x Abu Dhabi, UAETuesday 23 January 2018

UAE considers expat pension fund

Establishing a pension fund for expatriate workers so the Government can guarantee they receive their end-of-service benefits is being discussed.

Representatives of the UAE and the ILO have also discussed the establishment of a pension fund for expatriate workers so that the Government can guarantee that workers receive end-of-service benefits. 

"The employer would have to pay regularly to a fund supervised by a Government entity," said Maurizio Bussi, the deputy regional director for Arab States at the International Labour Organization (ILO).

"This especially indicates that the UAE is not looking for short-term labour contracts," said Azeem Ibrahim, an economic adviser to the government of Pakistan. "This sends a message that their contributions will be valued." 

Nasser Munder, the Filipino labour attaché in Abu Dhabi, said a pension fund for the expatriate workforce would guarantee that workers receive their end-of-service benefits from their employers.

"Workers have said they often find it difficult to get their full and final settlement from their employers at the end of their contract," he said. 

- Suryatapa Bhattacharya and Ramona Ruiz