Salary delays will result in fines and work permit suspensions in the UAE.
The Ministry of Human Resources and Emiratization (MoHRE) through a decree introduced new penalties against employers who fail to pay wages in time.
Those with 50 or more workers will be subject to field inspections from the ministry and issued warnings if wages were not paid 17 days after the due date and for smaller establishments the work permits will be suspended.
RELATED STORY: What qualifies as delayed salary—Abu Dhabi Police answer Pinoy queries
The seven penalties under the new decree are:
– Official reminders: Companies will get official reminders to pay wages after the third and 10th day from the due date.
– Inspections and warning: For non-payment of wages after the 17th day from the due date establishments with 50 or more workers can be subject to inspections from the Ministry and issued warnings.
– Notice to Public Prosecution: Notification will be issued to the public prosecution for the legal measures to be initiated against employers who would have failed to pay wages for more than 30 days after the due date and these measures will be initiated against companies that employ from 50 to 499 workers, or those with 500 and more workers and classified as high-risk establishments by the MOHRE.
READ ON: Abu Dhabi firm fined Dh500,000 for failure to pay salary of 643 workers on time
– Suspension of work permits: Companies who do not pay wages for two months will be subjected to suspension of issuance of new work permits in the breaching establishment.
– Repeated non-compliance: For repeated violations a company can be subject to inspections from the Ministry, a downgrade to a lesser category and fines.
– Suspension of work permits renewal: The violating companies that do not pay wages for more than three consecutive months can’t renew work permits.
– Referral to Public Prosecution and fines will be incurred if an inspection after six months finds non-compliance.
