The UAE Ministry of Human Resources and Emiratisation has announced that fines will be imposed on those who do not enroll in the unemployment insurance scheme and those who fail to pay installments. The authorities clarified this by informing that 14 percent of the employees who are supposed to join the insurance have not yet joined the scheme. Such employees will be charged fine immediately.
The unemployment insurance scheme was launched in January 2023. The deadline to join the scheme was also in October. Workers who fail to register for the insurance scheme will be fined Dh400. A fine of Dh200 will also be imposed on those who fail to pay the installments on time. Facilitation of checking and payment of fines is provided through the Ministry’s digital platforms or by visiting authorized business service centers.
The ministry has also hinted that punitive measures will be taken against workers who do not pay fines, including denial of new work permits. In such cases, the penalty amount will be deducted from the employee’s salary or post-service benefits. In another notification, the ministry stated that more than 67 lakh workers have already been registered under the insurance scheme.
This includes citizens and residents working in the private sector and the federal government sector. Investors who have their own firm, domestic workers, employees with temporary work permit, children below 18 years of age, those who have received pension after retirement and have joined another job are exempted from joining the scheme. An insurance scheme is a social security system that helps maintain a dignified life in case of job loss.
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2023-12-13 18:38:25
