More than 250,000 subscriptions to Unemployment Insurance Scheme since registration began

The score of subscribers to the unemployment insurance scheme has earned more than 250,000 since the beginning of registration on 1st January 2023. 

The Unemployment Insurance Scheme targets to protect a temporary earning for the unemployed worker at a low major, must he or she lose employment till such time that the worker is capable to get an optional job prospect. 

It is targeted at supporting the worker’s expert path and lifestyle in the United Arab Emirates labor market without applying any extra price to the workers. 

Khalil Khoury, Under-Secretary for Human Resources Affairs at the Ministry of Human Resources Affairs, stated – “The unemployment insurance scheme comes as a portion of the execution of Federal Decree-Law No. 13 of 2022, which forms a vital part of a statutory and lawful framework that the UAE government is eager to evolve to respond to the importance of the country’s economy.”

He called on all employees in the labor market to speed up registration to the scheme, which assures the continuance of an honorable lifestyle for the unemployed workers and their families, and increases a balance within the UAE labor market to be more competitive and appealing to local and international talents, hence improving the country’s status as a perfect location to reside and work. 

The insurance pool, represented by Dubai insurance company, gives 8 channels for registration and subscription to the unemployment insurance scheme, comprising a dedicated website. The smart application of the finance pool, self-service kiosks, exchange centers, businessmen service centers, and smart applications of the banks, or through Du and Etisalat bill payment centers. 

To date, about 88% of subscribers have subscribed through the website, 8% have subscribed through the smart app, and 4% chose to subscribe through the other channels. 

The Unemployment insurance scheme comprises two categories. The first are employees with a common salary of AED 16,000 or less, which allures an insurance premium of AED 5 per month. The maximum monthly payment for the class is AED 10,000. 

The second classification comprises those with a common wage of AED 16,000 or more. The finance premium for this classification is AED 10 per month, AED 120 annually and the maximum monthly payment is AED 20,000. 

All The Details You Need For Unemployment Insurance

The workers can select to pay the premium monthly, quarterly, once every six months, or annually. About 86% of the subscribers have selected an annual payment of the premium while 6% have selected a premium payment once every six months. About 4% of the subscribers have selected the quarterly payment, and the balance of 4% is like the monthly payment choice. 

The insurance scheme is legal for a tenure of 12 straight months from the date of registration, given that the termination/unemployment isn’t for a corrective reason or by resignation. The unemployed will forfeit the privilege to claim the payment must he or they leave the nation or take up a new job. The payment must be spent within two weeks from the date the claim is presented. 

The insurance program pays the unemployed worker for a maximum tenure of three months from the date of his or her unemployment, given that he or she didn’t leave the job or is discharged on punitive grounds. The payment is computed at 60% of the common salary in the previous six months before being laid off. 

The unemployment insurance scheme covers employees in the federal government and private industry. The exempted classifications comprise investors or proprietors of organizations, domestic workers, temporary contract employees, children under 18 years, and retirees who get a pension and or have started a new job. 

Also Read: Global Growth to Slow to 1.7% from 3% in 2023: World Bank

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