[UAE] New rule for public sector paydays

In the UAE, a new rule which will change when private sector salaries are paid across the country will soon be introduced. From June 1, private sector salaries must be paid on the first day of each Gregorian calendar month, Time Out reports.

The Ministry of Emiratisation and Human Resources (MoHRE) has updated the law related to the Wage Protection System and established a new unified due date for the payment of workers’ wages in private sector establishments.

From the start of June, companies registered with MoHRE must reportedly pay employees their entitled wage for the preceding month of work by the first of the following month. Under the new rule, payments made after the first of the Gregorian month will be considered late.

Establishments will be required to submit documents and data to prove that they have paid the wages of workers, in accordance with Ministerial Resolution No. (0340) of 2026 (issued on May 12).

According to MoHRE, it will deem a company to have complied with the new rule if no less than 85 per cent of the total wages due to its workers have been paid.

It stated that workers will not be deemed as not having received their wage if they receive no less than 85 per cent of their entitled wage value, as long as the difference comes from an established lawful deduction.

The rule reportedly outlines establishments that are exempt from the Wage Protection System, so payday isn’t changing for everyone.

Exemptions include foreign workers employed by foreign establishments or their branches within the UAE, who receive their wages outside the UAE, based on a request submitted by the establishment and after the approval of the workers.

In addition, banks, financial institutions and places of worship will be exempt from the rule. Fishing boats and public taxis owned by individual citizens are also exempt.

The rule states that workers with absconding reports against them and those with an active labour claim related to wages will be exempt from the WPS. Workers on approved unpaid leave and those who are unable to work due to an order or judgment are also not included in the system.

Seafarers working on ships are not included based on a request submitted by the establishment and in accordance with the ministry’s decision.

The resolution removes the 15-day grace period for delayed payments by private firms. In its place, it outlines a series of measures and sanctions for companies and owners of establishments, scaling from the second day of non-payment to the 21st.

Any failure to comply could reportedly result in public prosecution and travel bans for those in charge.

Source: Time Out

(Link via original reporting)

In the UAE, a new rule which will change when private sector salaries are paid across the country will soon be introduced. From June 1, private sector salaries must be paid on the first day of each Gregorian calendar month, Time Out reports.

The Ministry of Emiratisation and Human Resources (MoHRE) has updated the law related to the Wage Protection System and established a new unified due date for the payment of workers’ wages in private sector establishments.

From the start of June, companies registered with MoHRE must reportedly pay employees their entitled wage for the preceding month of work by the first of the following month. Under the new rule, payments made after the first of the Gregorian month will be considered late.

Establishments will be required to submit documents and data to prove that they have paid the wages of workers, in accordance with Ministerial Resolution No. (0340) of 2026 (issued on May 12).

According to MoHRE, it will deem a company to have complied with the new rule if no less than 85 per cent of the total wages due to its workers have been paid.

It stated that workers will not be deemed as not having received their wage if they receive no less than 85 per cent of their entitled wage value, as long as the difference comes from an established lawful deduction.

The rule reportedly outlines establishments that are exempt from the Wage Protection System, so payday isn’t changing for everyone.

Exemptions include foreign workers employed by foreign establishments or their branches within the UAE, who receive their wages outside the UAE, based on a request submitted by the establishment and after the approval of the workers.

In addition, banks, financial institutions and places of worship will be exempt from the rule. Fishing boats and public taxis owned by individual citizens are also exempt.

The rule states that workers with absconding reports against them and those with an active labour claim related to wages will be exempt from the WPS. Workers on approved unpaid leave and those who are unable to work due to an order or judgment are also not included in the system.

Seafarers working on ships are not included based on a request submitted by the establishment and in accordance with the ministry’s decision.

The resolution removes the 15-day grace period for delayed payments by private firms. In its place, it outlines a series of measures and sanctions for companies and owners of establishments, scaling from the second day of non-payment to the 21st.

Any failure to comply could reportedly result in public prosecution and travel bans for those in charge.

Source: Time Out

(Link via original reporting)