Within a month from the date of termination of service

“Pensions” invites employers to provide them with the insured’s end of service file

The law allows the insured to combine a pension and a reward if he spent a contribution period of more than 35 years.

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The General Pension and Social Security Authority called on employers in the public and private sectors to provide them with the files of the end of service of the insured within a month at most from the date of the end of their service, to settle their insurance rights, based on Article 12 of Federal Law No. 7 of 1999 for Pensions and Social Security and its amendments.

Hind Al-Suwaidi, Director of the Insurance Benefits Department at the Authority, said: “The files of the insured’s end of service in normal cases reach the Authority in three forms: a file whose owner is not entitled to any reward, and he is the person with a service period of less than one year, and a file whose owner deserves an end of service gratuity, which is the insured The one who has spent a period of service exceeding one year up to 19 years and 11 months, and a file whose owner is entitled to a pension, and he who has spent a service period exceeding 19 years and 11 months and an additional day, where the extra day becomes in law a full month, which makes him entitled to a pension for a period of 20 year of service.

She indicated that the authority motivates the insured to complete a year in service so that they can obtain a reward for it, noting that the authority's data for the month of May 2022 indicates that the number of service ends amounted to 361 cases, including 79 cases for a service period of less than one year.

And she added: “The period of less than a year, although the insured is not entitled to a reward for it, but he was fully protected during that period by insurance, so that, if God forbid, he was exposed to risks such as disability or death, or was exposed to any of the work injuries or occupational diseases, And it impeded his ability to continue working. A pension is paid to him or to his family in the event of death based on the reason for the end of service, in accordance with the rules and provisions.

She explained that the law allows the insured to combine a pension and a bonus, if he spent a period of subscription with the authority in excess of 35 years, in which case he is entitled to a bonus of three months from the pension calculation salary "pension salary" upon completion of each year.

The Director of the Insurance Benefits Department indicated that the disbursement of insurance benefits, whether it is a retirement pension or an end-of-service benefit, depends on two basic elements, the first is the salary of the subscription account, and the second is the service period of the insured covered by the provisions of the law (actual, including the combination of the previous service period and the legal service period). As the length of service increases and the value of the contribution account salary increases, the value of the pension increases upon retirement.

The law states that the insured may not be deprived of the end-of-service gratuity unless his service ends by a disciplinary decision, in which case only a quarter of the award will be deducted from him, and it is not permissible to deduct it or seize it except in fulfillment of an adjudged alimony, or to pay what is required of the insurer In all cases, the amount deducted in these cases may not exceed a quarter of the reward, and if he has accumulated debts that exceed a quarter of the reward, the priority of payment is for the alimony debt, which may be Legal alimony for the wife, children or parents.

Al-Suwaidi said: “The pension or the award is prohibited, according to the law, the pensioner or the insured person whose nationality is forfeited or withdrawn from him, and upon his death, the beneficiaries will be paid their full shares if they have the nationality of the state, but if the nationality is withdrawn from them, or they do not enjoy it. Basically, half of the benefits are paid to them, and they are distributed among them in accordance with the provisions of the law.

The end-of-service gratuity is calculated at the rate of one and a half months’ salary from the average contribution calculation salary for each of the insured’s first five years of subscription, two months’ salary for each year of the following five years of subscription, and three months for more than 10 years.

• 361 cases of termination of service for the month of May 2022, including 79 cases for a service period of less than one year.

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