WPS Salary Processing System

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Wage Protection System
or WPS is an electronic salary transfer system that allows organizations to pay employees’ wages through banks, bureaux de change and other authorized financial institutions. It is an initiative from the Central Bank of the UAE along with the UAE Ministry of Labour to provide a safe, secure, efficient and robust mechanism to streamline timely payment of wages to employees by their employers.
The system developed by the Central Bank of the UAE, in September 2009, allows Ministry of Labour to develop a database that records wage payments in the private sector to guarantee the timely and full agreed wages to a all employees of any organization.

WPS targets the following parties from the Ministry partners:

Workers: each and every individual who works in the private sector in return for agreed-upon wages and who has a labour card issued by the Ministry;
Employers: whoever owns a company or institution registered with the Ministry and hires one or more workers in return for agreed-upon wages;
Banks: the financial institution which the employer has a bank account with,, that is used to transfer the wages amount through WPS to the appointed agent to distribute to the labours. Agent: any bank, bureau de change, or financial institution approved and authorized by the Central Bank of the UAE to offer wages payment services via WPS. The Central Bank of the UAE will issue a regularly updated list showing names of approved and authorized agents.

WPS is mandatory

WPS is made mandatory by the Ministry of Labour to ensure fair and timely wages to all employees, requires every employer to choose any registered agent (banks, exchange houses and financial institutions) to join the WPS.


The deadline for implementing the WPS depends on the size of the company. Firms with more than 100 workers should register before November 30, 2009; companies with a workforce of 15 to 99 by February 28, 2010; and companies with less than 15 workers before May 31, 2010. Companies failing to meet the deadline will be denied new work permits and employees will not have any means to draw their salaries.

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