Wage Protection System - WPS in UAE
The Wage Protection System – WPS in UAE is a mandatory electronic salary transfer system introduced by MOHRE to ensure private-sector employees are paid accurately and on time through approved banks and financial institutions. It enhances transparency, safeguards workers’ rights, and allows the government to monitor wage payments effectively.
What does MOHRE stand for in the UAE?
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MOHRE stands for Ministry of Human Resources and Emiratisation.
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It is a government authority in the UAE that regulates the labor market.
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MOHRE is responsible for:
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Enforcing employment laws and labor rights
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Handling company registrations for labor-related matters
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Issuing work permits and managing labor contracts
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Implementing and monitoring the Wage Protection System (WPS)
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Resolving labor disputes between employers and employees
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Promoting Emiratisation by increasing employment of UAE nationals
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In simple terms, MOHRE ensures fair employment practices and protects the rights of both workers and employers in the UAE.
What Is the WPS Salary System?
The Wage Protection System (WPS) is an electronic salary transfer system introduced by the UAE’s Ministry of Human Resources and Emiratisation (MOHRE). It applies to all private-sector employers, requiring them to pay employee wages through UAE Central Bank-approved banks and financial institutions.
With WPS, you can be sure that:
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Employees are paid on or before the due date
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Payments are processed through official channels
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A digital salary record is always available
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The government can monitor payments in real-time
It’s a system designed to protect employee rights while helping employers maintain clean, trackable payroll practices.
How Does the WPS Process Work?
Here’s a step-by-step look at how WPS in UAE works for businesses:
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Company registers with MOHRE and signs up for WPS
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Corporate bank account is opened with WPS support
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Employers prepare and upload a Salary Information File (SIF) monthly
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The bank processes the file and transfers salaries to employees
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MOHRE tracks and verifies the payment status in real-time
WPS Salary Processing Time in UAE
Once your company submits the SIF and the funds are available, WPS usually processes salaries within 1 to 3 working days. However, delays may occur due to:
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Bank holidays
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Errors in the SIF file
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Insufficient funds in the employer’s account
What Are WPS Salary Cards?
Not all workers in the UAE have bank accounts. To solve this, some banks and exchange houses issue WPS salary cards—which work like prepaid debit cards.
With these cards, employees can:
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Withdraw their salary from ATMs
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Pay for groceries, bills, and shopping
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Send money back home
It’s a simple and secure way for unbanked workers to access their wages.
WPS Fines and Penalties in UAE
Failing to comply with WPS rules comes with serious consequences. Here’s a breakdown:
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Within 10 days of delay: Employer receives a warning
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More than 15 days late:
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AED 5,000 fine per unpaid employee
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Maximum fine: AED 50,000
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Continued violation:
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Business license suspension
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Compliance isn’t optional—it’s essential.
New WPS Rules in UAE 2025
The UAE government is stepping up WPS enforcement in 2025. Here’s what’s new:
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Even small businesses must now register for WPS
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MOHRE will monitor unjustified salary differences between similar job roles
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Cash payments are no longer acceptable under any condition
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WPS is now linked to Emiratisation targets—especially for companies hiring UAE nationals
If your company isn’t yet WPS-compliant, now is the time to act.
How to Register for WPS in UAE
Setting up WPS for your company is straightforward. Follow these steps:
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Open a WPS-enabled corporate bank account
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Register on the MOHRE portal
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Submit employee details, including salary agreements
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Upload your Salary Information File (SIF) each month
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The bank will handle technical processing and integration with WPS
Pro tip: Your bank can guide you through the initial setup.
How to Check WPS Salary Status Online
To check WPS in UAE salary payment status:
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Visit the MOHRE website: https://mohre.gov.ae
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Navigate to Services → Wage Protection System
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Enter your company trade license number
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View current WPS compliance and payment status
Wage Protection System UAE Examples
Here are a few real-world examples of WPS in action:
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A construction company in Dubai pays 100 workers via WPS using prepaid WPS cards.
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A small retail shop in Abu Dhabi uses a local bank’s WPS salary portal to ensure on-time salary deposits.
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A free zone company integrates its payroll software with WPS for auto-processing.
New WPS Rules in UAE 2025
The WPS in UAE is a vital regulation for businesses and workers alike. Whether you’re a business owner or employee, understanding how Wage Protection System in Dubai, UAE functions helps you stay compliant, avoid fines, and ensure secure, timely payments.
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Common Questions
Frequently Asked Questions
WPS is an electronic wage payment system designed to ensure secure and timely salary disbursements for private sector employees in the UAE.
Yes. All private sector businesses registered with MOHRE must process salaries through WPS.
Typically, salaries are transferred within 1-2 business days once the payment file is uploaded.
Non-compliance can result in fines, work permit restrictions, legal action, and reputational damage.
No. Even small businesses with fewer than 50 employees must adhere to WPS guidelines, or they risk penalties.
Yes. Employees on unpaid leave or involved in salary disputes may be exempt if MOHRE is informed in advance.
Companies must pay salaries through banks registered with the Central Bank using WPS. Delays or violations result in penalties.
Open a corporate bank account, register with MOHRE, and submit salary files monthly via WPS channels.
Go to MOHRE’s website → Services → Wage Protection System → Enter trade license number
