Current Minimum Wage Rates
- No statutory minimum wage exists in the UAE. The UAE Labour Law does not fix a national minimum salary, but it requires that salaries be sufficient for basic needs.
- The law grants the Cabinet authority to set minimum wages for specific professions or categories – but no official resolution has been issued yet.
Wage Protection System (WPS)
WPS (Wage Protection System) in the UAE is a government-mandated electronic salary transfer system designed to ensure timely and transparent payment of wages to employees in the private sector
- MoHRE & UAE Central Bank in 2009
- Protect employee rights, prevent wage delays, and ensure legal compliance
- Salary must be paid within 15 days of the due date to be compliance with the requirement.
- Non-compliance can lead to fines and work permit bans and downgrading of company status
WPS Minimum Requirements:
- Pay at least 90% of employees monthly.
- Pay at least 80% of each employee’s wage monthly.
Record-Keeping Requirements
- Employers must track and maintain salary records (e.g., payslips, bank transfers, attendance) for at least 2 years to comply with MOHRE and WPS auditing requirements.
- Use of the Wages Protection System (WPS) – an electronic salary transfer system – is mandatory:
- At least 80% of wages and 90% of total employee must be processed monthly through WPS.
- Employers must pay wages within 15 days of the contractual due date; late payments trigger reminders, fines, approvals hold, or criminal referral.
Salary
- Salary refers to remuneration, including allowances, paid for work done under a contract of service.
- UAE does not have a minimum wage. Employee salary is subject to negotiation and agreement between employer and employee.
- The maximum normal working hours for workers shall be (8) eight hours per day or (48) forty-eight hours per week.
- Must be paid at least once a month and within 15 calendar days after the end of the salary period.
- Salary Must be paid through WPS for Mainland Registered business.
- Employer must issue a Payslip of Salary Payment and Salary Certificate if requested.
- Freezone registered business are not required to process salary through WPS except for JAFZA and DMCC.
Salary Deduction:
- Employer cannot deduct more than 20% of your total salary payable in any one salary period with exceptions to absence from work.
- Penalties in force at the establishment and approved by the Ministry, provided that they shall not exceed (%5) five percent of the wage.
- If Multiple Penalties the total deductions or withholdings from wages must not exceed 50%.
Market Benchmark Salaries by Job Type
- Even without legal minimum wages, market norms have formed clear salary expectations. These benchmarks are often used for visa processing and contract negotiations:
| Job Type | Entry-Level Monthly Salary (AED) |
|---|
| Retail Sales Assistant | 2,000 – 4,500 |
| Construction Labourer | 1,200 – 1,500 |
| Admin Assistant | 2,500 – 5,000 |
| Hotel Waiter | 2,250 – 2,583 |
| Customer Service Rep | 2,000 – 6,500 |
Additional Employer Obligations & Guidance
- Salaries must allow employees to cover essential living costs, even in the absence of a fixed minimum.
- Employers are advised to use MOHRE wage benchmarks under Federal Decree‑Law 33/2021, Article 27, aligning with industry standards and visa requirements.
- Free zone authorities may set their own minimum salary criteria – especially for mainland‑sponsored roles like university graduates in free‑zone visas.