For individuals employed in the UAE, a new end-of-service programme was unveiled. The Ministry of Human Resources & Emiratization has provided news on X, indicating that the plan is currently operational.
"We are pleased to announce today that, in collaboration with the Securities and Commodities Authority (SCA), the Private Sector's Voluntary Alternative End-of-Service Benefits Scheme (Savings Scheme) has come into force," the organisation revealed.
"The Scheme provides investment returns on employees' end-of-service gratuity by investing it in investment funds approved by MoHRE and SCA, which increases ease of doing business and enhances UAE's attractiveness to talents and expertise." HIM Along with HE Ayyoob Al Marzooqi, Acting Assistant Undersecretary for Policy and Strategy Affairs, Khalid Mahmoud, Director of Legal Affairs at SCA, and Saeed Mustafa, a Financial Analysis at SCA, Dr. Abdulrahman Al Awar, Minister of Human Resources and Emiratisarion, spoke to the media.
Employees in the public, private, and all free zones are eligible for the programme. A person becomes entitled to a gratuity after working for their employer for at least one year, and it is an amount provided to them at the conclusion of their employment relationship based on their last basic income. The UAE end-of-service gratuity calculator may be used to determine how much the individual owes.
With three investing alternatives, the new programme gives greater freedom to employees. Three types of investments are planned: a risk-free, capital-preserving investment, a risk-based investment, and a Sharia-compliant investment.
