To access the master data, go to HR & Payroll > See also > End-of-Service Benefit Rates. This master data is available if the HR and Payroll module is enabled and the Enable End-of-Service Benefit Calculation option is selected on the Administration > Settings > HR and Payroll form.
The master data is used to calculate the termination pay which the employee gets on termination of the employment in the company.
Provision of end-of-service benefit to employees who worked more than one year for the employer is mandatory in the UAE. However, the rate used for calculation of the benefit depends on the termination conditions, on type of the employment, the length of continuous employment, and some other factors.
Generally, employees with unlimited term contracts who have worked from one to 5 years are entitled up to 21 paid days for each year of employment. Employees with more than 5 years of service are entitled up to 30 days of pay for each additional year. However, there is a payout maximum which is equal to two years of pay.
The "End-of-Service Benefit Rates (create)" form
Initially, there are no end-of-service benefit rates. To edit an end-of-service benefit rate, double-click the line with its name or click the line and then click More on the toolbar and Edit from the drop-down list. You can add any number of end-of-service benefit rates.
The end-of-service benefit rates can be arranged in a hierarchical structure by using groups (folders). Initially, there are no groups.
The toolbar buttons
To upload the end-of-service benefit rates that are in effect in UAE, click Load > By UAE Labor Law. When prompted, select the entity for which the rates will be used.
To add a new end-of-service benefit rate, click the Create button on the toolbar (for details, refer to Adding an End-of-Service Benefit Rate.
As the list is populated, you can change its display settings. Click More actions on the toolbar and select Configure list. For more information on the list settings, see Working with the item list.
The hierarchy structure is built using the Create Group button on the toolbar. The End-of-Service Benefit Rates (create folder) form appears.
The "End-of-Service Benefit Rates (create folder)" form
To create a group, enter its description. If the created group is a subgroup of another group, specify the parent group in the Folder field. Then, you can populate the group by creating new rates or by using drag-and-drop of existing rates from existing folders.
See also