What WPS is
The Wage Protection System (WPS) is how the Ministry of Human Resources and Emiratisation (MOHRE) checks that private-sector employees are paid. Every month you send salaries through a bank, an exchange house or another approved agent, with a salary information file (SIF) that lists each employee, their MOHRE person code and what they are paid. MOHRE matches what you paid against what you owe.
What changed in June 2026
Ministerial Resolution No. 340 of 2026 replaced the 2022 rules from 1 June 2026. Three things matter for a small business:
- Pay by the 1st. Salaries for a month must reach employees through WPS by the 1st of the next month. The 15-day grace period has been removed.
- The 85% rule. You are treated as compliant if at least 85% of total wages due is paid on time. Short payments must come from deductions the law allows.
- Penalties start fast. Action now builds day by day from the deadline, as below.
Bank transfers take time, so most payroll teams now send the file around the 27th to 29th.
What happens if salaries are late
| Day | What MOHRE can do |
|---|---|
| 2 | Warnings and notifications to the employer |
| 5 | New work permits blocked until wages are paid |
| 11 | Administrative fines and a possible downgrade of the company’s MOHRE category, especially for repeat cases within six months |
| 16 | A labour dispute registered automatically for affected workers, with tighter measures for larger cases |
| 21 | Court action to recover wages, asset restrictions and a travel ban for the person responsible |
A lower MOHRE category also means higher fees and fewer visas, so a late month can cost far more than the salaries themselves.
Who is covered, and who is not
WPS covers MOHRE-registered private-sector companies, including free zone companies whose staff hold MOHRE work permits. DIFC and ADGM have their own systems. Some employees do not count as violations, for example those in a court wage dispute, reported for absconding, on unpaid leave, or on short permits of up to three months.
A monthly routine that keeps you safe
- By the 20th: confirm joiners, leavers, unpaid leave and any lawful deductions.
- By the 25th: check each employee’s MOHRE person code and bank or card details.
- 27th to 29th: send the salary file and the funds to your WPS agent.
- By the 1st: confirm the payment shows as received, and keep the payslips.
- When someone leaves: pay final dues, including gratuity, within 14 days. Our gratuity calculator works it out.