FILIPINO workers in the United Arab Emirates will no longer have to deal with delayed salaries after the UAE Ministry of Human Resources and Emiratisation issued a new decree requiring firms to fully pay their employees’ wages within 10 days from the due date.
Minister Saqr bin Ghobash Saeed Ghobash said the new decree will take effect in October when companies employing over 100 workers will be required to fully pay employees’ wages within a period not exceeding 10 days.
If they fail, the ministry will stop granting them any additional work permits starting from the 16th day after the date of delay.
“Two main things should be considered in this matter: firstly, salary delays occur usually if the company fails to pay wages a month from the due date, the second, which refers to completely refraining wages, starts after entering into the second month, however, the decree shall refer to each case in a different matter,” the minister said.
The decree states that if a company delays wages by one month from the due date, the ministry shall inform the judicial authorities and other concerned parties to take all necessary punitive measures, which could also affect the other companies owned by the same employer, who may also be denied registration of new companies.
Furthermore, if a company continues to withhold wages, the ministry shall take necessary measures to use the bank guarantee, in addition to downgrading the company into the third category and enable the workers to move to another company.
A fine of 5,000 dirhams will be slapped on the company every time a worker’s wage is delayed. It could go to as much as 50,000 dirhams in cases that involve multiple workers not getting their wages in time or over 60 days.