UAE Unemployment Insurance: If you have recently lost your job, you must submit the insurance claim within 30 days of job loss via the ILOE website ( Picture used for illustrative purposes. Image Credit: Virendra Saklani/Gulf News

Dubai: Are you worried about losing your job in the UAE? Since January 2024, some workers are eligible for a three-month cash benefit if they become unemployed.

Launched in January 2023, the Involuntary Loss of Employment (ILOE) scheme provides a safety net for eligible employees who lose their jobs. However, navigating the eligibility criteria and claim process can be a little confusing.

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To understand the qualification process for the job loss compensation, Gulf News spoke to Dana Kansou, the manager of distribution and strategic partnerships at Dubai Insurance, which operates the UAE’s job loss insurance scheme.

I lost my job in December, am I eligible to get compensation?

One of the main conditions for claiming the insurance is to be subscribed to the ILOE scheme for 12 consecutive months. So, if you subscribed to ILOE insurance since January 2023, you would be eligible for it now. Workers who lost their jobs in December 2023 did not complete the 12 months consecutive period subscription since the scheme was launched on January 1, 2023, Kansou told Gulf News.

“As of January 2024, employees can start claiming, subject to the full completion of the 12 consecutive months’ subscription. Thus, the loss of employment date should be subsequent to the 12 consecutive months of subscription date completion,” she said.

I’m leaving the UAE - can I still get the compensation?

As per the ILOE policy terms and conditions, “…the insured must be legally a resident in the country,” to receive the cash compensation. However, once the work permit is cancelled, the residence visa is also cancelled for most expatriate workers, who are sponsored by their employers. Does that mean that you cannot claim compensation if you leave the UAE?

To clear this confusion, Kasou highlighted all the options available to people to continue staying in the UAE legally, in order to be eligible for the compensation.

“Usually expatriate workers will have a grace period between 30 days and six months to leave the UAE, depending on their skills and work. Also, you can go for a tourist or visit visa,” she said.

Usually expatriate workers will have a grace period between 30 days and six months to leave the UAE, depending on their skills and work. Also, you can go for a tourist or visit visa

- Dana Kansou, manger of distribution and strategic partnerships in Dubai Insurance

Job change no problem: Keep your ILOE coverage active

“The ILOE is not linked to one single job or employer during the policy period,” Kansou said.

If a person is fired more than once in a year from different jobs, can they still claim compensation?

“For example, if you lose your first job and find a job after one month, then you already collected one month of compensation and another two months will be remaining for the next job loss,” she said.


Salary increase? Get more out of your job loss protection

ILOE provides workers with 60 per cent of their basic salary as payout. But after subscribing to the scheme, if your salary increases, can you negotiate for higher premiums?

“If you were subscribed under Category A (basic salary below Dh16,000) and then during the policy period your basic salary got increased to above Dh16,000 you can request from the ILOE call centre to upgrade, and pay the additional premium based on the new category,” she said.

Leaving job stock
UAE Job Loss Insurance: The three-month cash compensation provides security for employees who have lost their jobs due to reasons other than disciplinary action or resignation until they find a new job. Image Credit: Shutterstock

Commission-based workers: Here's how ILOE applies to you

“The eligible employees will be compensated with a monthly cash benefit up to 60 per cent of their average basic salaries of the six months before loss of employment up to Dh10,000 per month for category A, and up to Dh20,000 per month for category B. So, if the commissions are mentioned clearly in the labour contract as part of the basic salary, then the compensation will be calculated as mentioned above,” Kansou clarified.

Quick Guide: Who qualifies for UAE job loss compensation?

• Workers who subscribed to ILOE 12 months ago (as of January 2024).
• Legal resident in the UAE with a valid visa (even during the grace period after job loss).
• Lost their job involuntarily, not due to resignation or disciplinary action.

There are also other conditions that you need to meet to qualify for the compensation. Click here for the complete details.

How much cash can you get? Unveiling the ILOE payout

Up to 60 per cent of your average basic salary over the past six months, capped at Dh10,000 (Category A) or Dh20,000 (Category B).

How to claim ILOE benefits:

• Submit your claim within 30 days of job loss through the ILOE website (
• No documents needed initially, but may be requested later.
• Choose bank transfer or cash payout through authorised money exchange houses.

For a detailed guide on how to submit a claim read our guide here.

Get paid fast: How long does it take to receive ILOE cash

Once you have submitted the claim, the licenced service providers are required to make the payment within two weeks.

Beyond ILOE: Workers Protection Programme (WPP) for additional support

Recently, the ILOE website –, also announced that companies have to make sure that their workers are subscribed to the Workers Protection Programme (WPP). Only after an employee has been subscribed to WPP, can he or she subscribe to ILOE. But why were the two linked? According to Kansou, it is because both the schemes are ultimately for the betterment of workers in the UAE.

While WPP is paid for by companies, the cost of the ILOE subscription has to be borne by the employee.

“WPP and ILOE are two initiatives from the Ministry of Human Resources and Emiratisation (MOHRE). Both insurance schemes are for the betterment of the worker. With regards to WPP, in case of any financial failure by the employer with regards to unpaid salaries, end of service benefits, repatriation or return tickets, the plan will cover it, based on the orders by the court or MOHRE. For ILOE, in case you lose your job for any reason other than resignation or disciplinary actions while meeting the policy terms and conditions, you will be eligible for compensation,” Kansou stated.

What is the Workers Protection Program (WPP)?
In 2018, the UAE Cabinet abolished the mandatory bank guarantee for the recruitment and employment of labour and replaced it with WPP, a low-cost insurance scheme. Insurance Pool, under the supervision of MOHRE, launched the scheme on October 18, as an alternative to the bank guarantee, to insure the rights of workers registered with MOHRE.

The Insurance Pool is the legal entity responsible for providing insurance coverage to the workers insured under the UAE’s Workers Protection Program (WPP).