Effective 1 June 2026, the UAE has rolled out a new unified deadline for salary payments across the private sector. Here is a full breakdown of what has changed and how to ensure your business remains compliant.<\/p>\n\n\n\n
Through Ministerial Resolution No. 340 of 2026, the Ministry of Human Resources and Emiratisation (MOHRE) has established a standardised monthly wage payment deadline for the private sector. All private sector businesses registered with MOHRE are now required to pay employees their previous month’s salaries by the 1st of each month, without exception.<\/p>\n\n\n\n
Any payment processed after this date will be treated as a delayed wage under the UAE’s Wage Protection System<\/a> (WPS).<\/p>\n\n\n\n Salaries must be transferred via the WPS or another MOHRE-approved payment method. Employers are additionally required to keep records that confirm payments have been made in line with the Ministry’s procedures.<\/p>\n\n\n\n A business is deemed compliant when at least 85% of the total wages owed to its workforce are paid by the deadline. This threshold exists to accommodate situations where a portion of salary is legally withheld or deducted under UAE labour laws<\/a>.<\/p>\n\n\n\n Likewise, an employee is not considered unpaid if they receive at least 85% of their entitled wages, as long as any shortfall is attributable to lawful deductions, though this does not affect the employee’s right to pursue any remaining balance.<\/p>\n\n\n\n It is worth noting that employers may delegate payroll processing to a third party; however, the legal obligation for timely payment continues to rest with the employer.<\/p>\n\n\n\n MOHRE has introduced a structured, escalating series of consequences for employers who miss the deadline.<\/p>\n\n\n\n Where violations occur across two consecutive months, companies with more than 50 employees, or where related entities collectively employ 50 or more affected workers, may be referred to the Public Prosecution. Authorities also retain the right to intervene regardless of company size where there is perceived risk to the stability of the UAE labour market.<\/p>\n\n\n\n The resolution sets out a number of categories that fall outside the WPS framework:<\/p>\n\n\n\n Certain sectors are also fully excluded from WPS requirements<\/a>, including fishing boats, individually owned public taxis, banks, financial institutions, and places of worship.<\/p>\n\n\n\n For businesses operating across the UAE, keeping pace with changes to labour legislation can be demanding, particularly when managing a geographically dispersed or multinational workforce. Partnering with an experienced payroll outsourcing provider<\/a> can help take that complexity off your plate, so you can focus on running your business with confidence. Get in touch<\/a> with our team today to find out how we can support your business in the UAE!<\/p>\n","protected":false},"excerpt":{"rendered":" Effective 1 June 2026, the UAE has rolled out a new unified deadline for salary payments across the private sector. Here is a full breakdown of what has changed and how to ensure your business remains compliant. What has changed? Through Ministerial Resolution No. 340 of 2026, the Ministry of Human Resources and Emiratisation (MOHRE) […]<\/p>\nWhat does compliance look like under the new rule?<\/strong><\/h4>\n\n\n\n
What penalties apply for late payment?<\/strong><\/h4>\n\n\n\n
Which businesses and workers are exempt?<\/strong><\/h4>\n\n\n\n
Steps employers should take now<\/strong>:<\/h4>\n\n\n\n