GPSSA Explains Provisions of New Federal Law No. 57 of 2023

The General Pension and Social Security Authority (GPSSA) explained that the newly introduced Federal Law No. 57 of 2023 regarding pension and social security applies to all Emirati employees first employed on or after 31st October 2023, in federal, government, or private sector entities in Dubai, Ajman, Ras Al Khaimah, Fujairah, and Um Al Quwain, as well as private sector employees in Sharjah.

Emirati employees in Abu Dhabi are covered by the Abu Dhabi Pension Fund, while government employees in Sharjah are covered by the Sharjah Social Security Fund.

The GPSSA's "Know Your Law" campaign clarifies that if an insured Emirati who is currently covered by Federal Law No.7 of 1999 for Pension and Social Security and its amendments, has joined a new employer during or after the 31st October 2023, the provisions of Law No.57 still does not apply.

These individuals will continue to be covered by the provisions of Law No.7. The above also applies to Emiratis who have received their end-of-service gratuity or pensioners in accordance with Law No.7, who continue to be covered by the provisions of Law No.7, even if they decide to return to work after 31st October 2023.

The Authority re-affirmed that all the provisions contained in Federal Decree Law No. (57) of 2023 only apply to newly recruited Emiratis or to those shifting from other pension, given that they meet the required criteria, i.e. they must be a UAE national, must not be less than 18 years old and not more than 60 and should be proven to be medically fit based on an official medical document upon joining an entity.

It is important to note that any amendments such as the insured’s age, which is required to be submitted to the GPSSA upon registration for the first time, can be amended within one year from the registration date, given that proof is submitted that the document has been prepared by a competent UAE-based authority.

A copy of Federal Law No. 57 of 2023 in both English and in Arabic can be accessed on GPSSA’s website under the Laws and Regulations section.

News Source: Emirates News Agency