ABU DHABI – The United Arab Emirates (UAE) government has enforced a new law, requiring all private companies to pay salaries of their employees by the first day of each month.
According to a statement from the UAE Ministry of Human Resources and Emiratisation, the law applies exclusively to private sector companies, and government institutions are not included in this mandate.
Officials have emphasized that any company failing to meet the deadline will be considered late, and could face legal action, including fines and other penalties.
The ministry highlighted that the purpose of the legislation is to protect employees’ rights and strengthen the system for timely salary payments, helping workers avoid financial difficulties.
Reports indicate that the UAE government has already introduced multiple reforms to safeguard workers’ rights, and this new policy is being seen as an important continuation of these efforts.
Experts suggest that the law will particularly benefit expatriate workers employed in the private sector, who rely heavily on receiving their salaries on schedule.
