Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council, approved on Wednesday the launch of the “Savings Scheme for Foreign Employees in the Government of Dubai” to enhance the end-of-service benefits system.
The Scheme will be supervised by the Dubai International Financial Centre in partnership with several international investment firms that provide attractive and safe investment opportunities.
The initiative will also ensure that Dubai remains an attractive career destination that appeals to outstanding talent through an integrated system that offers employees various saving opportunities across financial portfolios that can grow their benefits and savings for the future.
The announcement was made during a meeting of The Executive Council of Dubai held at “Deep Dive Dubai.”
Sheikh Hamdan bin Mohammed the Scheme will guarantee that all government employees and their families will be provided with growth opportunities and a high quality of life, throughout their career and at the end of their service.
The Scheme provides employees with a number of financial benefits, most notably the opportunity to save across different financial portfolios to grow their savings and provide financial sustainability for them and their families.
The Scheme will also protect and manage dues more effectively by depositing them in the Scheme starting from the date of enrolment; hence, it will not include any financial dues from former years of service to which the current legislation applies.
Additionally, employees will be able to choose multiple investment structures including traditional investment funds, and others compatible with Islamic Sharia. Employees who do not wish to invest their benefits will also be provided with options that ensure capital protection.
Sheikh Hamdan directed the formation of a steering committee headed by the General Secretariat of The Executive Council. Members of the committee include the Department of Finance, Dubai Government Human Resources Department, Government of Dubai Legal Affairs Department, Supreme Legislation Committee and Dubai International Financial Centre.
The committee will develop an action plan, set executive procedures, oversee the workflow of the Scheme and achieve its objectives, while studying the possibility of extending the new system to the private sector in Dubai on a voluntary basis, in accordance with the legislation in force and in alignment with relevant federal and local authorities.
The Savings Scheme has been conceptualised after the Dubai International Financial Centre (DIFC) successfully implemented it for employees working within the DIFC in 2020. The Scheme is expected to boost financial liquidity in Dubai in the coming years and enhance the quality of the evolving financial environment in the emirate.
