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Friday, March 24, 2023

Disclosure of penalties for entities that fail to register UAE employees with GPSSA

Disclosure of penalties for entities that fail to register UAE employees with GPSSA

ABU DHABI – The General Pensions and Social Security Authority (GPSSA) has announced that entities that impose disciplinary action on UAE employees who report being unregistered or not contributing to GPSSA are considered to be in breach of the law and inspection procedures carried out by the Authority.

As part of the “Your Promise Protects You” inspection campaign launched by GPSSA since the beginning of this year, UAE employees have the right to ask the entities they employ for their exact registration and monthly contribution status. This process should not cause any detriment to the insured’s career or future with the entity.

Emiratis who are entitled to make contributions to GPSSA have the right to lodge a complaint if they find that their entity has not registered it within the first month of their employment, as official documents can prove that non-registration and monthly contributions were made .

During this period, GPSSA’s inspectors are allowed to supervise and even support employees who are responsible for implementing required procedures for UAE nationals employed by the entity, such as registration, monthly contributions and termination of service.

Nominated employees representing covered employees at the entity may also request awareness-raising seminars by visiting this service on the GPSSA website. Additionally, GPSSA welcomes any inquiries and comments from entities and insureds through its social networking channels.

An entity’s lack of knowledge about registration, contribution and termination of service regulations does not exempt it from legal consequences, which is why employers need to familiarize themselves with UAE pension laws and commit to registering their employees with GPSSA on time.

If during the inspection it is proven that a particular entity has not registered or paid due fees on behalf of the insured, GPSSA has the right to require the employer to retroactively register the insured and bear the penalty amount for late payment, reaffirming that the entities must be registered as of the date they joined the entity Register its UAE employees within one month and provide GPSSA with a service termination document service within one month of employee termination.

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