UAE job loss insurance: 1 million employees registered under mandatory scheme

UAE job loss insurance: 1 million employees registered under mandatory scheme

Programme offers low-cost employment security that supports career path and living stability of workers in Emirates

Published: Wed 5 Apr 2023, 4:28 PM Last updated: Wed 5 Apr 2023, 4:32 PM

The UAE’s Unemployment Insurance Scheme has exceeded one million subscribers since its launch in January 2023, the Ministry of Human Resources and Emiratisation (MoHRE) has announced.

Employees have to mandatorily subscribe to the scheme by June 30, 2023. Failure to do so will result in a penalty of Dh400.

The scheme covers employees in the federal government and private sectors. It offers a low-cost job security net that supports the career path and living stability of employees in the UAE.

Dr Abdulrahman Al Awar, Minister of Human Resources and Emiratisation, highlighted that the scheme “has had a positive impact on the labour market”. He noted that it is a “driver of growth for the UAE’s economic sectors”.

He called on those that are eligible to subscribe to the Unemployment Insurance Scheme to benefit from coverage, and on employers to encourage their employees to subscribe.

Those exempted from subscribing include investors, owners of facilities in which they work, domestic helpers, employees with a temporary employment contracts, juveniles under 18 years of age, and retirees who receive a