The Prime Minister and Ruler of Dubai announced yesterday a new end-of-service benefits system for employees in the private sector and free zones.

This voluntary initiative will include the establishment of savings and investment funds from the private sector, overseen by the Securities and Commodities Authority in partnership with the Ministry of Human Resources and Emiratization. The aim of the scheme is to protect workers’ savings and ensure safe investment. Its primary objective is to safeguard workers’ savings and ensure secure investment.

The Prime Minister added that during yesterday’s Cabinet session, an alternative end-of-service benefits system was approved. This system will be optional for employers to join and will involve the establishment of savings and investment funds from the private sector. Through this framework, employees have the opportunity to save and invest their end-of-service benefits in various investment avenues.

The overarching goal is to protect employees’ savings, representing their end-of-service benefits accrued during their employment, thereby safeguarding their rights and providing stability for their families. It’s noteworthy that public sector workers will also have the option to partake in this end-of-service program, enabling them to save and invest for their future financial security.