09/12/2020
The UAE’s Wages Protection System (WPS) explained | Living-ask-us – Gulf News
According to MOHRE’s regulations, the employer is considered as late in paying wages if the wage is not paid to the employee
within 10 days from the due date, which is the next day of the end of the salary period.
Failing to abide by the requirements of MOHRE’s WPS can have serious repercussions for companies in
the UAE. According to Ministerial Resolution No. 15 of 2017, these nes apply for actions involving
fraudulent use of the WPS:
• Entry of incorrect data in the WPS for the purposes of evasion or circumvention – Dh5,000 for each
worker and a maximum limit of Dh50,000 in case of multiple workers.
• Failure to pay on due dates through the WPS – Dh1,000 per employee.
• Forcing employees to sign fake pay slips showing that they received their salaries – Dh5,000 per
employee.
Late payment of salaries and non-payment
According to MOHRE’s regulations, the employer is considered as late in paying wages if the wage is
not paid to the employee within 10 days from the due date, which is the next day of the end of the
salary period.
The employer is considered as refusing to pay wages if the wage is not paid to the employee within
one month of the due date.
Penalties on companies failing to pay salaries
On companies employing over 100 workers
Here are the consequences of companies employing over 100 workers failing to pay wages within a
period not exceeding 10 days:
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• They will not be issued work permits starting from the 16th day from the date of delay.
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