Unemployment Insurance Registration | The United Arab Emirates (UAE) has announced an extension of the registration deadline for the mandatory job loss insurance scheme. The new deadline has been moved from June 30 to October 1, 2023.
All employees working for federal government departments and private sector companies in the UAE are required to enroll in the country’s unemployment insurance scheme. The subscription period for this scheme commenced on January 1, 2023. It is mandatory for employees to subscribe to the scheme by October 01, 2023. Failure to do so will result in a penalty of Dh400.
The collection of fines related to the unemployment insurance scheme is outlined in a ministerial resolution. According to the section on “fines and collection methods,” the resolution states that if workers or employees fail to pay their fines within three months of the due date, the fine amount will be deducted from their wages through the Wage Protection System, end-of-service gratuity, or any other acceptable alternative method approved by the Ministry of Human Resources and Emiratisation.
Additionally, another article in the resolution stipulates that an employee will not be eligible for a new work permit until all outstanding fines are paid within the specified timeframe.
To settle the fines, employees have the option to make payments through various channels including the MOHRE website, mobile app, and approved business service centers designated by the ministry. Additionally, employees can explore the possibility of paying the fines in installments or submitting a waiver request through the same channels.