Many people in the UAE will get paid early this month...
With the Eid Al Fitr holiday likely to start on Sunday June 25 or Monday June 26, the UAE’s President has ordered that all federal government employees, retirees and social welfare beneficiaries be paid their monthly salary by Tuesday June 20 this month.
Earlier this week H.H. Sheikh Mohammed bin Rashid Al Maktoum, ruler of Dubai, announced that all Dubai government employees will be paid by June 15. Yes, as in this Thursday.
Why the early pay days? Well, it’s so that “families can meet their requirements ahead of Eid Al Fitr,” the UAE’s official news agency reported.
Side note: The Eid Al Fitr holiday this year is likely to mean two working days off, so a four day weekend (although that hasn’t been confirmed, but we’ll keep you updated).
EVER GET PAID LATE?
Pay days vary between companies, but they should always be made clear to you before you start a job and you should always be paid for a month before that month is over (many companies, for instance, will pay you on the second to last working day of a month). Remember, as of October last year, the government brought a new law into action that means if employee wages are paid more than 10 days after their due date the government will stop granting a company additional work permits starting from the 16th day of delay.
Also, if a company hasn’t paid their employees for over a month after payment is due, so effectively skipping a wage, the government will step the penalties up a notch. “The ministry shall inform the judicial authorities and other related parties to take all necessary punitive measures against it, causing a complete strike against the other companies owned by the same employer, plus prohibiting the employer the ability of registering any new companies,” said Minister of Human Resources and Emiratisation Saqr bin Ghobash Saeed Ghobash.
If two months pass without employees being paid, the company will be hit with administrative fines, as well as registered fines for failing to pay wages.
Administrative fines reach Dhs5,000 per worker’s delayed wage pay, stretching to a maximum fine of up to Dhs50,000 per employee in events which include multiple worker protests.
For companies with less than 100 employees, they can face bans on work permits, to fines, to court referrals. However, these consequences will only be faced if the company fails to pay wages within two months. If the company repeats such violations over the course of a year, then the ministry will apply the same penalties as are given to bigger companies.
How will the government monitor whether employees are being paid on time? Well companies are expected to use the government’s Wage Protection System so the Ministry can track payments.
And if they don’t use the system? “The decree clearly states the ministry shall not proceed with any transactions with companies that did not register in the WPS, in addition, to stop dealing with the owners of these companies until they register in the system, all to ensure workers’ rights have been met”.
Struggling to get paid on time? We’d suggest calling the Ministry of Labour’s helpline for advice – they’re very knowledgeable and helpful: call (800) 66473.