🇲🇻 Maldives Employment Act & Labour Relations Authority

Maldives Severance & Redundancy Pay Calculator

Calculate statutory notice pay period compensation, service tenure redundancy settlements, and untaken annual leave encashment under Maldives Employment Act (Law No. 2/2008).

⚡ Termination Tenure Presets

Service & Compensation Data

Total Final Settlement Payout
MVR 88,000.00
Includes 1 Month Statutory Notice Pay

Statutory Entitlement Breakdown

Statutory Notice Pay in LieuMVR 20,000.00
Redundancy Severance Pay (3 yrs)MVR 60,000.00
Untaken Leave Encashment (12 days)MVR 8,000.00
Total Statutory ClearanceMVR 88,000.00

Frequently Asked Questions

What is the statutory notice period for termination in the Maldives? ▼
Under Section 23 of the Employment Act, minimum statutory notice periods are: continuous employment under 1 year requires 2 weeks notice; 1 to 5 years requires 1 month notice; and over 5 years requires 2 months notice.
Can an employer make payment in lieu of notice in Maldives? ▼
Yes, an employer may terminate employment immediately by paying the employee full wages equivalent to the mandatory statutory notice period.
How is redundancy severance pay calculated in the Maldives? ▼
When an employee is made redundant due to business restructuring or downsizing, fair compensation is assessed based on length of continuous service, typically equivalent to 1 month basic salary per completed year of service.
Must untaken annual leave be settled upon termination? ▼
Yes, employers must pay cash encashment for all accrued untaken statutory annual leave days at the employee's normal daily wage rate.
What remedies exist for unfair dismissal under the Employment Act? ▼
Dismissed employees may file a grievance with the Employment Tribunal of Maldives, which has legal authority to order reinstatement or award punitive financial compensation.