DIFC (DEWS) vs ADGM vs Mainland Gratuity: Key Differences

Quick answer: Mainland and MoHRE free zones use the traditional 21 and 30-day gratuity paid as a lump sum on exit. DIFC replaced gratuity with the mandatory DEWS savings scheme in February 2020, with monthly employer contributions of 5.83 percent (years 1 to 5) or 8.33 percent (5 or more) of basic salary. ADGM introduced an employee-choice savings model from 1 April 2025.

Which system applies to you is a core question in our complete guide to UAE end-of-service gratuity, because a single employer in Dubai can have staff under all three regimes at once.

At a glance

Feature	Mainland / MoHRE	DIFC (DEWS)	ADGM
System	Lump-sum gratuity	Funded savings plan	Gratuity or savings (choice)
Since	Long-standing (Article 51)	February 2020	1 April 2025
Who holds the money	Employer, until exit	Ring-fenced trust	Employer or scheme
Paid	Within 14 days of exit	Monthly contributions	Depends on choice
Investment growth	None	Yes	Yes, if savings chosen

Mainland and MoHRE free zones

The default UAE system. Your employer holds the liability and pays a single lump sum, calculated on basic salary at 21 days per year for the first five years and 30 days after that, within 14 days of your last day. Most free zones, including DMCC, JAFZA, and DAFZA, follow this federal model unless they adopt a qualifying scheme. The method is in how to calculate gratuity in the UAE.

DIFC: the DEWS scheme

Since February 2020, DIFC employers pay monthly into a defined-contribution plan instead of accruing a lump sum.
Contribution rates mirror the gratuity formula: 5.83 percent of basic salary for years 1 to 5, and 8.33 percent after that.
The money sits in a ring-fenced account that is yours even if the employer becomes insolvent, and it can be invested, including Sharia-compliant options.
DEWS is the default plan, and employers may use an approved qualifying scheme such as GO SAVER. UAE and GCC nationals are covered by GPSSA, not DEWS.

ADGM: employee choice from April 2025

Under the ADGM Employment Regulations 2024, effective 1 April 2025, employers can offer a savings scheme in place of traditional gratuity. It is voluntary on both sides: the employer chooses whether to offer it, and the employee chooses whether to join. Employees who do not opt in stay on the traditional end-of-service benefit.

Find your regime instantly

The UAE gratuity calculator has a mainland, DIFC, and ADGM toggle. Select your regime to see the right calculation or savings view. For the voluntary mainland alternative, read about the UAE Savings Scheme under Cabinet Resolution 96/2023.

Mixed service: transfers between regimes

If you moved between mainland and a financial free zone, your pre-transfer service usually stays under the old system (claim it when you left that job), and only later service falls under DEWS or the ADGM scheme. Ask HR exactly how any accrued balance was treated.

FAQ

Do DIFC employees get gratuity?

Not the traditional kind. DIFC replaced it with DEWS, which is monthly employer contributions into a personal, investable account.

Is the ADGM savings scheme mandatory?

No. From April 2025 it is voluntary for both employer and employee. Otherwise traditional gratuity applies.

How do I know if I am mainland, DIFC, or ADGM?

Check where your employer is licensed. It is stated on your visa and contract.

Sources and References

Federal Decree-Law No. 33 of 2021 (UAE Labour Law), Article 51 on mainland gratuity
DIFC Employee Workplace Savings (DEWS) scheme and DIFC Employment Law (difc.com)
ADGM Employment Regulations 2024 (adgm.com)
Ministry of Human Resources and Emiratisation (mohre.gov.ae)
UAE Government portal, free zones and end-of-service (u.ae)

This article is for general information and does not constitute legal advice. End-of-service entitlements and disputes should be reviewed with a qualified professional or the relevant free zone authority.