DMCC to start new employee protection insurance scheme
DUBAI, May 2, 2020
DMCC, the world’s flagship free zone and Government of Dubai Authority on commodities trade and enterprise, announced that it has signed a master service agreement with Dubai Insurance Company (DIC) to introduce a new employee protection insurance programme for all DMCC and member company employees.
The agreement was signed electronically by both representatives.
The Employee Protection Insurance programme will offer increased protection for member company employees in case their employer defaults on their salaries, end of service benefit or repatriation cost, said a statement from DMCC.
This is in line with DMCC’s ongoing commitment to providing a first-class working environment, it stated.
The new scheme will be mandatory and rolled out across the entire DMCC business district within the month of May, replacing the current “bank guarantee” security deposit of Dh3,000 per employee.
As such, the scheme is set to further boost the ease of doing business in DMCC by significantly reducing the cost of hiring new employees while also allowing companies to access cashflow through refunds of the current security deposits upon renewing each employee’s residence visa.
This comes after DMCC announced a range of stimulus initiatives to support new and existing member companies navigate the current economic climate.
Executive Chairman and CEO Ahmed Bin Sulayem said: "For DMCC and all of our member companies, people are our greatest asset. We feel it is our responsibility to support those who contribute to our success by offering them an enhanced level of protection, particularly in these unprecedented times."
"Simultaneously, this new initiative reduces the cost of doing business for DMCC member companies, aiding the growth and success of all those who call DMCC home," he noted.
Dubai Insurance Company CEO Abdellatif Abuqurah said the company was delighted to partner with DMCC in supporting their 17,000 member companies whilst providing a higher amount of coverage for the 60,000 people that work in the business district.
"Through initiatives such as this, we are set to achieve Dubai’s vision of being the world’s best city to live and work," he added.-TradeArabia News Service
