UAE ILOE unemployment insurance calculator
UAE unemployment insurance (ILOE) is mandatory for most private sector and federal government employees. The premium is AED 5 a month (plus VAT) for basic salary up to AED 16,000 and AED 10 a month above. It pays 60% of basic salary for up to 3 months per claim, capped at AED 10,000 or AED 20,000 a month. Not subscribing carries an AED 400 fine.
Reviewed by Countify's ACCA/FCCA chartered certified accountants · Updated
- Category
- A: basic up to AED 16,000
- Premium a month (before VAT)
- AED 5.00
- Premium a year
- AED 60.00
- Maximum monthly benefit
- AED 10,000.00
The Involuntary Loss of Employment scheme pays 60% of basic salary (capped) for up to 3 months per claim after 12 months of subscription. The employee pays the premium; employers may choose to cover it.
Results are estimates for general information, not tailored advice.
ILOE premiums
Two categories by basic salary.
| Basic salary | Premium a month (before VAT) | Premium a year | Maximum monthly benefit |
|---|---|---|---|
| AED 8,000 | AED 5.00 | AED 60.00 | AED 10,000.00 |
| AED 16,000 | AED 5.00 | AED 60.00 | AED 10,000.00 |
| AED 25,000 | AED 10.00 | AED 120.00 | AED 20,000.00 |
Premiums can be paid monthly, quarterly, half-yearly or yearly.
Who is covered and who is exempt
Investors who own the business they work in, domestic workers, temporary contract workers, under-18s and retirees receiving a pension who have joined a new job are exempt. A claim needs at least 12 months of continuous subscription and cannot be made after resigning or being dismissed for disciplinary reasons.
Legal basis
We review this calculator whenever the FTA or Ministry of Finance issues a new decision or clarification.
Frequently asked questions
How much is ILOE insurance per month?
AED 5 for basic salary up to AED 16,000 and AED 10 above, plus VAT.
What is the fine for not subscribing to ILOE?
AED 400. Failing to pay premiums for more than 3 months carries a further AED 200 fine.
Payroll and WPS services
We run monthly WPS payroll, track leave and gratuity, and prepare final settlements correctly, so HR questions do not become labour complaints.