This article will discuss the new UAE Labour Law salary breakdown, payment of salaries, and WPS salary system, so keep reading.
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Table of Contents
UAE Labour Law Salary Breakdown.
The basic salary refers to the agreed-upon salary indicated in the employment contract, excluding benefits and allowances.
Although the UAE Labour Law does not specify a minimum wage, employers must ensure that their employees’ salaries are sufficient to meet their essential needs.
The wages are due from the first day of the month following the period specified in the employment contract.
If the duration is unspecified, the employee must be paid at least once a month.
Payment of salaries UAE.
Paying wages on time is a crucial responsibility of every employer.
Employers who fail to pay wages within 15 days after the due date are in default of paying the wage unless a shorter period is agreed upon in the employment contract.
Employees with concerns or complaints about unpaid or delayed salaries may contact the Ministry of Human Resources and Emiratisation (MoHRE) or file a salary complaint.
Employers who fail to pay wages on time may face penalties and fines.
WPS salary system in UAE.
Although the UAE Labour Law does not specify a minimum wage, employers should ensure that their employees’ salaries are sufficient to cover their essential needs.
The Ministry of Human Resources and Emiratisation (MoHRE) mandates that all employers subscribe to the Wages Protection System (WPS) and pay their employees’ salaries through it.
Salaries of employees are transferred to their accounts in banks or financial institutions authorized by the Central Bank of the UAE to provide the service.
FAQs about UAE labour law salary breakdown.
Conclusion.
Paying wages on time is a critical obligation for every employer. Employers must pay their employees’ salaries through the Wages Protection System (WPS) to avoid penalties and fines.
Although the UAE Labour Law does not specify a minimum wage, employers must ensure that their employees’ salaries are sufficient to meet their essential needs. In case of any labour disputes, our labor lawyer in Dubai the best choice for legal assistance.
Contact our labor law firm in UAE for expert help. Click the Whatsapp icon below.
We recommend you read about the best Labor Lawyer in Dubai. Also, learn When an employee needs an employment lawyer in UAE Dubai, and contact The Top 10 Labour Lawyers in UAE Dubai.
A legal consultant specializing in UAE labor law. He regularly publishes articles on the website and writes on various areas of UAE law, with a specific focus on labor law.
