Libya Severance Pay & End-of-Service Calculator

Calculate statutory end-of-service indemnity (0.5 to 1.0 month per year), resignation discount tiers, and unfair dismissal damages under Law No. 12 of 2010.

⚖️ بيانات الخدمة وإنهاء العمل (Service & Termination Data)

📊 مستحقات نهاية الخدمة والتعويض (Settlement Breakdown)

البند القانوني (Statutory Item) المعادلة / القاعدة المبلغ (LYD د.ل)

الأسئلة الشائعة والقواعد القانونية (Frequently Asked Questions)

How is end-of-service gratuity calculated in Libya under Labor Law No. 12 of 2010?

Under Article 78 of Libyan Labor Relations Law No. 12 of 2010, employees are entitled to severance indemnity calculated as: half a month salary per year of service for the first five years, and one full month salary per year for each subsequent year of service.

What severance applies if an employee resigns voluntarily in Libya?

If an employee resigns: no indemnity is due for service under 2 years; one-third (33.3%) is payable for service between 2 and 5 years; two-thirds (66.7%) for service between 5 and 10 years; and 100% full gratuity is payable if service exceeds 10 years.

What is the compensation for unfair or arbitrary dismissal (الفصل التعسفي) in Libya?

Under Article 74 of Law No. 12 of 2010, arbitrary termination without legal cause obligates the employer to pay statutory end-of-service gratuity plus judicial damages typically evaluated at 6 to 12 months salary.

Is accrued unused annual leave paid out upon termination in Libya?

Yes. Article 26 guarantees complete cash encashment of accumulated, unused statutory annual leave based on the employee final wage divided by 30 days.

What salary components are included in the severance wage calculation in Libya?

The calculation is based on the employee last received basic wage plus regular fixed allowances (total regular monthly remuneration).

MS

Engr. Muhammad Shahzad

Verified North Africa Statutory Systems Specialist

Chartered Systems Engineer and Fiscal Modeler. Specializing in Libyan statutory labor jurisprudence under Labor Relations Law No. 12 of 2010, Social Security Fund (INAS / صندوق الضمان الاجتماعي) pension mechanics under Law No. 13 of 1980, Income Tax Law No. 7 of 2010 (CIT, PIT, and Jihad tax), Central Bank of Libya (CBL) FX regulations, and Tripoli Real Estate Registry fee structures.

Jurisdiction: State of Libya (دولة ليبيا • LYD د.ل / USD $) • Verified Profile & Credentials