Dubai: Employers have the option to enrol their employees in the new unemployment insurance scheme, but they will not pay for the subscription.
As per Federal Decree-Law No. 13 of 2022 and its resolutions, it is mandatory for all employees in the UAE's federal and private sectors to sign up for the unemployment insurance scheme before the June 30 deadline to avoid fines.
However, according to the Involuntary Loss of Employment (ILOE) scheme call centre – 600 599 555, an employer can only sign up their employees for the insurance policy if there is a mutual agreement between the parties. The cost of the insurance, however, needs to be borne by the employee, as per the law.
The new mandatory insurance policy provides security for employees who lose their jobs due to reasons beyond their control.
How do companies register their employees for the unemployment insurance scheme?
The official ILOE website – iloe.ae – provides employers with a separate sign in portal, which they can use to enroll their employees in the insurance.
To use the service, follow these steps:
1. Visit the website - www.iloe.ae – and click on ‘Subscribe. You will then be redirected to the log in page, where you will see two options:
- Individual
- Company
2. Select the company log in option. You will then be asked to enter your establishment card number and personal number printed on the company's e-signature card. The company’s Human Resource's (HR) department, administration office or Public Relation Officer (PRO) usually have the establishment card and e-signature card details.
3. Once you have logged in using your establishment details, you will then be able to sign up the company’s employees for the scheme.
How does a worker know they are enrolled in the scheme?
Once the registration is complete, the worker will have to pay an insurance premium depending on their category. The payment can be made by the employee monthly, quarterly, half-yearly, or on an annual basis. The value of the insurance policy is subject to value-added tax (VAT). After finalising the payment, the employee will receive the certificate of insurance. This certificate is proof that the employee is subscribed to the scheme. The certificate also states that it is the employee’s responsibility to ensure that the insurance instalments are paid on time.
