ABU DHABI // A new decree ensuring that workers’ wages are fully paid within no more than 10 days of their due date will come into force later this year.
The Ministry of Human Resources and Emiratisation launched the decree on Tuesday as part of its workers’ wage protection scheme.
The rule applies to companies employing more than 100 staff, said Saqr Ghobash, Minister of Human Resources and Emiratisation, according to state news agency Wam.
“If they fail, the ministry will stop granting them any additional work permits starting from the 16th day from the date of delay,” he said.
If a company delays wages by one month from the due date, the ministry will inform judicial authorities to take action, the decree said. For 60-day non-payment of wages from due date, administrative fines will be levied on the company.
The administrative fine is Dh5,000 per worker for delayed wages, and a maximum of Dh50,000 for multiple workers.
Companies that employ fewer than 100 workers and are found to be delaying or refraining from paying salaries will face a work permit ban and could also be fined as per ministry rules.
These companies could also face legal action if they fail to pay the money within 60 days.
“The ministry will not proceed with any transactions with companies that do not register for the wage protection system of the ministry,” the ministry said.
The system aims to ensure that all workers receive their wages wired to their bank accounts on time.
In addition, the ministry will stop dealing with the owners of these companies until they register in the wage protection system. The step is to ensure that workers’ rights have been met, the decree said.
newsdesk@thenational.ae
