UAE Unemployment Insurance Scheme and Payouts

If you are an Emirati or an ex-pat, it does not matter. You will have an equal chance of availing of the UAE unemployment insurance scheme, whose subscription will start on January 1, 2023.

This will be a kind of social security cover that you will get if you lose a job.

What is UAE Unemployment Insurance Scheme?

If you are terminated from a job, it will promise financial support for up to three months, according to a report.

United Arab Emirates (UAE) is going to issue a form of social security soon to get subscriptions.

So, you should be ready to become part of the Unemployment Insurance scheme from the new year-January 1, 2023.

Types of Insurance Unemployment scheme and compensation amounts

UAE will grant two types of insurance.

Premiums can be paid on a monthly, quarterly, half-yearly, or annual basis. Premiums for the scheme are paid by the employees themselves, so firms incur no additional costs.

How is pay calculated?

For each claim, cash compensation of up to three months will be provided. The monthly payout is calculated at 60% of the basic salary.

How long will the payment be made?

Employees will be paid for three months or until they find another job, whichever comes first.

When can I expect my compensation?

It will be paid within two weeks of the claim date and is limited to three months.

How do employees make claims?

Claims must be made within 30 days of being laid off through the insurance pool’s:

E-portal – Intelligent application

– Customer service

Is everyone eligible?

They are only eligible if they have worked and paid into the insurance scheme for a minimum of 12 months. They could not have been fired for cause.

Employees who have left the country or taken a new job are not eligible for compensation.

A commission-based employee may also join the scheme.

Which employees are not eligible for the scheme?

Investors are the owners of the businesses where they work.

Domestic servants

Employees on a temporary contract

Children under the age of 18

Retirees who have taken a new job after receiving a retirement pension.

How do employees become subscribers?

Employees can join the insurance pool through the insurance pool’s website, smart application, bank ATMs, kiosk machines, business service centres, money exchange companies, du and Etisalat, SMS, or any other channel determined by the MoHRE.UAE Visit Visa Policy tightened for all countries including Pakistan