Jan 8, 2020 2 min read

UAE WPS Process Changed

Global Payroll Outsourcing Leader Issues an Alert

UAE announces changes to the Wage Protection System (WPS)

The UAE government has announced, that the Ministry of Human Resources and Emiratization (MOHRE) systems are now linked with the systems of the Identity, Immigration and Passports Authority. This will allow employers to exclude the following categories of employees from the Wage Protection System (WPS) compliance requirements:

In addition, the MOHRE has provided the following additional guidelines with respect to the general WPS compliance:

All salaries must be paid through WPS by the 15th calendar day of the following month. The employer’s MOHRE account will be blocked if salaries are not processed on time. The MOHRE account will be unblocked automatically if salaries are paid before the last calendar day of the month. In the event the employer fails to pay employees’ salaries before the end of the following month they were due, an administrative penalty will be imposed on the company for the late payment of wages.

MOHRE has created two alternatives for employers to unblock their services due to late salary payments:

  1. Employer pays all salaries due in full, pays a penalty for any salaries below the accepted threshold rate of 70% and requests a “paid-fee assessment visit”. OR
  2. Employer pays all salaries due in full and process three sequential payrolls through WPS on time.

In case an employer is late with its salary payments three or more times during a calendar year, the company owner or their representative is required to attend a guidance session at MOHRE.

Most viewed posts

View all posts

Global BPO Leader Infosys Selects Mercans’ Payroll Tech to Power i...

This partnership brings together Mercans' disruptive payroll tech and Infosys' consulting and BPO capabilities to create the most tech advanced and operationally resilient global payroll offering.

Sep 26, 2023 3 min read

Lebanon – Sickness and Maternity Contributions Set To Raise

Contributions will be raised to LBP 18,000,000 from the existing limit of LBP 5,600,000.

Sep 18, 2023 1 min read

Singapore – Central Provident Fund Ceiling Changes

Effective from 1 September 2023, the Central Provident Fund Board has amended the additional income ceiling for monthly mandatory contributions. CPF Ordinary Wage (OW) ceiling limits, the amount of OW that attract CPF contributions in a calendar m

Sep 12, 2023 1 min read

Kenya – 2023 Statutory Changes

Effective from 28 July 2023, the Kenyan Government has lifted the suspension barring the implementation of the 2023 Finance Act. The Finance Act of 2023 proposed the below changes to take effect from the 1st of July 2023: Exemption of travel allo

Aug 15, 2023 2 min read

Oman Announces New Labor Law

Effective from 25 July 2023, the Omani government through Royal Decree No. 53/2023 issued the New Labor Law which replaces the Old Labor law issued through Royal Decree No. 35/2003. Please find the previous and new law comparison in the below tabl

Aug 11, 2023 1 min read

HR Blizz Acquires an Accounting Software Award from Leading B2B Rev...

HR Blizz earned another notch on its belt when a major B2B software marketplace granted our accounting software a major award. FinancesOnline, one of the leading software directories today, confers HR Blizz with a Rising Star Award, acknowledgin

Aug 10, 2023 3 min read