Picture for illustrative purposes only. ARCHIVE

The UAE’s Involuntary Loss of Employment (ILOE) scheme is gaining renewed attention as residents seek financial security during uncertain times. Introduced under the Federal Decree Law of 2022, the scheme is designed to support employees who lose their jobs for reasons beyond their control, helping them stay afloat while searching for new work. The programme, implemented in coordination with the Ministry of Human Resources and Emiratisation (MOHRE), offers temporary financial assistance to eligible workers in both the private and federal government sectors. At its core, ILOE works like an insurance system. Employees pay a small monthly premium, and in return, they receive compensation if they lose their job involuntarily. Eligible workers can receive up to 60 percent of their average basic salary (based on the last six months before job loss), for a maximum of three months per claim. The benefit is capped at Dh10,000 per month for employees earning Dh16,000 or less, and up to Dh20,000 for those earning above that threshold. The scheme is managed by a pool of insurance providers led by Dubai Insurance Company. Officials say the programme is part of broader efforts to strengthen labour market stability and provide a safety net for workers. However, not everyone qualifies, and understanding the rules can make a big difference when it comes to claiming benefits.

ILOE explained: your questions answered

What is ILOE? ILOE stands for Involuntary Loss of Employment. It is a UAE unemployment insurance scheme that provides temporary income support if you lose your job for reasons beyond your control. Who can apply? You are eligible if you: - Work in the private or federal government sector - Have paid your insurance premium for at least 12 consecutive months - Lost your job for reasons other than resignation or disciplinary action - Are legally residing in the UAE Who is NOT eligible? You cannot claim job loss insurance if: - You resigned voluntarily - You were dismissed for disciplinary reasons - Your claim involves fraud or false information - Your job loss is linked to strikes or illegal work stoppages - Your job loss is due to major events such as military war or civil war, riots, terrorism, nuclear occurrences, or national emergencies, depending on government declarations. - Your job loss is due to the UAE confiscating the assets of your employer due to insolvency How much will I receive? You can receive up to 60 percent of your average basic salary (last 6 months), and a maximum of 3 months per claim. The claim is capped at: Dh10,000 per month (salary Dh16,000 or below) Dh20,000 per month (salary above Dh16,000) How much does it cost? The monthly premium is low: Dh5 per month if your salary is Dh16,000 or less Dh10 per month if your salary is above Dh16,000 How do I claim? You must submit your claim within 30 days of losing your job and provide documents such as your termination letter. Apply through approved channels (website, app, or service centres).  If approved, payment is usually made within two weeks. How long do I need to subscribe before I can claim? You must be enrolled for at least 12 continuous months before becoming eligible. Missing payments for more than three months can cancel your coverage. Where can I subscribe or pay? You can register or pay through: - Online platforms and mobile apps - Banks and ATMs - Exchange houses - Telecom billing (du and Etisalat) - SMS services Who manages the scheme? The scheme is administered by Dubai Insurance Company along with other insurers in a government-approved pool. Who do I contact for help? For questions or claims: Call: 600599555 Email: ILOEHELP@ILOE.AE Why this matters now With ongoing global and regional uncertainties, job security is a growing concern for many residents. The ILOE scheme offers a financial cushion, helping workers manage expenses while searching for new opportunities. Authorities continue to remind employees to stay subscribed and up to date with payments to ensure they remain covered when they need it most. CAM/ICA/Expat Media
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