The Ministry of Human Resources and Emiratisation (MoHRE) highlighted “the quick and easy steps” to subscribe to the Unemployment Insurance Scheme, which aims to provide a low-cost job security net that supports the career path and living stability of employees in the UAE at no additional cost to employers.

The Ministry called on eligible employees to subscribe to the program, which was implemented on January 1, 2023.

The Insurance Pool’s website (www.iloe.ae) is the preferred channel for majority of subscribers to date. Other channels available for subscription include the Insurance Pool’s app (ILOE), Kiosks, business service centers, money exchange centers such as Al Ansari, and bank smart apps, as well as SMS and telecom bills.

Subscribing to the scheme online can be done in four steps – visit the website (www.iloe.ae), click on “subscribe here” to access the registration page, select the relevant sector you are employed in; enter your personal identification data, phone number and verification code sent via SMS; choose your preferred payment interval (monthly, quarterly, semi-annual or annual); enter your email address, and move onto the payment gateway to complete registration successfully.

The Unemployment Insurance Scheme covers employees in the federal government sector and the private sector, divided in two categories – the first covering those with a basic salary of AED16,000 or less. The insurance premium for the insured employee in this category is set at AED5 per month (AED60 annually), and monthly compensation is capped at AED10,000 per month. The second category includes those with a basic salary exceeding AED16,000, and the insurance premium is AED10 per month (AED120 annually) with a monthly compensation of up to AED20,000.

The insurance compensation can be claimed as long as the insurer (employee) has subscribed to the Unemployment Insurance Scheme for at least 12 consecutive months. The claim can be submitted within 30 days of job loss and will be processed within two weeks of submission. The insured’s right to compensation is forfeited if he/she cancels their residency and leaves the country, or joins a new job, within the processing period.

The compensation is calculated at the rate of 60% of the average basic salary for the last six months before unemployment and paid for a maximum of three months for each claim from the date of unemployment.

Those exempted from subscribing include investors – the owner of the facility in which he or she works, domestic helpers, employee with a temporary employment contract, juveniles under 18 years of age, and retirees who receives a retirement pension and have joined a new job.