Abu Dhabi: The General Pension and Social Security Authority (GPSSA) has remarked that private sector employers play a crucial role in the success of the insurance work system at the authority’s level.
According to the GPSSA’s records for October 2022, 7,874 people work in private sector firms and 21,868 contributors have registered with the organization. This does not include the 93 federal entities and 266 government entities registered.
GPSSA has announced that all private sector employers in the UAE are required to register except for companies headquartered in Abu Dhabi.
According to the 7th Federal Law of 1999 for Pension and Social Security and its revisions, the moment an Emirati joins an organization, the same company must make sure that they register them with the GPSSA and contribute each month on the employee’s behalf.
Organizations must register Emirati employees within 30 days of their joining and pay contributions before the middle of the month following the month the employee has joined the company to prevent paying fines arising from a delay in contribution payments.
The GPSSA has urged all companies to make sure that their human resources personnel are educated about the UAE’s pension legislation in order to prevent spending additional fees that may arise from a lack of understanding of the law.
The UAE Pension Authority also encourages companies that approach it to ask for an awareness workshop to comprehend the pension legislation and the helpful services provided to stakeholders and members through the GPSSA website.
Data released for October 2022 shows that there are already 34,740 insured people registered in the federal sector, compared to 29,828 insured contributors in the government sector. In addition, there are 21,868 contributors in the private sector, of which 6,671 are males and 15,197 are females.