAD 185,340 – roughly 6.3 months’ wage for ten years.
Jordan is the third case. Article 32 of Labour Law No. 8 of 1996 gives one month’s last wage per year – JOD 21,300.00 in the example – but only to workers who are not covered by social security. Most private-sector employees are registered with the Social Security Corporation, and for them the employer owes no end-of-service bonus; their pension or lump sum comes from the Corporation.
Among the six Gulf states the highest payment in dollar terms is Bahrain (BHD 9,605.000) and the lowest Qatar (QAR 76,300).
Resignation and the cap
Ten years is a turning point. Saudi Arabia pays nothing on resignation under two years, a third from two to five years and two thirds from five to ten; Kuwait pays nothing under three years, half from three to five and two thirds from five to ten. At exactly ten years both pay in full, which is why the resignation column matches the termination column for every Gulf state in the example. Only two of the nine laws cap the payment itself: the UAE at two years’ basic wage and Kuwait at 18 months’ pay. Neither cap applies after ten years at a constant wage.
Nationals and social insurance
The figures above are for private-sector employees. In Qatar, Kuwait, Bahrain and Oman, nationals are covered by state pension and social-insurance funds, which generally replace the gratuity. Bahrain has also moved expatriates into a funded scheme: since 1 March 2024 employers pay monthly contributions of 4.2% (first three years) or 8.4% to the Social Insurance Organization, which pays the benefit when you leave. Oman plans a 9% employer-funded savings scheme for expatriates, now due no later than 19 July 2027. In Egypt, insured workers receive a pension or a one-time compensation from the National Organization for Social Insurance instead of an employer award.
Before you rely on a number
- Check which wage your contract and the law use – basic, basic plus allowances, or an average. Entering the full package where the law says basic wage overstates the result by the share of your pay that is allowances.
- Partial years are paid pro rata in every calculator here. Morocco’s Labour Code refers to “each year or part of a year”, and some courts round a part year up.
- Contracts, collective agreements and company rules can give more than the legal minimum, and amounts you owe the employer can be deducted.
This is general information about the rules our calculators apply, not legal advice. Laws and their interpretation change; confirm your entitlement with the labour ministry, the social-insurance authority or a lawyer in your country.