More than 100 UAE employers voluntarily adopt funded end-of-service benefits, Vestora estimates

Vestora publishes its Q3 2026 GCC EOSB Monitor estimating that more than 100 UAE employers have voluntarily joined the UAE EOSB Savings Scheme, based on discussions with approved Scheme providers.

Abu Dhabi · 4 min read

Abu Dhabi, 27 October 2026: - More than 100 employers estimated to have voluntarily joined the UAE End-of-Service Benefits Savings Scheme

• UAE private-sector workforce grew 2.2% in H1 2026, increasing end-of-service obligations and the case for regular funding
• Early adopters are seeking greater alignment of benefits across jurisdictions, improved cost and cash-flow predictability and a stronger employee proposition

Vestora, an independent platform focused on End-of-Service Benefits (EOSB), workplace savings, financial wellbeing and long-term wealth creation, has released the latest edition of its GCC EOSB Monitor, estimating that more than 100 UAE employers have voluntarily joined the UAE EOSB Savings Scheme. The estimate is based on discussions with approved Scheme providers and reflects growing interest among businesses in funded approaches to managing employee benefits.

The voluntary uptake comes as end-of-service benefit obligations continue to accumulate alongside the UAE's expanding private sector workforce, which increased 2.2% in H1 2026, according to the Ministry of Human Resources and Emiratisation’s Labour Market Observatory.

Introduced under Cabinet Resolution No. 96 of 2023, the Scheme provides employers across the UAE private sector and non-financial free zones with a voluntary, funded alternative to the traditional gratuity system. ADGM employers may also offer the Scheme to employees on an opt-in basis. Rather than carrying gratuity obligations on their balance sheets, employers participating in the Scheme make regular contributions on behalf of eligible employees, providing greater visibility and control over EOSB costs while offering employees greater protection of their end-of-service benefits.

Nisha Braganza, Founder and CEO of Vestora, said: “From our discussions with HR and business leaders, we see growing interest among employers in moving towards funded EOSB. But the transition involves decisions about benefits design, cash flow, costs, timing and implementation. Employers need to assess their options, make the case internally, plan how and when to transition, reconcile their employment and salary records, and explain the change to their employees. It is a transition that requires careful planning and coordination across HR, finance and other teams.”

Vestora finds that early adopters are primarily employers seeking to align EOSB benefits across jurisdictions, particularly those operating across mainland UAE, ADGM and DIFC. Similarly, many multinational businesses are seeking consistency with their global benefits practices.

Strengthening the employee proposition is another consideration, with employers monitoring peer adoption and exploring official and secure platforms for EOSB savings. Managing EOSB costs and cash flow is also a priority. A defined-contribution scheme provides greater cost predictability, particularly as salaries increase over time.

Employers are generally approaching the transition gradually, with many enrolling employees in phases to allow HR and Finance teams to manage implementation requirements over time.

The UAE’s voluntary model comes as funded end-of-service benefits continue to develop across the GCC. Bahrain introduced a mandatory funded EOSB scheme for non-Bahraini private-sector employees in March 2024, while Oman is preparing for nationwide implementation of its mandatory Provident Scheme in July 2027. In the UAE, the Scheme remains voluntary, allowing employers to choose when to participate, which employees to enroll, how to treat the accumulated gratuity and select from approved providers and investment options.

As employers assess whether and when to participate, Vestora provides educational resources, market intelligence and digital tools to help employers and employees understand the Scheme and make informed decisions.

Vestora is a First.tech company and part of Judan Financial Holding, IHC’s dedicated financial services platform.

About Vestora:

Vestora is a technology-enabled platform focused on End-of-Service Benefits (EOSB), workplace savings, financial wellbeing and long-term wealth creation. The platform provides educational resources, independent research and digital tools to make complex topics like EOSB easier to understand, simpler to implement and more accessible to employers and employees.

Vestora is a First.tech company and part of Judan Financial Holding, IHC’s dedicated financial services platform.

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Media enquiries: ceooffice@vestora.ae