Regulation & Policy

Beyond the UAE, the GCC is gradually transitioning to funded EOSB schemes

Across the GCC, EOSB is gradually transitioning from unfunded gratuity to structured funded schemes. What does this mean for employers?

By Nisha Braganza

Beyond the UAE, End-of-Service Benefits (EOSB) across the GCC is gradually transitioning from unfunded gratuity to structured funded schemes.

Each country is at a different stage, but the direction of change is similar.

Current position across the GCC

• Bahrain implemented a mandatory funded scheme in March 2024.
• UAE's EOSB scheme is live on a voluntary basis, with the framework under public consultation until 28 February 2026.
• Oman has announced a mandatory nationwide go-live date of July 2027.
• Qatar is currently evaluating options for an investment-based EOSB scheme.
• Saudi Arabia announced a voluntary employee savings programme in June 2025.
• Kuwait has not yet announced any similar initiative.

What does this mean for employers?

As these schemes are implemented, EOSB will become a recurring monthly cashflow item for employers that needs to be budgeted, funded and managed on an ongoing basis.

The GCC EOSB landscape is developing, and Vestora will continue to monitor developments as new announcements are made across the region.

Is End-of-Service Benefits on your 2026 to 2027 agenda?