The government of Dubai has set forth a new end of service savings scheme for expatriates employed in the public sector of Dubai which adds additional importance to the previous scheme of end of service benefits in UAE. The chairman of the Dubai executive council and the crown prince of Dubai, Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, declared this new scheme in an executive council meeting in March 2022. This scheme is basically an addition to the current end of service benefits in UAE. The purpose of this scheme is to facilitate the expatriates working in Dubai and create more doors of opportunity for them.
The new end of service savings scheme is a type of project which will be enacted in different phases. The reason why the scheme involves different stages is that the government wants to assess its outcomes and evaluate its influences on Dubai’s labor market and expat employees.
During these phases, expat employees in Dubai will be offered various investment schemes such as sharia-compliant, etc. If expat employees do not want to invest their savings, the government will provide them with additional options to confirm capital protection for them under this scheme. In this way, the new scheme of end of service benefits in UAE will be helpful for expat employees whether or not they want to invest their savings.
Read More : The New UAE Labor Law: Final Settlement & End of Service Benefits.
Key Features of the New End of Service Savings Scheme
Following are some important features of the recently introduced end of service savings schemes for expats;
- The end of service savings fund scheme has been introduced for the purpose of facilitating expatriate workers in Dubai. It also aims to provide more opportunities to the workers in order to attract global talent to the UAE.
- The new scheme will continuously be evaluated to see its workflow and assess whether or not it is meeting the objective. A committee will perform these tasks based on an action plan. It will be studied whether or not it is possible to extend the new end of service savings scheme to the private sector for which it is currently optional.
- Expat employees will be offered different options and structures for investment according to Sharia law. It will completely be up to the employees whether or not they want to invest their funds. In case of these employees not wanting to invest, the scheme will verify capital protection for the employees.
- This scheme will bring enhancement in the end of service benefits in Dubai to improve it to a great extent.
- According to this scheme, financial dues will start depositing on the plan enrolment date.
- Relevant local and federal entities will take part in studying whether or not the new end of service savings fund scheme can be brought to the private sector.
- The main management of this scheme will be under the Dubai International Financial Centre (DIFC) and certain international investment entities and a committee of trustees will also take part in the management and monitoring of the scheme.
- The government of Dubai guarantees under this scheme that all expat employees along with their families will be able to take advantage of growth opportunities. Expat employees will be able to enjoy a quality life with a successful career. Moreover, they will be paid for their hard work at the end of their service.
- This scheme allows the employees to invest their savings on different platforms so that their savings can grow over time.
- The scheme ensures the complete and effective management and protection of the savings of expat employees starting after the enrollment date.
- The savings of the employees in the former years will not be included as part of this scheme and it will only include savings and funds from the years after the enrollment of the scheme.
Can I Do Calculate End of Service Benefits in UAE?
Yes, it is possible to calculate your end of service benefits on your own. The government of Dubai, UAE has launched a website that provides a gratuity calculator for those employees who want to calculate their end of service gratuity themselves. The calculator is extremely easy to utilize and even a layman can calculate the end of service benefits with the help of this calculator.
Why Choose Our Firm?
If you are an expat employee in any public institute in Dubai and want to learn more about the end of service benefits UAE free zone and the new savings scheme, consult us. When working in a foreign country, it is very important to understand its rules and regulations to assess how the government benefits and facilitates expats.
Seek guidance from our experts and get all of your queries about the new scheme answered. If you want to work in Dubai or UAE, check similar services that we provide i.e., employment visa outsourcing services, payroll services in UAE, PEO service, and much more. All of our services are trustworthy, reliable, and accurate. Client satisfaction is our primary objective.
Read More : What is involved in Payroll Outsourcing Services in Dubai.
