Employee's Entitlements in the event of Death: Where do they go?
The Ministry of Human Resources and Emiratization (MoHRE) issued a resolution affirming the employer's obligation and adding further rules to be followed concerning the employee's entitlements in the event of his death.
Pursuant to the new resolution (Ministerial Resolution No. 720 of 2023), in the event of an employee's death, the employer shall:
- Submit a request to the MoHRE to cancel the deceased employee's work permit.
- Hand over the deceased employee's entitlements to the family member designated in writing by the employee before his death.
- If such family person was not determined, the employer shall deposit the entitlements in a Trust Account at MoHRE.
If the employer fails to comply with these rules, the Ministry may administratively suspend the establishment file. The suspension remains applicable until the employer presents a proof of payment of the entitlements.
The new rules are applicable and in force as of 22 November 2023 AD.