New Pension Disbursement Conditions For Emiratis Defined By GPSSA Under Law No. 57 Of 2023

The General Pension and Social Security Authority (GPSSA) has recently made clarifications regarding the conditions under which Emiratis can retire and be eligible for pension benefits. This announcement is part of the "Know Your Law" campaign, aimed at educating the public about their rights and obligations under the UAE's pension laws.

According to the GPSSA, the new regulations outlined in Article 13 of Law No. 57 of 2023, which came into effect on 31st October 2023, apply exclusively to Emiratis who commenced their employment after this date. Those who were employed before this date continue to be governed by the provisions of the previous Law No. 7 of 1999.

The authority detailed several scenarios in which pensions would be disbursed. Notably, pensions are granted upon the termination of an insured individual's employment due to death, total disability, or a health-related incident that occurs during working hours. In such cases, pensions are paid either to the pensioner if still alive or to their heirs, pending verification by an official medical committee.

Furthermore, individuals are entitled to a pension after 15 years of service. Those who have not reached this service length are instead eligible for an end-of-service gratuity. The GPSSA encourages Emiratis to aim for over 15 years of employment to secure a pension that can support their families.

Under specific conditions, such as receiving a disciplinary decision or judicial dismissal ruling, pensions are also disbursed provided the individual has contributed for 30 years and reached the age of 55. Similarly, insured females, regardless of their marital status, qualify for a pension after 30 years of contributions and upon reaching 55 years of age.

The law also accommodates mothers by offering reduced minimum contribution years and pension entitlement age. For instance, for each of the fifth and sixth child, there's a reduction of two years in the contribution period (28 years) and three years in age (52 years). For a mother with a seventh child, these reductions are three and a half years for the contribution period (26.5 years) and four years in age (51 years).

Finally, it's stipulated that pensions will be disbursed at the end of an insured employee's tenure, with the relevant emirate's government treasury covering the amount following a Council Decision on cost calculation methods.

This comprehensive overview by the GPSSA underlines the UAE's commitment to ensuring its citizens are well-informed about their pension rights and obligations, reflecting a broader strategy to provide social security and financial stability to its workforce.

With inputs from WAM