All you need to know about mandatory UAE’s Unemployment Insurance Scheme

All you need to know about mandatory UAE’s Unemployment Insurance Scheme

Dubai: With less than 43 days left for UAE employees to subscribe to the country’s mandatory Unemployment Insurance Scheme, the Ministry of Human Resources and Emiratisation (MoHRE) has called on all eligible employees to register for the scheme that offers low-cost job security net. The insurance scheme also known as “Involuntary Loss of Employment (ILOE)” scheme came into force from January 1, 2023. Eligible categories of employees need to pay up to only Dh120 to get up to Dh20,000 monthly financial compensations for up to three months until they find a new job, if they lose their job due to reasons other than disciplinary action or resignation. Eligible employees must sign up for the scheme by June 30, failing which they will be fined Dh400. While the scheme was earlier available to expatriates and Emiratis working full-time in the UAE’s federal and private sectors, on May 3, Dubai Insurance, the company that manages the ILOE Insurance Pool, posted on its official social media accounts that Freezone employees and semi-government entities can now avail of the insurance scheme, too. Those exempted from subscribing include investors — the owner of the facility in which he or she works, domestic helpers, employees with