Key takeaways
- WPS UAE, the Wage Protection System, is the electronic rail every MOHRE-registered private employer must use to pay wages. MOHRE describes it as a system that “facilitates wage transfers via approved banks, financial institutions, and exchange houses”, and the Central Bank of the UAE has operated it since 2009.
- The WPS rules changed on 1 June 2026. Ministerial Resolution No. 340 of 2026 replaced Resolution No. 598 of 2022. Wages for each month are now due on the first day of the following Gregorian month, and anything paid after that is treated as delayed.
- The 85% test works at two levels. An establishment is compliant if it transfers at least 85% of total wages due by the due date (MOHRE, June 2026). An individual worker counts as paid at 85% or more only where the gap is a lawful deduction. It is not permission to pay anyone 85% of their salary.
- Under the WPS rules, measures escalate by day: notices from day 2, new work permits suspended from day 5, fines and category three from day 11 for repeat violations, automatic labour disputes from day 16 (25+ workers), and attachment, travel bans and prosecution referral from day 21 (50+ workers, repeated, or a risk to the labour market).
- The WPS rules list eleven exemptions, from workers with court cases, absence reports or approved unpaid leave to banks, places of worship and citizen-owned taxis and fishing boats. The old 30-day exemption for new joiners has gone.
- The fine table has not changed: Cabinet Resolution No. 21 of 2020 lists AED 1,000 per worker (maximum AED 20,000) for not paying through WPS, and AED 5,000 per worker (maximum AED 50,000) for false WPS data or fake receipts.
- The expensive part is the classification. MOHRE’s work permit fee over two years is AED 250 in category one, AED 1,200 in category two and AED 3,450 in category three.
- Some domestic workers are inside WPS (Ministerial Resolution No. 675 of 2022), and free zone employers should check their own authority’s rules rather than assume they are outside.
What is WPS? WPS UAE is the Wage Protection System: the electronic salary-transfer system, run by the Ministry of Human Resources and Emiratisation (MOHRE) with the Central Bank of the UAE, through which private-sector employers registered with MOHRE must pay their workers’ wages each month. The employer sends a salary information file and the money to an approved agent (a bank, exchange house or other licensed financial institution). The Central Bank’s system routes the payment to each worker’s account or payroll card, and MOHRE sees who was paid, how much and when. Because the data is automatic, a late or short payment is visible to the Ministry without anyone filing a complaint.
This guide explains the Wage Protection System from the employer’s and the system’s side: the legal basis, who must pay through it and who is exempt, how agents and the salary file work, the due date and the 85% test, and the penalties and escalation under the 2026 WPS rules. It was rewritten from MOHRE, Central Bank and UAE legislation sources, checked on 23 September 2026. If your own salary has not arrived and you want to know what to do, read our separate guide on what to do when your salary is not paid, which is written for employees.
WPS UAE at a glance
The table below is the short version. Each row is covered in detail further down, with its source.
| Question | Short answer | Where it comes from |
|---|---|---|
| What is WPS? | An electronic system for paying private-sector wages through approved banks, exchange houses and financial institutions, monitored by MOHRE | MOHRE Wages Protection System guidance; Central Bank of the UAE |
| Who runs it? | MOHRE sets the rules and enforces them; the Central Bank operates the payment system (UAEWPS), introduced in 2009 | Central Bank of the UAE, UAEWPS page |
| Current resolution | Ministerial Resolution No. 340 of 2026, in force 1 June 2026, replacing No. 598 of 2022 | MOHRE statements; reported by Gulf News, Khaleej Times, law firms |
| WPS salary due date | The 1st of each Gregorian month, for the previous month’s wages; after that the payment is “delayed” | MR 340/2026 as reported |
| WPS rules: compliance threshold | At least 85% of total wages due transferred by the due date | MOHRE, 4 and 5 June 2026 |
| Who must use the Wage Protection System | Private-sector establishments registered with MOHRE, for workers on MOHRE work permits | Cabinet Resolution No. 1 of 2022, Art. 16; MOHRE guidance |
| Exemptions | Eleven reported categories of worker or establishment; no longer a 30-day window for new joiners | MR 340/2026 as reported |
| WPS UAE fines | AED 1,000 per worker (max AED 20,000) for not paying through WPS; AED 5,000 per worker (max AED 50,000) for false data | Cabinet Resolution No. 21 of 2020 |
| Worst outcomes | Work permit suspension, category three, labour disputes registered by MOHRE, attachment of assets, travel bans, prosecution referral | MR 340/2026 as reported |
| Domestic workers | Mandatory for certain professions, optional for the rest | Ministerial Resolution No. 675 of 2022; MOHRE guidance |

Wage Protection System: how MIRDXB PRO helps employers
Most employers who contact us about WPS already pay their staff. What goes wrong is the machinery around the payment: an agent agreement that lapsed, a salary file that still lists last month’s leavers, an absent worker nobody reported, or a MOHRE notice that went to a PRO who left years ago. We are a PRO and visa services firm based in Al Barsha 1, Dubai, and we handle the MOHRE side of this work for mainland companies. The service itself is on our WPS registration and payroll compliance service page.
What we do
- Review your set-up against the 2026 rules. Agent agreement, salary file routine, due-date calendar, exemptions and the registered contact details that receive MOHRE notices.
- Open or update the MOHRE establishment file so the workers on your payroll match the workers on your permits. If the labour file does not exist yet, that is our labour file opening service.
- Handle the MOHRE transactions that keep the WPS record clean: absence reports, unpaid leave notifications, work permit cancellations for leavers, contract amendments after a salary change.
- Help clear a block after notices, permit suspension or a fine: find the cause, sequence the steps, and follow the file until MOHRE services are restored.
- Explain the classification your establishment is in and what it costs you on each work permit.
How it works
- WhatsApp us your trade licence, headcount, WPS agent and the last month’s salary run summary (totals only are fine to start).
- We review the set-up and the MOHRE record and send you a written list of gaps, with the government fees and our fee.
- You approve, and we carry out the MOHRE transactions through Tasheel or the MOHRE channels, sending you each receipt.
- We confirm the establishment status and any change in classification once the record updates.
What it costs
Government fees are passed on at cost from the published MOHRE schedule, and you see the receipts. Our own fee depends on the size of the establishment and the work involved, and it is quoted in writing before we start. Our general pricing approach is on the fees page.
Why employers use us
- We publish our sources. Every rule in this guide links to the MOHRE, Central Bank or legislation page it came from, and where we rely on news reports of the resolution we say so.
- We handle MOHRE, GDRFA and ICP transactions, so a WPS problem that turns into a permit or visa problem stays with one team.
- We tell you when you do not need us. If your bank’s payroll team and your HR system already cover everything below, we will say so.
- You can walk in. Our office is in Al Barsha 1, open by appointment; whatsApp us any time, 24 hours; office open Monday to Friday, 9:00 to 18:00 (Dubai time).
We do not run payroll, hold client funds or act as a WPS agent. Wages move through your bank or exchange house; we handle the MOHRE file around them.
What is WPS? The Wage Protection System explained
MOHRE’s guidance page defines the system in one line: an “innovative electronic system that facilitates wage transfers via approved banks, financial institutions, and exchange houses.” It then states the obligation that makes it matter: private-sector establishments must “pay their workers’ wages on a monthly basis, in the amount and at the time agreed upon in the employment contract, through the Wage Protection System.”
The Central Bank describes its side as “a safe, secure, efficient and robust mechanism to streamline the timely payment of wages to employees by their employers.” It says it implemented the UAE Wages Protection System (UAEWPS) in 2009 to meet the objectives of what was then the Ministry of Labour, now MOHRE. The Central Bank secures employer funds, accepts transfers from employers’ banks to agents, processes disbursement information and refund requests, and provides “frequent data feeds” so the labour authority can monitor payments.
The scale
MOHRE’s figures give a sense of what the Wage Protection System covers. In June 2026 the Ministry said more than 90 financial institutions process salaries through it, with monthly transfers of more than AED 37 billion, covering about 99% of private-sector employees across more than 600,000 establishments. Its December 2025 announcement of the Wage Protection System update gave “total monthly transfers exceeding AED35 billion”. The two figures are six months apart and both are MOHRE’s.
The December 2025 update
On 10 December 2025 MOHRE announced a new version of the Wage Protection System with the Central Bank of the UAE and Al Etihad Payments, the national payments company owned by the Central Bank, and partners including e& Group, Botim, Al Ansari Exchange, Lulu Exchange, GCC Exchange and Al Maryah Community Bank. The Ministry said employers can “manage salary payments easily and quickly with real-time, direct data integration” and complete procedures digitally by reading data from MOHRE systems. For an employer, the practical point is that more agents now offer app-based salary runs linked to the MOHRE worker list, which reduces the stale-list errors described later.
The legal basis of the WPS rules
WPS is not a single law. It sits on a stack of instruments, and knowing which one says what helps when you read a notice or a fine.
| Instrument | What it does for WPS | Status (23 September 2026) |
|---|---|---|
| Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations | Art. 22: the employer must pay wages on their due dates in line with the systems the Ministry approves. Art. 25: permitted deductions and the 50% overall cap. Art. 53: final wages and entitlements within 14 days of the contract ending | In force (uaelegislation.gov.ae) |
| Cabinet Resolution No. 1 of 2022, Executive Regulation of the Labour Law | Art. 16: the employer pays wages on due dates “through the Wage Protection System or any other system approved by the Ministry” | In force |
| Ministerial Resolution No. 340 of 2026 concerning the Wage Protection System | The current operating rules: due date, 85% test, exemptions, delegation, escalating measures | In force from 1 June 2026; replaced No. 598 of 2022 |
| Ministerial Resolution No. 598 of 2022 | The previous rules, which had replaced No. 43 of 2022 | Repealed from 1 June 2026 |
| Cabinet Resolution No. 21 of 2020 on MOHRE service fees and administrative fines | The fine amounts for WPS violations | In force, with one listed amendment |
| Ministerial Resolution No. 675 of 2022 | Brings certain domestic work professions under WPS | In force |
| MOHRE establishment classification (in force 1 June 2022) | Places establishments in three categories; wage violations are a route to category three | In force |
MOHRE announced the new resolution and published statements about it on 4 and 5 June 2026, confirming the 85% threshold and the gradual, risk-based approach. We could not retrieve the full Arabic or English text of the resolution from an official repository while writing this guide. The detailed provisions below (due date, exemptions, day-by-day measures, worker thresholds) are therefore taken from consistent reports in Gulf News and Khaleej Times and from briefings by Baker McKenzie, Morgan Lewis, Habib Al Mulla and Deloitte, and are marked “as reported”. The sources also differ on the issue date: Khaleej Times gives 12 May 2026 and Morgan Lewis 22 May 2026. Everyone agrees on the effective date of 1 June 2026.
The history in three resolutions
The operating rules have been rewritten three times in five years, which is why so much online guidance is out of date:
- Resolution No. 43 of 2022 used a contract-based due date, reminders on days 3 and 10, suspension of new work permits from day 17, and prosecution referral at day 30 for establishments with 500 or more workers and day 45 for those with 50 to 499 (as summarised by Gulf News in March 2022).
- Resolution No. 598 of 2022, dated 25 November 2022, kept wages due on the first of the month after the payday in the contract, or at least monthly if none was stated, with a 15-day window before the employer was in default.
- Resolution No. 340 of 2026 fixes a single due date on the 1st, removes the 15-day window, raises the threshold to 85% and moves the first measure to day 2.
If an article, a payroll provider or an old HR policy tells you about “day 3 and day 10 notices” or “default at day 15”, it is describing a repealed regime.
WPS rules in 2026: what Resolution 340 changed
MOHRE’s own line on the new resolution is that it takes a “gradual and balanced” approach: electronic monitoring, then notifications, giving establishments time to rectify before administrative measures apply. That is true of the tone. The substance, as reported by every legal briefing we read, is tighter than the rules it replaced.
| Point | Resolution 598 of 2022 | Resolution 340 of 2026 (as reported) |
|---|---|---|
| Due date | First of the month after the payday in the contract; at least monthly if none stated | One fixed date: the 1st of each Gregorian month, for the previous month |
| Window before the employer is late | 15 days after the due date | None; a payment after the 1st is “delayed” |
| First measure | After the 15-day window | Notices from day 2 |
| Establishment threshold | 80% of total wages (as reported by fit.ae; we have not seen the 598 text on this point) | 85% of total wages due |
| Individual worker | Not treated as unpaid if a set share was received | Not treated as unpaid at 85% or more, if the shortfall is a lawful deduction |
| New joiners | 30-day exemption from the start of employment | Exemption removed; in scope from the first pay cycle |
| Payroll outsourcing | Not addressed in the same way | Permitted, with the delegate’s details and contract given to MOHRE; employer stays fully responsible |
| Serious measures | Tied to days of delay | Tied to days of delay, workforce size, repetition and sector |
The resolution came into force on 1 June 2026. MOHRE’s statement of 5 June 2026 said implementation of the new decision begins on 1 July 2026, covering June salaries, and that it would use “a risk-based and phased approach” with electronic monitoring, notifications and direct communication before precautionary measures. So June 2026 wages, due on 1 July 2026, were the first run measured against the new due date.
The WPS salary due date and when a payment is late
Under the 2026 WPS rules, as reported by Khaleej Times, Gulf News and the law firms that summarised the resolution, wages for any month are due on the 1st day of the following Gregorian month. Salary transferred after the 1st is treated as delayed. There is no separate grace period before monitoring and notices begin.
What “paid by the 1st” means in practice
MOHRE measures what reaches the Wage Protection System, not what you instructed your bank to do. If you approve payroll on the evening of the 1st and the agent processes it on the 2nd, the record shows a delay. The practical rule is to have the salary file validated and funded several working days before the 1st. Some advisers suggest the 28th of the month as an internal cut-off; that is good practice, not a legal date.
Weekends and public holidays
We found no published rule that moves the due date when the 1st falls on a weekend or public holiday. MOHRE noted in June 2026 that many employers paid early before the Eid Al Adha holiday. Until MOHRE says otherwise, treat the 1st as fixed and pay before a holiday, not after it.
The 85% rule in the WPS rules, read correctly
This is the most misread number in the WPS rules. There are two separate tests.
| Test | What it says | What it does not say |
|---|---|---|
| Establishment level | MOHRE: “An establishment is considered compliant if it transfers at least 85% of the total wages due” within the timeframe | It does not reduce what any worker is owed |
| Individual level | A worker is not treated as unpaid if they received at least 85% of the wage due, provided the shortfall comes from lawful deductions or withholdings under the Labour Law (as reported) | It does not allow an unexplained 15% cut |
Khaleej Times put it plainly when reporting the resolution: “This does not mean employers can underpay staff. Workers still have the full right to claim any unpaid balance.” An employer that pays every worker 85% without a lawful deduction may clear the establishment test on paper, yet owes every one of them the balance, and each of them can take it to MOHRE.
A worked example of the 85% test
An establishment has 40 workers and total wages due of AED 200,000 for May. By 1 June it has transferred AED 176,000 through WPS. That is 88% of the total, so on the establishment test it is compliant. But the record also shows three workers with nothing received because their accounts were closed, and one worker paid AED 3,000 of a AED 4,000 wage with no deduction on file. Those four workers are unpaid or underpaid on the individual test, and each has a claim. The establishment’s next step is to fix the accounts and pay the four in full, not to rely on the 88%.
Lawful deductions and the 85% floor
Article 25 of the Labour Law lists the deductions an employer may make: recovery of a loan (with written consent, and no interest), recovery of an overpayment (up to 20% of the wage), pension and insurance contributions, savings fund instalments, approved welfare schemes, court-ordered debts (up to 25%, alimony aside) and damage caused by the worker (up to five days’ wage a month). When there are several reasons for deduction, the total cannot exceed 50% of the wage.
The reported WPS rule sits on top of that. A worker who receives less than 85% is treated as unpaid on the WPS salary record, even if the Labour Law would allow a larger deduction. Some advisers describe this as an effective 15% ceiling for WPS purposes. Where a court order or a loan agreement genuinely requires more, document it and expect to explain it to MOHRE.
WPS UAE scope: who must pay through the Wage Protection System, and who is exempt
Who is in scope of the WPS rules
MOHRE’s guidance applies the obligation to private-sector establishments, and Article 16 of the Executive Regulation requires employers to pay “through the Wage Protection System or any other system approved by the Ministry.” In practice, the WPS rules cover every establishment registered with MOHRE, for every worker holding a MOHRE work permit. That includes:
- full-time and part-time workers on MOHRE permits;
- workers on probation;
- new joiners from their first pay cycle (the old 30-day window has gone);
- Emirati and GCC nationals employed in the private sector, whose wages are also checked against Emiratisation rules;
- workers on temporary and other permit types issued by MOHRE. Our guide to work permit types in the UAE lists them.
Size does not change the obligation. A two-person trading company is inside the Wage Protection System just as a contractor with 2,000 workers is. What changes with size is which escalation measures apply, covered below.
WPS rules: the exemptions reported under Resolution 340
The resolution lists workers and establishments that are excluded from the WPS calculation. The list below follows the most detailed published summaries (Gulf News, Khaleej Times, Habib Al Mulla and fit.ae); the conditions in brackets matter.
| # | Exempt worker or establishment | Condition to watch |
|---|---|---|
| 1 | Workers with a wage claim referred to court, or holding an executive instrument for wages | Only while the case or instrument exists |
| 2 | Workers with an absence (absconding) report | During the validity of the report; a report cancelled later puts the worker back in scope |
| 3 | Workers whose liberty is restricted by order of a competent authority | MOHRE must be notified |
| 4 | Workers on approved unpaid leave | MOHRE must be notified |
| 5 | Seafarers on board ships | With Ministry approval |
| 6 | Foreign workers of foreign establishments paid outside the UAE | With approval; reported as requiring the worker’s consent |
| 7 | Holders of mission work permits of up to three months | Short missions only |
| 8 | Fishing boats owned by UAE citizens | Individually owned |
| 9 | Public taxis owned by UAE citizens | Individually owned |
| 10 | Banks and financial institutions | Establishment-level exemption |
| 11 | Places of worship | Establishment-level exemption |
The exemptions for individual workers are only useful if the underlying MOHRE record exists. An employer who lets a worker take unpaid leave but never notifies MOHRE will see that worker counted as unpaid. The same applies to a worker who has stopped coming to work: without a registered absence report, the WPS salary is still expected. Our guide for employers on reporting an absconding employee covers that process.
WPS UAE agents: banks, exchange houses and approved institutions
An employer does not pay directly into the Wage Protection System. It pays through an agent: a bank, exchange house or other financial institution authorised to process WPS salary transfers. The agent takes the salary information file, checks it, collects the funds and passes the payment through the Central Bank’s system.
Who the Wage Protection System agents are
MOHRE’s guidance page lists partner financial institutions including e& (Etisalat), Al Ansari Exchange, Lulu Exchange, GCC Remit, Botim and MBank, with the Central Bank of the UAE and Al Etihad Payments as strategic partners. Most UAE banks also offer WPS payroll to their corporate customers. MOHRE said in June 2026 that more than 90 financial institutions process salaries through the Wage Protection System.
Where the WPS salary lands: bank account or payroll card
The worker needs somewhere to receive the WPS salary. That can be an ordinary bank account, or a payroll card issued through an exchange house or payroll provider, which is common for workers without a bank account. Either works if it is active and in the worker’s name. What does not work is a transfer to a relative’s account or a card the employer holds.
Choosing an agent
| Question to ask | Why it matters |
|---|---|
| What are your WPS support hours, and who answers on the 1st? | A rejected file found late on a due date needs someone who can say which record failed |
| Does your platform read the worker list from MOHRE? | Since the December 2025 update some platforms can, which removes stale-list errors |
| What is the funding cut-off for a run to credit before the 1st? | The agent’s cut-off, not the legal due date, is your real deadline |
| How are rejections and returns reported, and how fast? | A returned transfer is an unpaid worker on MOHRE’s record |
Outsourced payroll and third-party delegation
The resolution reportedly allows an establishment to delegate wage payment to a third party, such as a payroll bureau, provided it gives MOHRE the delegate’s details and the delegation contract. It is equally clear, in every summary, that “ultimate responsibility for the timely payment of wages remains with the employer.” If the bureau misses the 1st, the notices, suspensions and fines land on your establishment, not theirs.
The salary information file: how a WPS salary run works
Every WPS salary run starts with a salary information file, usually called the SIF. It is a structured file listing each worker being paid, their identifiers and the amount, with a control record summarising the run. The format is set for the Central Bank’s system and each agent provides its own template or platform. Payroll software commonly refers to one line per employee (often called an employee detail record) and one summary line for the employer (a salary control record).

What a WPS salary file typically carries
The field names and order depend on the agent’s template. The table is practical guidance on what a SIF usually contains, not an official specification.
| Item | Where it comes from | What goes wrong |
|---|---|---|
| Employer’s MOHRE establishment number | The labour file | Wrong entity in a group; file posted against a sister company |
| Worker’s personal (labour) number | The work permit | New joiner not yet issued; leaver already cancelled |
| Worker’s account or card identifier and the agent’s routing code | The worker’s bank or payroll card | Closed or dormant account; IBAN typed wrong |
| Fixed and variable pay | Contract and payroll | Total below the contract wage without a deduction on record |
| Days on leave without pay | Leave register | Leave not notified to MOHRE, so the reduced wage looks like a shortfall |
| Control totals (number of records, total amount) | Generated by the platform | Totals do not match the lines; whole file rejected |
The monthly WPS salary run, step by step
- Reconcile the worker list against the workers registered on your MOHRE establishment file: joiners, leavers, transfers in and out.
- Check each worker’s account or card is active, especially new joiners and anyone back from long leave.
- Calculate the pay against the current contract wage, with any lawful deductions documented and unpaid leave notified.
- Generate the SIF on the agent’s platform or your payroll software.
- Fund the run by the agent’s cut-off, a few working days before the 1st.
- Submit and watch for rejections. Correct and resubmit any failed records the same day.
- Reconcile after payment: headcount paid against headcount due, total paid against total due, and every return or bounce.
- Keep the confirmations for each run; they are your evidence if MOHRE’s record is wrong.
WPS UAE penalties: the escalation, day by day
Resolution 340 replaced a slow, size-based ladder with one that starts the day after the due date. The table combines the measures as reported by Gulf News, Khaleej Times, Baker McKenzie and Habib Al Mulla. Where the summaries attach a condition, it is shown; where they differ, we say so.
| When | Measure | Condition reported |
|---|---|---|
| From the due date (1st) | Electronic monitoring of the establishment | All establishments |
| From day 2 | Notifications and alerts to the non-compliant establishment | All non-compliant establishments |
| From day 5 | Suspension of new work permits; formal payment warning to the employer | All non-compliant establishments. Gulf News places the permit suspension from day 2 and the formal warning at day 5 |
| From day 11 | Administrative fines under Cabinet Resolution No. 21 of 2020; reclassification to category three | Reported as applying to repeat violations within six months (Khaleej Times, Deloitte, fit.ae); Habib Al Mulla does not mention the condition |
| From day 16 | MOHRE registers individual or collective labour disputes for affected workers; work permits suspended | Establishments with 25 or more workers, or 25 or more unpaid workers across commonly owned establishments in named sectors |
| From day 21 | Executive instrument for wages or collective dispute; precautionary attachment of assets; travel ban on the person responsible; referral to the Public Prosecution | Establishments with 50 or more workers where the violation is repeated (reported as within two consecutive months), commonly owned groups in named sectors with 50+ unpaid workers, or any establishment whose violation risks the stability of the labour market regardless of size |
Baker McKenzie lists the named sectors for the common-ownership rule as construction, transport, security, cleaning, recruitment agencies and domestic worker recruitment offices. fit.ae adds storage to transport. The point of the rule is that a group cannot keep each company under 25 or 50 workers and stay below the thresholds.
Small establishments under the WPS rules
For establishments under 50 workers, Gulf News reports that the day 21 stage can mean an executive instrument for wage recovery rather than prosecution. Being small does not stop the day 2 notices, the day 5 permit suspension or the day 11 fines for a repeat violation.
Prosecution for large companies, stated exactly
The brief version you will see online is “companies with 50 or more workers are referred to prosecution.” The reported condition is narrower and wider at once: narrower because it needs a repeated violation (Khaleej Times: repeated over two consecutive months), and wider because an establishment of any size can be referred where its violation poses “a risk to labour market stability” (Gulf News). Travel bans are reported as applying to “responsible officials” or “the person in charge”, not to every shareholder.
WPS UAE fines: what Cabinet Resolution 21 of 2020 says
The fine amounts are not in Resolution 340. They are in the table of administrative fines in Cabinet Resolution No. 21 of 2020 on MOHRE service fees and administrative fines, published on uaelegislation.gov.ae. The WPS-related rows are:
| Violation (as worded in the table) | Fine |
|---|---|
| Non-payment of the wage due to the worker through the WPS, during the period set by a resolution of the Minister | AED 1,000 per worker, maximum AED 20,000 |
| Making the worker sign simulated documents confirming receipt of dues, or entering incorrect data in the WPS to get around the system | AED 5,000 per worker, maximum AED 50,000 |
| Making the worker pay recruitment or employment fees, or deducting from wages without legal grounds | AED 20,000 per worker |
uaelegislation.gov.ae lists one amendment to the resolution. The rows above are from the published consolidated text we checked; confirm the current figure on the MOHRE payment screen, which is final.
The highest WPS fine is not for paying late. It is for making workers sign that they were paid when they were not, or putting false figures into the Wage Protection System. If you have paid part of a month in cash during a crisis, record it honestly and pay the rest through WPS. Do not ask anyone to sign a receipt for money they did not get.
WPS rules and the classification: why category three is the real cost
MOHRE classifies private establishments into three categories, in force since 1 June 2022. The category sets the work permit fee for every hire and renewal. MOHRE’s announcement lists the fee over two years as AED 250 in category one, AED 1,200 in category two and AED 3,450 in category three. It names “lack of commitment to workers’ wages, housing and safety standards” among the breaches of labour rights that put an establishment in category three.
| Category | Broadly who | Work permit fee (2 years) |
|---|---|---|
| One | Compliant establishments that also meet an extra criterion, such as higher Emiratisation or citizen training | AED 250 |
| Two | Compliant establishments committed to the diversity policy; the default for compliant companies | AED 1,200 |
| Three | Establishments that fail to observe labour market laws and decisions, including on wages | AED 3,450 |
The arithmetic on your own headcount
The gap between category two and category three is AED 2,250 per work permit over two years. For a company with 40 permits that is AED 90,000 over a two-year cycle; with 200 permits, AED 450,000. Set against category one, the gap is AED 3,200 per permit. These are MOHRE’s permit fees only, before any fines, and before the cost of a hiring freeze while new permits are suspended. The full cost of a work permit and visa, by category, is in our UAE employment visa cost breakdown.
Why WPS salary files fail
A large share of what shows up as non-payment is not a refusal to pay. It is a salary file that did not go through, found too late. The causes below are the operational ones we see most. The rejection detail for any specific failure comes from your agent, who holds the response.
| Cause | Symptom | Fix |
|---|---|---|
| Worker list out of date | File rejected or short; joiners and leavers mismatched | Reconcile payroll to the MOHRE worker list before each run |
| Work permit lapsed or still in process | One worker fails while the rest are paid | Track permit expiry on the payroll calendar |
| No active account or card | Individual transfer fails or returns | Open the account or card in the joiner’s first week |
| Account closed or dormant | A worker paid for years suddenly bounces | Verify on any return; do not resubmit blindly |
| Amount below the contract | File processes, record shows a shortfall | Reconcile to the contract wage, with deductions documented |
| Unpaid leave not notified | Reduced pay looks like underpayment | Notify MOHRE of approved unpaid leave |
| Run not funded in time | Whole file fails at the agent | Fund before the agent’s cut-off, not on the 1st |
Submit early enough to fail and recover. Under the old WPS rules there were 15 days to fix a rejected file. Under the 2026 WPS rules the notices start on day 2. An employer who submits five working days before the 1st treats a rejection as routine; one who submits on the 1st is already late.
Setting up the Wage Protection System for a new establishment
First pay runs fail more than any other. If you are hiring your first workers on a mainland licence, this is the order that avoids it.
- Open the MOHRE establishment file (labour file) once the trade licence is issued. Our guide to the Ministry of Human Resources and Emiratisation explains where this sits among MOHRE’s services.
- Appoint a WPS agent and sign its payroll agreement. You will receive an employer reference (often called a routing or agent code) to use in every SIF.
- Issue the work permits, so each worker has a personal number against your establishment.
- Open an account or payroll card for each worker in their first week, not in payroll week.
- Record the contract wage correctly: the figure on the MOHRE contract is the one the WPS salary is measured against.
- Run the first file early, several working days before the 1st, and check every line was credited.
If you would rather hand the MOHRE side to someone else, that is what our WPS registration and payroll compliance service covers.
WPS salary for joiners, leavers and mid-month changes
Steady payroll rarely fails. What fails is the month something changed, and in most companies something changes every month.
| Event | What goes wrong | Control |
|---|---|---|
| New joiner mid-month | No account yet, or not on the file; with no 30-day window, this is now a violation | Account and record confirmed in week one |
| Leaver mid-month | Removed from the file before final wages are paid | Pay final wages and entitlements within 14 days of the contract ending (Labour Law Art. 53) |
| Salary increase | Transfer still at the old figure | Update the MOHRE contract and payroll the same month |
| Unpaid leave | Reduced transfer looks like underpayment | Notify MOHRE; keep the approval |
| Worker stops coming to work | Counted as unpaid until an absence report is registered | Register the absence report under MOHRE’s process |
| Bank change | Old account closed; transfer bounces | Treat any bounce as an unpaid worker until fixed |
Final settlements deserve care. The gratuity, leave pay and last salary are due within 14 days of the contract ending. Our end of service gratuity guide explains the calculation, and the employment visa cancellation guide covers the permit and residence steps for a leaver.
Domestic workers and the Wage Protection System
Domestic workers are governed by their own law, Federal Decree-Law No. 9 of 2022, not by the private-sector Labour Law. Since Ministerial Resolution No. 675 of 2022 some of them are also inside WPS. MOHRE’s guidance says the Wage Protection System “expanded to become mandatory for specific domestic worker jobs, with optional participation for remaining roles in this category.”
Which professions are mandatory
Published summaries agree there are five mandatory professions but do not agree on the full list. Every summary we read includes the private agricultural engineer, private tutor and personal trainer. The other two are given as personal assistant and housekeeper (Gulf News, January 2023), home nurse and personal assistant (LY Lawyers), or home care provider and private messenger (Gulf News, July 2025). Housekeepers, nannies, cooks, drivers and gardeners are usually listed among the optional roles. Because of that conflict, check the profession on the worker’s permit against Resolution 675 on MOHRE’s site, or ask MOHRE, before assuming either way.
How payment works for domestic workers
Gulf News reported in July 2025 that domestic worker wages can be paid electronically through banks and exchange houses, or in cash through approved financial institutions, banks and exchange offices authorised by the Central Bank. The same report says wages are due within a maximum of 10 working days of the due date and that a file can be suspended if wages go unpaid for two months. These domestic worker timings are from news reports and are separate from Resolution 340’s private-sector rules.
Even where WPS is optional, a recorded transfer protects both sides: it proves what was paid and when, which is the question most household disputes turn on. For the visa side, see our domestic worker visa service.
Free zones and the WPS UAE rules
The Wage Protection System is a MOHRE system. Resolution 340 applies to establishments registered with MOHRE, which is every mainland company. Free zone companies are licensed and issue permits through their free zone authority, and whether WPS or an equivalent applies depends on that authority.
| Where you are licensed | Position |
|---|---|
| Mainland (DET, other emirates’ economic departments) | MOHRE-registered; Resolution 340 applies in full |
| Free zones issuing their own permits | Depends on the authority. DLA Piper’s briefing on Resolution 340 says it affects “those in affected freezones”, naming Jebel Ali Free Zone and DMCC. Confirm with your free zone |
| DIFC and ADGM | Separate employment laws and courts; their own wage rules apply rather than MOHRE’s |
| A free zone company with MOHRE-registered staff (for example, a branch on the mainland) | The mainland establishment is in scope for its MOHRE workers |
The question that settles it is simple: which authority issued your workers’ permits, and where would an employee complain about you? If the answer is MOHRE, the WPS rules apply. Our guide to free zone vs mainland sets out the wider differences, and our free zone visa services team can check your position.
Emiratisation and the minimum wage on the WPS salary record
WPS is also the data MOHRE uses to check other rules. The clearest example is the minimum wage for Emiratis in the private sector, which MOHRE raised to AED 6,000 a month from 1 January 2026 for new, renewed and amended permits. KPMG reported that existing Emirati staff had to be brought up to the new minimum by 30 June 2026, and that from 1 July 2026 an Emirati paid below it no longer counts towards Emiratisation targets.
What counts is the figure transferred through WPS, not the offer letter. If you employ Emiratis, check the monthly WPS salary on the record. Emiratisation targets and fines are covered in our guide to Emiratisation rules in the UAE.
How employees can check their WPS salary
This guide is written for employers, but the employee’s view is useful for them too, because it shows what the Ministry sees.
- The WPS salary should arrive by the 1st in an account or payroll card in the worker’s own name.
- The bank or card statement is the evidence. A WPS transfer usually shows the employer’s name or the agent’s reference.
- MOHRE already sees late payment. Notices go to the establishment from day 2 without a complaint.
- If the salary is late or short, the worker can complain to MOHRE through its website, app or call centre on 600590000.
The full employee sequence, including what to collect and how to claim, is in our guide to what to do when salary is not paid, and the complaint process itself is in how to file a MOHRE complaint.
Clearing a WPS UAE block: the order that works
If notices have arrived or new permits are suspended, the sequence matters.
- Find the actual cause. Non-payment, partial payment, a failed file, or a data problem (an unreported absence, unnotified leave, a leaver still on the list). Each has a different fix.
- Pay what is outstanding through WPS, so the payment appears on the record. Cash does not clear a WPS position.
- Fix the record for workers who should be exempt: register the absence report, notify unpaid leave, cancel the permit of a worker who has left.
- Reconcile every worker, including anyone whose transfer failed inside a file that looked successful.
- Settle any administrative fines under Cabinet Resolution No. 21 of 2020.
- Deal with complaints in parallel. A worker’s claim is separate from the establishment’s WPS position, and paying one does not close the other.
- Confirm the status has lifted in the MOHRE app or website before you plan new hires or renewals.
- Address the classification. If you were moved to category three, ask what the path back is once the record is clean.
Paying in cash. It may help your staff, and sometimes it is the right thing to do in an emergency, but it is invisible to the Wage Protection System that measures you. An agreement with staff to wait. Workers’ willingness to be patient does not suspend the obligation, and each worker keeps the right to claim.
WPS rules in practice: five cases, worked through
These cases are built from the situations we see most often. Names and identifying details are left out, and the figures are the published ones.
1. WPS salary due date: a contractor that used to pay on the 10th
Mainland contracting company, 180 workers, contracts and HR policy saying salary is paid “by the 10th of the following month”.
Position: under Resolution 598 of 2022 that worked, because the due date followed the contract and there were 15 days before default. Under the 2026 WPS rules the due date is the 1st. Paying on the 10th would put the company past day 5 (new permits suspended) every month, and as a repeat within six months it would reach the day 11 stage, with fines and category three. At 180 workers in construction, any month that slipped past day 16 would also bring automatic labour disputes. Route: the finance calendar was moved so the SIF is funded by the 27th, contracts were amended through MOHRE, and the change was announced to staff. The lesson: check that your payday is not a leftover from the old rules.
2. WPS salary paid in cash: a company that paid everyone off-system for one month
Trading company, 25 workers. A client payment failed; the owner raised cash and paid everyone in full, off-system.
Position: the workers were paid, but the WPS record showed nothing. Notices started on day 2 and new permits were suspended while two visa renewals were pending. Route: the cash payments were documented with dated receipts for the amounts actually paid, MOHRE was contacted with the evidence, and the next month’s run went through WPS early. The lesson: a good intention invisible to the system still counts as a violation. Had the same money gone through the agent, there would have been no case.
3. WPS rules and absence: three workers who stopped coming to work
Cleaning services company, 60 workers. Three workers stopped attending in April and were left off May’s salary file.
Position: the establishment transferred 95% of total wages, so it passed the 85% test. But the three were still on the MOHRE record with no absence report, so each counted as unpaid, and cleaning is one of the sectors where group thresholds apply. Route: absence reports were registered under MOHRE’s process, which exempts the workers during the report’s validity, and wages up to the last day worked were paid. The lesson: the WPS exemption only works if the MOHRE record exists. Our employer’s guide to absconding reports explains the steps.
4. A new joiner with no account for the WPS salary
Small consultancy, 8 workers. A new hire joined on the 15th and opened a bank account only after his first payday.
Position: under the old rules, new joiners had a 30-day window. Under Resolution 340 that exemption was removed, so his first part-month was due on the 1st and his transfer failed. The establishment still passed 85%, but he was unpaid on the individual test. Route: a payroll card was issued through the agent the same week and his WPS salary credited. The company now issues a card on the first day for anyone without an account. The lesson: the account is part of onboarding, not payroll.
5. WPS rules for a holding company with four entities
Group with four mainland entities in security services. Each has 15 to 20 guards. One entity’s payroll was delayed by three weeks while funds were moved between companies.
Position: no single entity had 25 workers, and the group assumed the day 16 and day 21 measures could not apply. As reported, for security and the other named sectors the thresholds are counted across commonly owned establishments, so the group’s unpaid headcount could bring it inside them. Route: wages were paid through WPS, each entity’s MOHRE status was checked, and payroll funding was separated so each company is funded before the 1st. The lesson: in the named sectors, the group is the unit that matters.
What circulates online that is not true
| Claim about WPS UAE | The published position |
|---|---|
| “Employers have until the 15th to pay” | That was the old regime. Since 1 June 2026 the due date is the 1st and notices start on day 2 |
| “Reminders come on day 3 and day 10; nothing happens until day 17” | That describes Resolution 43 of 2022, repealed twice since |
| “The 85% rule means we can pay 85%” | It is an establishment threshold. An individual counts as paid at 85% only where the gap is a lawful deduction, and the worker keeps the right to the balance |
| “WPS is only for large companies” | Every MOHRE-registered establishment must pay through WPS. Size affects which of the later measures apply, not the obligation |
| “New staff are exempt for their first month” | The 30-day exemption was removed by Resolution 340 |
| “Cash is fine if staff sign for it” | Cash does not count as a WPS salary, and false receipts are fined at AED 5,000 per worker |
| “Every company with 50 staff is prosecuted after 21 days” | The reported condition needs a repeated violation, or a risk to the labour market for an establishment of any size |
| “All free zones are outside WPS” | It depends on the free zone authority; some are reported as affected |
How to verify every WPS UAE figure in this guide
| Point | Where it comes from |
|---|---|
| Definition, partner institutions, domestic worker scope | MOHRE: Wages Protection System guidance page |
| System operator, since 2009, data feeds to MOHRE | Central Bank of the UAE: UAEWPS page |
| 85% threshold, gradual and risk-based approach, AED 37 billion a month, 90+ institutions, implementation from 1 July 2026 | MOHRE statements of 4 and 5 June 2026 (as published by Emirates 24|7) |
| December 2025 update, partners, AED 35 billion a month | MOHRE news, 10 December 2025 (reported by Zawya) |
| Due date, exemptions, day-by-day measures, thresholds, delegation | Ministerial Resolution No. 340 of 2026, as reported by Gulf News, Khaleej Times, Baker McKenzie, Morgan Lewis, Habib Al Mulla, Deloitte |
| Wage payment through approved systems; deductions; 14-day final payment | Federal Decree-Law No. 33 of 2021, Arts. 22, 25, 53; Cabinet Resolution No. 1 of 2022, Art. 16 |
| Fines AED 1,000 / AED 5,000 / AED 20,000 per worker | Cabinet Resolution No. 21 of 2020, administrative fines table |
| Category fees AED 250 / 1,200 / 3,450 | MOHRE news, 1 June 2022: new classification of private companies |
| Emirati minimum wage AED 6,000 | MOHRE news, 31 December 2025; KPMG flash alert for the transition date |
We re-checked every point in this guide. Changes from the previous version: (1) we previously described the escalation as notices on days 3 and 10, default at day 15 and suspension of services at day 17; that timeline belongs to the repealed resolutions, and the 2026 WPS rules as reported start measures on day 2, with further stages at days 5, 11, 16 and 21. (2) We previously said wages fall due on the first day of the month after the contract period; under Resolution 340 the due date is the 1st of each month for every establishment. (3) We previously said the 2026 decision added no new obligations; MOHRE described its approach as gradual, but the due date, the 85% individual test and the removal of the new-joiner exemption are real changes, now explained. (4) We replaced the list of partner institutions with the list on MOHRE’s current guidance page. (5) We added the exemptions, the worker-number thresholds for disputes and prosecution, the fine amounts from Cabinet Resolution No. 21 of 2020, and the conflicting published lists of mandatory domestic worker professions.
What we will and will not do
We will review your WPS set-up against the current rules before charging you, tell you in writing what needs to change, carry out the MOHRE transactions that keep your record accurate (absence reports, leave notifications, contract amendments, permit cancellations), help you clear a block in the right order, and tell you plainly when your bank or payroll provider already covers what you need.
We will not hold or transfer wages, act as a WPS agent, advise you to pay outside the Wage Protection System or to record payments that did not happen, promise that a fine or a classification will be removed, or quote you a fee that changes after you have paid.
Related guides
- Salary not paid in the UAE: the employee’s side, step by step
- How to file a MOHRE complaint: channels, stages and decisions
- End of service gratuity: the final settlement due within 14 days
- Work permit types in the UAE: the permits whose fees your category drives
- UAE employment contract types: the contract wage WPS measures against
- What is MOHRE: the Ministry, its services and classification
- Employee absconded: the employer’s guide
- ILOE insurance: the other monthly obligation for private-sector staff
- UAE labour ban: MOHRE bans and how they are lifted
- Gratuity calculator
WPS UAE: frequently asked questions
What is WPS in the UAE?
WPS is the Wage Protection System, an electronic system through which private-sector employers registered with MOHRE must pay wages via approved banks, exchange houses and financial institutions. The Central Bank of the UAE operates the payment system, introduced in 2009, and sends payment data to MOHRE, so the Ministry can see who was paid, how much and when without waiting for a complaint.
What is the WPS salary due date in 2026?
Under Ministerial Resolution No. 340 of 2026, in force from 1 June 2026, wages for each month are due on the 1st of the following Gregorian month, as reported by Gulf News, Khaleej Times and law firms. A payment after the 1st is treated as delayed, and notices can start on day 2. The old 15-day window from Resolution 598 of 2022 no longer applies.
What is the 85% rule in the WPS rules?
MOHRE says an establishment is compliant if it transfers at least 85% of total wages due within the timeframe. Separately, a worker is reportedly not treated as unpaid at 85% or more, but only where the shortfall is a lawful deduction under the Labour Law. It is not permission to pay staff 85%; each worker can claim the balance.
Which companies must pay salaries through the Wage Protection System?
Every private-sector establishment registered with MOHRE, for every worker on a MOHRE work permit, whatever its size. That includes part-time workers, probationers and, since 2026, new joiners from their first pay cycle. Reported exemptions cover specific workers (court cases, absence reports, approved unpaid leave, short mission permits) and some establishments, such as banks and places of worship.
What happens if an employer pays late under the WPS rules?
As reported, notices start on day 2, new work permits can be suspended from day 5, fines and category three can follow from day 11 for repeat violations, MOHRE can register labour disputes from day 16 for establishments with 25 or more workers, and from day 21 attachment, travel bans and prosecution referral are possible for repeat cases with 50 or more workers.
How much is the fine for not paying through WPS?
Cabinet Resolution No. 21 of 2020 lists AED 1,000 per worker, up to AED 20,000, for not paying the wage through WPS within the set period. Making workers sign false receipts or entering incorrect WPS data is AED 5,000 per worker, up to AED 50,000. Deducting wages without legal grounds is AED 20,000 per worker. Check the final figure on the MOHRE screen.
Can a company be referred to prosecution for late salaries?
Yes, as reported. From day 21, establishments with 50 or more workers that repeat the violation (reported as over two consecutive months) can be referred to the Public Prosecution, alongside asset attachment and a travel ban on the person responsible. An establishment of any size can be referred where its violation threatens the stability of the labour market.
Are new employees exempt from WPS in their first month?
Not any more. Resolution 598 of 2022 gave new joiners a 30-day exemption. Resolution 340 of 2026 reportedly removed it, so a new worker is in scope from their first pay cycle. Open a bank account or payroll card for each joiner in their first week so their first WPS salary can be credited by the 1st.
Do free zone companies have to use the Wage Protection System?
It depends on the free zone. WPS is a MOHRE system and applies in full to MOHRE-registered, mainland establishments. Free zones issue their own permits; DLA Piper reported that Resolution 340 also affects some free zones, naming Jebel Ali Free Zone and DMCC. DIFC and ADGM have their own employment laws. Confirm with your free zone authority.
Do domestic workers have to be paid through WPS?
Some do. Under Ministerial Resolution No. 675 of 2022, WPS is mandatory for five domestic work professions and optional for the rest. Every published list includes private agricultural engineers, private tutors and personal trainers, but the other two names differ between sources. Check the profession on the permit against the resolution or ask MOHRE on 600590000.
Can we outsource payroll and hand WPS to a third party?
Yes. Resolution 340 reportedly allows delegation to a third party if the establishment gives MOHRE the delegate’s details and the delegation contract. Responsibility does not move: if the provider misses the 1st, the notices, permit suspension and fines apply to your establishment. Build a check that the run was credited into your own month-end routine.
What is a SIF file for a WPS salary run?
The SIF, or salary information file, is the structured file an employer sends to its WPS agent listing each worker, their identifiers, account details and pay, with a control total for the run. Each agent supplies its own template or platform. Most rejections come from the file: a worker not on the MOHRE list, a closed account, or totals that do not match.
How does a WPS violation affect our MOHRE classification?
Wage violations are a route to category three, and the 2026 WPS rules reportedly allow reclassification from day 11 for repeat violations. MOHRE’s work permit fee over two years is AED 250 in category one, AED 1,200 in category two and AED 3,450 in category three, so the classification can cost far more than the fine itself.
Can MIRDXB PRO fix our WPS UAE problem with MOHRE?
We handle the MOHRE side: reviewing the establishment record, registering absence reports and leave notifications, amending contracts, cancelling permits of leavers and helping you clear a block in the right order. We do not act as a WPS agent or move wages; your bank or exchange house does that. Government fees are at cost and our fee is quoted in writing first.
Can you set up the Wage Protection System for our new mainland company?
Yes. We open the MOHRE labour file, issue the first work permits, and walk you through appointing a WPS agent and preparing the first salary run so it is credited before the 1st. Send us your trade licence and expected headcount on WhatsApp and we will reply with the steps, the government fees and our fee in writing.
Keeping a company’s MOHRE file, permits and WPS record aligned month after month is what our PRO services in Dubai team handles for mainland employers.
- MOHRE: Wages Protection System guidance
- MOHRE news, 4 June 2026: new Wage Protection System decision adopts a gradual approach
- MOHRE news, 10 December 2025: new update for the Wage Protection System
- MOHRE news, 1 June 2022: new classification of private companies
- MOHRE news, 31 December 2025: minimum wage for Emiratis raised to AED 6,000
- MOHRE: Ministerial Resolution No. 598 of 2022 (repealed 1 June 2026)
- MOHRE: Ministerial Resolution No. 675 of 2022 on domestic work professions under WPS
- Central Bank of the UAE: UAE Wages Protection System (UAEWPS)
- Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations
- Cabinet Resolution No. 1 of 2022, Executive Regulation of the Labour Law
- Cabinet Resolution No. 21 of 2020 on MOHRE service fees and administrative fines
- u.ae: Payment of salaries (wages)
- Emirates 24|7, 5 June 2026: MOHRE figures on WPS (secondary)
- Gulf News: Wage Protection System overhaul starts June 1 (secondary)
- Khaleej Times: new salary rule, fines and travel bans explained (secondary)
- Baker McKenzie: UAE new resolution impacting payroll (secondary)
- Morgan Lewis: new Wage Protection System resolution effective 1 June 2026 (secondary)
Please note. The rules, thresholds, fines and fees in this guide are taken from MOHRE’s guidance and news pages, the Central Bank of the UAE, and the UAE legislation portal, verified 23 September 2026. The detailed provisions of Ministerial Resolution No. 340 of 2026 are taken from consistent news and law-firm reports because the full text was not available to us from an official repository; they are marked “as reported”. Where sources differ, both are shown, and the resolution text and MOHRE’s decision on your establishment are final. The salary file details and the cases are practical guidance built from common situations, not published rules or the records of named clients. Free zone rules vary by authority. This guide is general information and not legal advice.




