Pay wages on time to avoid ban, firms told

Pay wages on time to avoid ban, firms told

The establishment must pay the labourer’s salary at a rate of no less than 90% of the total registered workforce

Ministerial Resolution No. 43 of 2022 issued by the Minister of Human Resources and Emiratisation regarding the wage protection system identified 5 basic steps to which private sector establishments must adhere in order to avoid a ban preventing these establishments from completing their transactions.

According to the resolution, the establishment must pay the labourer’s salary at a rate of no less than 90% of the total registered workforce, and that the due date should not be after the 15th of the following month.

Pay wages on time to avoid ban, firms told
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In case of non payment, the establishment will be banned in the system on the 17th of the following month.

The resolution also stipulates that the labourer is considered a recipient of the financial dues in case he receives 80% or more of these dues specified in the labour contract.

It also stipulates that the establishment is banned in case it does not pay the dues of a labourer for a period of 3 continuous months, even if 90% of the total workforce are paid.

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