We propose a critical dissipaive quantum metrology schemes for single parameter estimation which are based on a quantum probe consisting of coherently driven ensemble of spin-1/2 particles under the effect of squeezed, collective spin decay. The collective spin system exhibits a dissipative phase transition between thermal and ferromagnetic phases, which is characterized with nonanalytical behavior of the spin observables. We show that thanks to the dissipative phase transition the sensitivity of the parameter estimation can be significantly enhanced. Furthermore, we show that our steady state is an entangled spin squeezed state which allow to perform parameter estimation with sub shot-noise limited measurement uncertainty.

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