Small companies are violating a bank wage system created by the UAE recently to protect workers’ rights by failing to pay their employees on time, according to the Ministry of Labour.
Although all of them have joined the system, introduced after growing complaints by private sector workers about long delays in paying salaries, many of the small firms are still defaulting in monthly wage payments, the Ministry said in a statement carried by Albayan newspaper.
It singled out companies with fewer than 15 workers and said many of them are simply submitting bank certificates showing they are registered in the wage protection system in order to get new work visas and other services.
“But thing have changed now….registering in the wage system is no longer enough for the companies to obtain services from the Ministry, including issuance of new work visas and renewal of labour cards,” it said.
“What matters now is that these firms must comply with this system by paying their employees on time through this system…there must be no delays at all…the Ministry no longer accepts applications from any company which is registered in that system but does not pay salaries to workers on time.”