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UAE: Pay staff on time, ministry urges private sector companies

Web Report/Dubai
Filed on April 12, 2021

Every employee's insurance policy coverage will increase from Dh120 to Dh250 in companies not committed to paying their employees' wages.


The UAE's Ministry of Human Resources and Emiratisation has urged private sector companies to pay the wages of their employees on time, under the framework of the national Wage Protection System aimed at ensuring labour stability.

This issue is one of the challenges caused by the Covid-19 pandemic, which has negatively affected international labour markets and reduced the ability of private sector companies to pay their employees. Therefore, every employee's insurance policy coverage will increase from Dh120 to Dh250 in establishments that are not committed to paying their employees' wages.

The new insurance policy covers the financial entitlements of the employees of relevant companies for 30 months, as per the wage protection system, to maintain labour stability and ensure the rights of employees to their wages.

The insurance policy will ensure the rights of all workers as stipulated in Federal Law No.8 for 1980 on regulating labour relations, along with its amendments and related resolutions.

The policy will cover the value of travel tickets for workers who are absent from work, providing that they report their absence during the insurance coverage period. It will also cover the transportation costs of a worker's body in the event of their death.





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