Official decisions against 33,000 companies in the UAE over salaries

rawda samy - | UAE

These verdicts were made against 33,000 enterprises in the Emirates, and they were related to pay salaries.

In the year 2023, companies in the United Arab Emirates were punished for 33,000 instances of unpaid salaries.

Over the same time period, 509 businesses were reported to the Public Prosecution for providing services that were not permitted.

In 2023, the authorities in the United Arab Emirates (UAE) discovered 33,000 instances of businesses that failed to pay their employees their salaries through the Wage Protection System (WPS). Companies were subjected to "administrative penalties," according to the Ministry of Human Resources and Emiratisation (MoHRE), which issued the statement.

The Ministry of Human Resources and Emiratisation issues decisions against 33,000 companies in the Emirates over salaries.

When it came to the WPS, which is an electronic pay transfer system that is carried out through approved financial institutions, the ministry did not provide any information regarding the administrative penalties or punishment amounts that it imposed on businesses that did not comply with the system. The law mandates that all employers who are registered with the Ministry of Human Resources and Employment must subscribe to the system and use it to pay their employees' salaries. The suspension of the issue of work permits and the payment of fines are both penalties for infractions.

The Ministry of Human Resources and Emiratisation punishes violating companies in the Emirates.

Companies in the Emirates that violate the law are subject to disciplinary action from the Ministry of Human Resources and Emiratization.

In 2023, the ministry said that it had referred 509 businesses to the Public Prosecution for providing services for which they did not have the necessary licenses. Additionally, there were fifty-five instances of businesses hiring workers without providing them with a license. In the absence of a license, five social media profiles were terminated for recruitment purposes.

The Ministry of Human Resources and Employment imposed administrative penalties on over 1,200 instances of providing false documents or data to the ministry in order to obtain a service, as well as 76 instances of worker accommodations that were not compliant with rules.

Over the course of the 430,000 inspection visits that its inspectors carried out in the previous year, the ministry reported a total of 75,000 recorded breaches. From the middle of 2022 until the present, approximately 1,077 businesses have been cited for breaking Emiratization decisions and policies, including fraudulent Emiratization.

Additionally, 185 cases were marked for non-compliance with the Midday Break, which prohibited workers from performing their activities at noontime in bright sunshine and in open areas between the dates of June 55 and September 15. In another thirty instances, businesses failed to notify the ministry of any work-related injuries, occupational diseases, or deaths that occurred among their employees. Among other infractions, it was discovered that three companies had breached the law by illegally passing on the costs of recruitment to their employees.

Through the official channels that were available to the public, MoHRE received about 1,500 complaints.

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