Mandatory unemployment insurance scheme launched

Federal Decree-Law 13 of 2022 introduced mandatory unemployment insurance from January 2023. Employees pay AED 5/month (Category 1, basic salary < AED 16,000) or AED 10/month (Category 2, ≥ AED 16,000) for 3-month income protection of up to 60% of basic salary upon involuntary unemployment. Penalty for non-enrolment AED 400 + AED 200/month.