TaxSavvyQA

Dismissal and loss of gratuity

Can we refuse gratuity to an employee we dismissed?

The situation

Gratuity can be lost only where dismissal is for a reason listed in Art. 61.

The law

  • Art. 54, Labour Law No. 14 of 2004: Gratuity of at least three weeks of last basic wage for each year after one full year of service, pro rata for part years
  • Labour Law No. 14 of 2004: Main private sector employment law

What it means for you

If the reason is not in Art. 61, or is not documented, the gratuity is still payable. Wrongly withholding it can lead to a claim plus Art. 145 exposure for late final dues. Take advice before withholding.

What to do

  1. Check the dismissal reason against Art. 61.
  2. Collect evidence.
  3. Take advice.
  4. Pay if in doubt.

We can do this for youEnd of service gratuity calculation and final settlement: QAR 500

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