MOHRE: Nearly 18,000 workers received payouts through UAE unemployment insurance scheme

The Ministry of Human Resources and Emiratization (MOHRE) announced that the percentage of workers covered by the unemployment insurance scheme has risen to 88.38% of the total targeted private-sector workforce, confirming that the system has supported 17,758 workers, who received financial compensation during their unemployment period since the scheme became effective in January 2023.

According to the latest statistics published by the Ministry on its official website, more than 32,000 workers have benefited from the Worker Protection Insurance Programme over the past five years. These benefits covered claims related to unpaid wages, unpaid end-of-service benefits, and other legal entitlements.

Average paid entitlements: Dh9,000 per worker, with some exceeding Dh20,000

 The Ministry stated that the average settlement per worker exceeded Dh9,000, while some cases reached Dh20,000. The total amount disbursed to workers over the past five years exceeded Dh289 million.

In another aspect of the worker-protection ecosystem, the Ministry revealed that more than 2,500 companies are now registered under the Labour Accommodation System, which aims to enhance employer awareness of the requirements and standards of adequate worker housing that ensures the comfort and well-being of residents.

Data further shows that around 1.9 million workers are benefiting from the highest standards of comfort, health, and safety in their accommodations, where employers are required to provide continuous access to safe drinking water, essential room and bathroom supplies, and other basic needs.

The Ministry also reported 292 violations recorded in labour accommodations between January and June 2025, affirming that such facilities must fully comply with standards relating to health, comfort, cleanliness, safety, ventilation and cooling systems, and sanitation, to guarantee a healthy and safe living environment for workers.

MOHRE emphasized that, as part of the UAE’s efforts to safeguard labour rights, the Worker Protection Programme stands as one of the key initiatives aimed at establishing a safe and stable work environment. The programme secures all financial entitlements for private-sector workers—including unpaid wages—and provides an effective protection network that now covers about 99% of the workforce across all economic sectors.

These efforts align with the UAE’s vision of creating a sustainable labour ecosystem that balances rights and obligations, strengthens national economic competitiveness, and ensures a decent living and safe work environment for millions of private-sector workers.

Employees insured against unemployment in the private sector are those enrolled in the Involuntary Loss of Employment (ILOE) scheme, which provides temporary financial compensation equivalent to 60% of the basic salary in the event of job loss for non-disciplinary reasons, provided that conditions such as a minimum 12-month subscription period and application within 30 days are met.

The system is mandatory for the private sector, excluding categories such as domestic workers, investors, temporary-contract workers, and others. Penalties apply for non-compliance.

Eligible categories

Eligibility requirements in the UAE

Compensation amount

Category 1

Category 2

Excluded categories

Pursuant to Federal Decree-Law No. 13 of 2022 concerning unemployment insurance, this pioneering system provides financial security to employees who lose their jobs until they transition to new employment, provided that the job loss is not disciplinary and not due to resignation.

Eligible employees may receive a monthly cash compensation of 60% of their average basic salary for the six months preceding unemployment, for a maximum of three months per claim, provided they have completed at least 12 consecutive months of subscription.

Compensation is calculated at 60% of the basic salary, based on the average of the last six months before unemployment.

Category 1

Category 2

Total compensation cannot exceed 12 months cumulatively during the worker’s entire employment period in the UAE, regardless of the number of claims submitted.