WHAT IS WAGES PROTECTION SYSTEM IN THE UAE?

The WPS got to be a reality in July, 2009 with the Ecclesiastical Declare No. 788.

It was an development of the Service of Human Assets and Emiratization (MOHRE) in affiliation with the Central Bank of UAE. The rules and directions directing its operations were encourage reinforced by the Ecclesiastical Proclaim No. 739 of 2016. On September 1, 2019, the MOHRE issued encourage directions to upgrade the WPS administration.

Fundamentally, the WPS is an electronic compensation exchange framework that supervises the payment of workers’ compensations within the UAE. It guarantees that UAE specialists are paid the correct compensation or pay rates (based on their business contracts) and in a convenient design.

The WPS has an electronic database where UAE companies must transfer their Compensation Data Records (more on this afterward) for the MOHRE and the Central Bank of UAE to affirm and approve each detail some time recently giving consent for the ahead exchange of cash to representatives.

Such a framework got to be necessary due to the corrupt activities of a few bosses in denying to pay the right compensation or pay rates, postponing such installments, utilizing seaward accounts as a way to maintain a strategic distance from required installments, or utilizing reserves from unlawful sources.

These out of line exercises frequently driven to unending work and mechanical debate and a breakdown of believe between bosses and employees.

To fathom these issues, the MOHRE presented the WPS and ordered all companies within the UAE and the Jebel Ali Free Zone (JAFZA) to embrace it (other free zones and some royal or UAE government-owned companies are exempt).

By October, 2015, 3.5 million of the 4.6 million migrant workers within the were already benefiting from the WPS, according to the International Labor Organization (ILO)..