How Do I Accurately Calculate a Resignee's Final Salary Under UAE Labour Law?

Avril24
I have some queries on the calculation of the last month's salary for a resignee. One of my staff members is resigning from his position, and his last working day with the company (located in Dubai, contract under Jafza) will be on 24 August 2014. I would like to double-check the calculations for his last month's salary. Please advise which is the correct calculation under UAE Labour Law.

He joined our company on 20 September 2013 and will be leaving on 24 August 2014. Since his tenure is less than a year, he will not be receiving any gratuity.

Prorated Monthly Salary for July

1. a) Monthly base salary / 31 days (number of days in July) * 24 (number of service days with the company)
b) Monthly base salary * 12 months / 365 days * 24 days (number of service days with the company)

Allowances for July

2. a) Monthly allowance / 31 days * 24 days
b) Monthly allowance * 12 / 365 days * 24 days

19 Days Leave Encashment

3. a) Basic salary * 12 months / 261 (total working days of the year) * 19 days to encash
b) Basic salary * 12 months / 365 days * 19 days to encash.

Regards,
ravi5554
1. Monthly base salary * 12 months / 365 days * 24 days (number of service days with the company).
2. Monthly allowance * 12 / 365 days * 24 days.
3. Basic salary * 12 months / 365 days * 19 days to encash.

There is no specific formula for salary calculation as per the law, but it is better to follow the above-mentioned calculations because, as per UAE labor law, overtime will be calculated based on 365 days as outlined in Article 67, Article 68, Article 69, Article 70, Article 71, and Article 72.
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