HomeGulf News51 lakh 40 thousand people registered for 'unemployment allowance' in the UAE


There is a fine of four hundred dirhams for not submitting the insurance fee (Photo: Emirates Illum).

The Ministry of Manpower and Emiratization has said that ‘the total number of workers and employees involved in the unemployment insurance program has exceeded 51 lakh 40 thousand during 7 months’.
According to Emirates Daily, the implementation of unemployment insurance program has been started from January this year. During the last 24 days, 140 thousand employees and workers have joined it.
The unemployment social insurance system is being implemented on the workers and employees of the public and private institutions of the United Arab Emirates.
Under this, the unemployed worker is given unemployment allowance for three months. Each worker is charged a fixed fee in this regard during the period of employment.
Under the program, whenever a worker is unemployed, he is paid 60 percent of his salary from the accrued fees for three months from the date of unemployment.
According to the Ministry of Manpower and Emiratisation, workers are protected under this system. Participation in this program is the responsibility of the employee, not the employer. There is a fine of four hundred dirhams for not submitting the insurance fee. It will be implemented from October 1.
The ministry says, ‘In case of unemployment, the social insurance system applies to two categories. They are employees whose basic salary is 16 thousand dirhams or less. They have to deposit 5 dirhams every month. The annual insurance fee is AED 60. They are paid a very high monthly salary of up to 10,000 dirhams.
The second category includes those employees whose basic monthly salary is 16,000 dirhams or more, they are charged a monthly insurance fee of 10 dirhams. A total of 120 dirhams is charged per year’.

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