If the salary is delayed, the owner should face action; UAE has tightened the law

If the salary is delayed, the owner should face action; UAE has tightened the law
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Abu Dhabi: Employers who fail to pay their workers on time will face strict legal action. The permission to issue a new Visa will be revoked as well as the fine. Any delay in payment of salary for more than 15 days will be considered violation of the Wage Act. The government will take legal action against the companies on the 17th of the month.

Wage Security Scheme workers will receive their salaries. Arrears will be applied to any salary that is delayed for more than 15 calendar days. The number of employees in the company will determine the basis for the employer’s action. The first day of each month is the due date for employees to receive their salaries. The Ministry informed employees that, although there is no specific date for salary payment in the employment contract, it is required to pay the salary at least once per month.

You will not be granted the visa if you are late

If a company is 17 days late paying their salaries, the ministry will not issue new visas. Notification will be sent to the employer in advance. The employer will be notified in advance if a company with more than 500 employees fails to pay wages for more than a month. These companies will be prosecuted. Any company employing between 50 and 499 people will submit its file to the public prosecution, even if the salary has been delayed by more than one-and-a half months.

Non-payment of wages to employees for more than two consecutive months, regardless of company type, is a grave violation of the law. These companies will be stopped from issuing visas and their visa services will be suspended by the Ministry of Labor. The company can be fined if it ignores the warnings or continues to violate the laws.

These institutions will be placed third on the ministry’s lists. Notice will be sent to institutions online first if they delay payment of wages for more than three months. The institution will be notified online first if they delay payment of wages for three consecutive months.

Ensure wellbeing

Employers who are unable to pay their wages must take legal action to improve their working conditions. Huge fines will be imposed on companies that fail to pay wages for six months. If these institutions don’t contact the ministry, they will face prosecution.

After completing the online verification, the Ministry of Human Resource and Indigenization may visit an establishment with 50 employees to verify that they have paid their wages on time. The Ministry will notify the sponsors directly. The Ministry warned that the situation could become serious if more than 500 employees are owed their salaries.

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