Insurance provide crucial financial support during unemployment period
Abu Dhabi: The Ministry of Human Resources and Emiratisation (MOHRE) has announced that more than 10,500 workers in the UAE have benefited from the Unemployment Insurance policy in 2024, receiving crucial financial support during periods of unemployment.
The initiative marks a significant step toward strengthening social security for workers in both the federal government and private sectors across the country.
Launched as part of a comprehensive social safety net, the Unemployment Insurance System now covers approximately 9 million subscribers. It provides financial compensation amounting to 60% of an individual’s base salary for up to three months, ensuring stability as workers transition to new employment opportunities. The system reflects the UAE government’s ongoing commitment to supporting employees during challenging periods and maintaining economic stability.
Two categories
Category 1: For employees earning a basic salary of Dh16,000 or less, with a monthly subscription fee of Dh5. This category offers a maximum monthly compensation of Dh10,000.
Category 2: For employees earning a basic salary above Dh16,000, with a monthly subscription fee of Dh10. The maximum monthly compensation in this category is Dh20,000.
Who qualifies
To qualify for the compensation, workers must meet several criteria, including a minimum subscription period of 12 consecutive months and no disciplinary termination of employment. Additionally, the total compensation cannot exceed 12 months over the course of an individual’s employment in the UAE labour market.
Exemptions from the system apply to investors, domestic workers, temporary contract employees, individuals under 18, and retirees who have returned to work post-retirement.
According to MoHRE, the program plays a crucial role in building a resilient workforce capable of adapting to economic fluctuations while enhancing job security in the region. The Ministry is also working to ensure efficient compliance and integration of modern technological solutions to streamline access and management of benefits, demonstrating its proactive approach to meeting the evolving needs of the UAE’s diverse workforce.
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