UAE job-loss insurance: the AED 5 or AED 10 premium and the 60% payout for 3 months
Estimates only, not financial advice. What you type stays on your device. Checked against sources on 17 Oct 2026.The UAE unemployment insurance (ILOE) costs AED 5 a month on a basic salary up to AED 16,000 and AED 10 above it. After 12 months of cover, a worker who loses the job for reasons other than resignation gets 60% of the basic salary for 3 months, at most AED 10,000 or AED 20,000 a month.
2026 · Rates and rules read from The Official Portal of the UAE Government: Insurance against job loss on 17 Oct 2026; they may have changed since.
Type your monthly basic salary from the contract.
Enter how many months you have been subscribed without a break.
Choose how the job ended: by the employer, by resignation or by a disciplinary dismissal.
Read your premium and the compensation a month for up to 3 months.
This calculator works out the premium and the compensation of the UAE's Unemployment Insurance Scheme, also called Involuntary Loss of Employment (ILOE), from the rules on the UAE Government portal. The scheme was set up by Federal Decree-Law No. 13 of 2022 and covers employees in the private sector and the federal government.
The premium. Workers in the first category, with a basic salary under AED 16,000, pay no more than AED 5 a month. The second category, above AED 16,000, pays no more than AED 10 a month. That is AED 60 or AED 120 a year. The portal leaves exactly AED 16,000 open; the calculator places it in the first category and says so.
The payout. An eligible worker gets 60% of the subscription salary, the basic salary, for up to 3 months. The first category is capped at AED 10,000 a month and the second at AED 20,000, so the cap only bites above a basic salary of about AED 33,333.
Who qualifies. At least 12 continuous months of subscription with every premium paid; the job lost for reasons other than resignation; no dismissal for disciplinary reasons; a claim within 30 days of the job ending; and being in the country. Payment stops when a new job starts.
A worked example. A basic salary of AED 12,000 is in the first category: AED 5 a month in premium. After 18 months of cover, a worker whose employer ends the job gets 60% × 12,000 = AED 7,200 a month, AED 21,600 over 3 months.
Fines. Not subscribing costs AED 400, and so does not paying the premiums.
Not included. Commission-only pay, part payments when a new job starts and the groups the scheme leaves out: investors, domestic workers, temporary contracts, workers under 18 and Emirati retirees.
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No more than AED 5 a month for a basic salary under AED 16,000, the first category, and no more than AED 10 a month above AED 16,000, the second category. Over a year that is AED 60 or AED 120. Workers paid only by commission may choose either category.
Sixty per cent of your basic salary for up to 3 months, capped at AED 10,000 a month in the first category and AED 20,000 in the second. A basic salary of AED 12,000 gives AED 7,200 a month, or AED 21,600 over the 3 months.
No. The scheme pays only when the insured person proves the job ended for reasons other than resignation, and a dismissal for disciplinary reasons under the labour law is excluded as well. A job ended by the employer, after 12 months of cover, qualifies.
At least 12 continuous months, with every premium paid on schedule. The claim goes to the insurer within 30 days of the end of the employment relationship or of the labour dispute, and the insurer pays within two weeks of the claim when it is accepted.
A worker who does not subscribe to the scheme is fined AED 400, and a worker who subscribes but does not pay the premiums is also fined AED 400. Subscription is compulsory for employees in the private sector and the federal government, with a few listed exceptions.
Investors who own the establishment where they work, domestic workers, employees on temporary contracts, juveniles under 18, and Emirati citizens who have met the conditions for retirement or who draw a pension and have taken a new job are excluded from the scheme.
Rates and rules change; check the source before you rely on a figure.
Still stuck? Ask about UAE Unemployment Insurance (ILOE) Calculator and anybody who knows can answer. No account needed.
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