GPSSA Records 17,304 New Registrations Following Introduction of Federal Pension Law

The General Pension and Social Security Authority (GPSSA) announced that 17,304 contributors have registered since the announcement of Federal Law No. 57 of 2023 on pension and social security.

The registrations, recorded when the law was introduced on 31st October 2023, including 15,334 from the private sector, 1,444 from the government sector, and 526 from the federal sector.

These figures are part of GPSSA’s “Know Your Law” campaign, which raised awareness about Law No. 57 of 2023. The campaign emphasised that the law applies to first-time employees starting from 31st October 2023, who are required to register and contribute monthly to GPSSA.

Through the campaign, newly insured Emiratis learned about the role of insurance and social security in providing economic stability for themselves and their families. The campaign also addressed risks associated with insurance policies, such as old age, disability, death, and occupational diseases.

Detailed information was provided about the various retirement funds available in the UAE, the sectors they cover, and the rules governing registration and fund merging.

Emiratis employed in federal, government, and private sectors across the UAE, except for government and private sector employees in Abu Dhabi and private sector employees in Sharjah, are covered by GPSSA if they meet age, status, and employment criteria.

The campaign explained the law’s contribution rates, totalling 26%, with the insured bearing 11% and the employer 15%. In the private sector, the government supports Emiratis with contribution account salaries under AED20,000 by covering 2.5% of the contribution rate.

The campaign highlighted that employers must register new employees within 30 days to avoid fines of AED200 per day. Insured members must also pay monthly contributions to avoid late fines of 1.0% of the due contributions per day delayed.

The campaign raised awareness about retirement pension entitlements and explained methods for calculating pension entitlements and end-of-service gratuity percentages.

News Source: Emirates News Agency