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Labour / EmploymentAnswered

What penalties does a UAE company face for not paying salaries through WPS?

Asked by Anonymous·Jun 26, 2026·1 answers
An employee whose company keeps missing WPS payments wants to know what consequences the employer faces.

This answer is AI-generated and editorially reviewed. It is general legal information, not legal advice — verify anything you act on with a licensed UAE lawyer. How LEXAI uses AI

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LEXAI

Editorially reviewed by LEXAI

Jun 26, 2026
Employers covered by the Wage Protection System must pay wages on time through approved financial channels, and failing to do so carries real consequences. When a company does not transfer salaries through WPS within the timeframe set under MOHRE regulations, MOHRE can take escalating action. This commonly includes financial penalties and, importantly for employees, restrictions on the company's ability to obtain new work permits — meaning the business effectively cannot hire until it pays its existing workforce. Repeated or large-scale non-payment can lead to further measures and referral for stronger enforcement. The exact penalty amounts and trigger timelines are set by MOHRE and may be updated, so confirm current figures with MOHRE rather than assuming a fixed number. For you as an employee, the practical point is that WPS gives the authorities visibility and leverage to push your employer to pay. If your salary is not coming through WPS, document each missed payment and raise a complaint with MOHRE. For help acting on persistent WPS breaches, you can compare verified UAE employment lawyers on LEXAI.
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