According to an Insight Media survey on end-of-service benefits (ESBs) in the UAE, commissioned by Equiom, Zurich, and Mercer, 71% of DIFC employees are highly confident of receiving their gratuity payment when leaving their current employer.
The survey was undertaken to gauge the perceptions of the Dubai International Financial Centre (DIFC) Employee Workplace Savings (DEWS) scheme that was launched in February 2020.
The confidence in the DEWS plan is particularly notable when comparing the responses of employees in the DIFC with the responses of employees across the rest of the UAE, whereby only 40% of UAE respondents outside the DIFC said they were aware of how their gratuity worked and what it meant for them. Two-thirds were also confident that they knew how their gratuity worked, as well as what it meant for them financially.
Additionally, around 30% of respondents across the UAE have either only a basic level of awareness about their gratuity or are completely unaware of it. 35% of UAE respondent employees were either ‘not very’ or ‘not at all’ confident about receiving their gratuity payment when the time came for them to leave their employer.
Meanwhile, the survey also highlighted the savings gap between expatriate and other employees in the UAE. For example, 45% of expatriate employees either had no means of maintaining a decent standard of living in their retirement, or were planning to work beyond retirement age to derive sufficient income, while 61% of expats said they had no long-term savings at all.
The outcome of the survey also suggested there is greater scope for DEWS to be used as a benchmark going forward. As the Master Trustee of the DEWS plan, Equiom is well placed to help any forward thinking organisation to arrange a tailored solution designed around the employers’ specific requirements, with the aim of providing security and control with enhanced and flexible employee benefits.
To read the full report and see all the findings from those surveyed, please click here (https://insight-discovery.com/meip-report/)
For further information on how workplace savings plans could work for your organisation, please contact Chris Cain.