ABU DHABI, 30th December, 2022 (WAM) — A local English-language daily has commended the UAE leadership's full-frontal priority to the welfare of its people. The UAE’s social welfare programme caters for the needs of widows, divorced women, the differently-abled, the elderly, and orphans, among other categories.
Now, in a major development, the Ministry of Human Resources and Emiratisation (MoHRE) has announced that the subscription to the Unemployment Insurance Scheme will start on 1st January, 2023. In this regard, it has urged UAE nationals and residents who work in the federal government and private sector to subscribe.
"The scheme creates a low-cost job safety net that supports employees in their professional journey, providing them with career stability with no cost on employers,” Gulf Today said in an editorial on Friday.
“It mainly comes as a blessing for those whose services have been terminated (except for disciplinary reasons or resignation). They will get a maximum three-month cash compensation,” the paper added.
It is reassuring to note that the monthly fees are very low. The subscription fees depend on the employee’s basic salary. The first category is those with a basic salary of AED16,000 or less; their subscription fee is AED5 per month (AED60 annually), whereas the second category is those with a basic salary exceeding AED16,000; their subscription fee is AED10 per month (AED120 annually).
The insurance fees can be paid monthly, quarterly, once every six months, or annually. The insurance compensation is calculated at a rate of 60 percent of the employee’s basic salary in the last six months prior to his or her unemployment.
The insured must be subscribed for at least 12 consecutive months to be eligible for a cash compensation. However, they would lose the right to claim the compensation should they leave the country or take up a new job.
Earlier this year, President His Highness Sheikh Mohamed bin Zayed Al Nahyan directed the restructuring of the Social Welfare Programme of low-income citizens into an integrated programme worth AED28 billion instead of AED14 billion.
The move aimed at raising the annual social support allocation from AED2.7 billion to AED5 billion.
It continued, “The directive of President His Highness Sheikh Mohamed embodies his keenness to support low-income Emirati families to ensure family and social stability and provide the citizens with a decent life.”
The programme also covers financial support for housing and other basic needs such as food, water, electricity and fuel, in addition to temporary financial support for unemployed job seekers, and unemployed citizens over the age of 45.
Recently, in his capacity as the Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, approved the Government of Dubai’s general budget for the fiscal cycle of 2023-2025, with a total expenditure of AED205 billion.
In its 2023 budget, Dubai continues to focus on social services and the development of the health, education and culture sectors. The budget also places a high priority on the housing sector through Dubai’s Housing Programme as part of a plan for the next 20 years. The budget is also focused on developing the social benefits fund to support families, people of determination and people with limited income.
“It all proves the sincerity and earnestness of the leadership to see that its people do not lack anything where basic necessities are concerned. Unlike some other countries where there is a big gap between rhetoric and actual implementation, the government here makes it a point to make care and concern for all uppermost on its agenda,” the newspaper stated.
The Sharjah-based daily concluded by quoting His Highness Sheikh Mohamed bin Zayed in his message on the 51st UAE National Day: “The people of the United Arab Emirates remain to be our top priority. As a nation, we will always continue to create an environment for creativity, innovation, and growth, where all people who call the UAE home, can realise their full potential.”