The UAE has taken legal action against more than 3,000 companies that did not pay salaries through the Wage Security Scheme. In a ministerial resolution released last year, the UAE had stated that action would be taken against companies that do not pay workers on time. (UAE Over 3,000 employers face legal action for not paying salaries through WPS).
Read Also: For the first time since 2016, Iran has appointed an ambassador to the UAE
The ministerial resolution said that wages should be paid through WPS. It is a payment system through authorized payment institutions. The failure was discovered during the direct inspection of the institutions.
Last year, more than 12,000 companies were fined during the inspection conducted in the private sector. The Ministry of Human Resources and Emiratisation regularly monitors the institutions registered in its database through field visits.
Story Highlights: UAE Over 3,000 employers face legal action for not paying salaries through WPS