UAE Companies Race to Meet Salary Deadline as Payroll Soars 151%

UAE Companies Race to Meet Salary Deadline as Payroll Soars 151%

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Al Ansari Exchange reported a significant increase of over 151 per cent in the number of companies utilising its Wage Protection System platform for salary processing on June 1. This surge reflects the adjustments made by UAE private sector employers to align their payroll processes with the newly implemented salary payment requirements. The increase coincided with the implementation of Ministerial Resolution No. 340 of 2026, which mandates that all private sector establishments registered with the Ministry of Human Resources and Emiratisation disburse employee wages via the Wage Protection System by the first day of each month.

Throughout the whole labour market, the Wage Protection System, which is overseen by the Ministry of Human Resources and Employment and the United Arab Emirates Central Bank, strives to improve compliance monitoring and make it easier to pay salaries. Al Ansari Exchange reports that employer activity via its WPS platform more than doubled on the initial day the new requirements were implemented, indicating that businesses are adapting to the revised payroll regulations.

Ali Al Najjar, chief executive officer of Al Ansari Exchange, stated, “The implementation of the Ministerial Resolution represents an important step in advancing the UAE’s labour market ecosystem and reinforcing the principles of transparency, accountability and employee protection. As employers adjust to the revised mandates, the necessity for effective and dependable payroll solutions grows in significance.” The revised WPS requirements are integral to the UAE’s broader initiatives aimed at enhancing compliance with wage payments and standardising salary disbursement timelines throughout the private sector.

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