GCC Guide- Gulf GCC Guides,Visa,Driving License,Labour law,Attractions,Locations,Education,Bank,Loan: United Arab Emirates Labour Law about Salary/ Wages -UAE labour law

Workers employed on yearly or monthly wage basis shall be paid at least once a month; all other workers shall be paid at least once every two weeks.

The daily wage of workers employed on piecemeal basis shall be calculated as an equivalent to the average wage received for actual days of work during the six months preceding the termination of his service.

Evidence of payment to workers of their due wages, irrespective of their amount or nature, shall not be admissible unless it is in the form of documentary proof, admission or oath.. Any agreement to the contrary shall be null and void, albeit made prior to the date this Law comes into force. Article 59 Workers shall not be required to purchase food or other commodities at any particular shop, or of employer’s produce.

No amount of money may be deducted from a worker's wage in respect of private claims, except in the following cases:

Repayment of loans or money advances paid to the worker in excess of his entitlements, provided that the amount deducted in this case shall not exceed 10 per cent of his wage.

Contributions that the workers are required by law to make from their wages, towards social security and insurance schemes.

The worker’s contributions to a provident fund or repayment of loans due thereto.

Contributions towards any welfare scheme or in respect of any other privileges or services provided by the employer and approved by the labour department.

Fines imposed upon the worker for any offence he commits.

Any debt exacted in execution of a court ruling, provided, however, that the deduction made in execution thereof should not exceed one-quarter of the wage due to the worker. Where there are several debts or creditors, the maximum deduction shall be half the worker’s wage, which shall be divided pro rata among the creditors, after payment of any legal alimony to the extent of one quarter of the worker’s wage.

Where a worker, either through his own fault or as a result of violating the employer's instructions, causes a loss, damage or destruction to any tools, machines, products or materials that are owned by or in the custody of the employer, the employer may deduct from the worker's wage such amount as may be necessary for repair or restoration, provided that the amount so deducted shall not exceed five days’ wage for each month. However, the employer, through the concerned labour department, may request the competent court for permission to deduct a higher amount if the worker has money or any other source of income.

An employer may not transfer a monthly-paid worker, without his written consent, to the daily, weekly, hourly or piecemeal paid category.

The minimum wage and the cost-of-living index payable to workers in general or in a particular area or occupation shall be fixed by a federal decree based on a proposal to be made by the Minister of Labour and Social Affairs and approved by the Council of Ministers. The Minister shall put forward his proposal for determining, or reviewing, the minimum wage, after consulting the competent authorities and the labour organisations of workers and employers, if any, and after having reference to studies and tables of fluctuations in the cost of living indices drawn up by the competent authorities in the State, to ensure that the said minima are sufficient to meet the worker’s basic needs and guarantee his livelihood.

The minimum wage rates and any amendments thereto shall take effect from the date the decree announcing them is published in the official Gazette.