Khaleej Times, 19 May 2026: The UAE Ministry of Human Resources and Emiratisation (MoHRE) has introduced a new regulation requiring private‑sector employers to pay wages on the first day of each Gregorian month for the previous month’s work, effective 1 June 2026, under the Wage Protection System (WPS).
The regulation, issued under Ministerial Resolution No. 0340/2026, mandates that all companies registered with MoHRE distribute wages through the approved Wage Protection System or other authorised channels, with supporting documentation confirming payments.
Compliance is defined as paying at least 85% of total wages by the deadline, allowing for legally permitted deductions. Employers failing to meet this threshold will face escalating measures:
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Day 2: Notifications and alerts to non‑compliant companies.
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Day 5: Suspension of new work permits.
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Day 11: Administrative fines under Cabinet Resolution No. 21/2020; company reclassification to third category.
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Day 16: Automatic registration of labour disputes; suspension of new permits for companies with 25+ unpaid workers.
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Day 21: Executive orders for firms with fewer than 50 workers; collective dispute procedures for larger firms; precautionary seizure and possible travel bans on responsible persons.
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Repeated violations: Referral to the Public Prosecution for companies with 50+ employees, particularly in high‑risk sectors such as construction, transport, security, cleaning, and recruitment.
The resolution also outlines exemptions for certain categories, including workers in ongoing wage disputes, absconding cases, detainees, those on approved unpaid leave, seafarers (subject to approval), foreign employees paid abroad, short‑term mission workers, and specific sectors such as fishing boats, individual taxi owners, banks, financial institutions, and places of worship.
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