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UAE revolutionizes workforce management with comprehensive approach
The United Arab Emirates (UAE) is making impressive progress on labor rights as it overhauls its workforce management system through a series of comprehensive measures. These measures focus on balancing the rights of employees and the needs of employers to create a harmonious and productive labor environment.
Worker Protection Program: A Shield for Private Sector Employees
The Worker Protection Program is an important initiative that safeguards the interests of 98.8% of private sector workers. Over the past five years, the organization has provided assistance to more than 24,000 workers and disbursed more than Dh202 million on grievances such as unpaid wages. The plan highlights the UAE’s commitment to ensuring fair and equitable treatment of its workforce.
Unemployment Insurance Program: A Safety Net for the Unemployed
The Unemployment Insurance Program has more than 6.7 million subscribers and provides temporary income to unemployed insured individuals. The scheme maintains a decent quality of life for them and their families, providing up to 60% of three months’ average salary to those who have been subscribed for at least one year and are unemployed for non-disciplinary reasons.
“Savings Plan”: a new form of end-of-service gratuity
The UAE has also pioneered the ‘Savings Plan’, an optional alternative to the traditional end-of-service gratuity system. This innovative approach allows remuneration to be invested, thereby increasing employees’ personal savings. The Ministry of Human Resources and Emiratization (MoHRE), in partnership with the Securities and Commodities Authority, is implementing the program, which is expected to reduce labor disputes and attract national and international talent.
“Tawjeeh” and “Midday Work Ban”: Protecting Labor Rights and Health
In addition, MoHRE also runs the ‘Tawjeeh’ program to educate workers about their rights. To protect workers from the effects of the scorching heat, a “midday work ban” was implemented. In 2023, 356 rest stops were established for delivery bike drivers to take refuge from extreme summer temperatures. These measures demonstrate the UAE’s commitment to ensuring the financial and physical health of its workers.
These initiatives have propelled the UAE to the top of the Talent Attractiveness Index and to the top of every indicator in the World Competitiveness Ranking and the Global Innovation Index. The UAE’s labor market reforms provide a model for other countries to follow, demonstrating how a comprehensive approach to workforce management can lead to a prosperous and balanced workforce ecosystem.
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