UAE | Employment
More workers are paid electronically
Some 300,000 workers now receive their monthly salary electronically, said the Labour Minister.
- By Wafa Issa, Staff Reporter
- Published: 01:28 January 31, 2008
Dubai: Some 300,000 workers now receive their monthly salary electronically, said the Labour Minister.
However, there is no information available on how many workers in the country need to sign up to this service. Around 3,145,000 expatriate workers are registered in the country.
Dr Ali Abdullah Al Ka'abi, Minister of Labour, raised the issue during a press conference to sign an agreement with C3 card, a card service provider and electronic salary management company. Al Ka'abi said the new electronic payment system is proving to be successful, with 300,000 workers benefitting from the new system.
The electronic salary payment system was approved by the UAE Cabinet in June 2007 and companies were instructed to make all salary payments electronic by January 1.
Protection
Earlier, many workers, mainly those in the construction sector, were paid in cash which left them subject to exploitation by employers.
"The aim of this new legislation is to protect workers and give the ministry the opportunity to monitor the payment of salaries. Companies that will not adhere will have their transactions stopped," said Al Ka'abi, adding that companies with less than five employees will be exempted unless they increase their staff.
The agreement signed with C3 will enable employees to receive their salaries via instant electronic transfer.
The C3 Payroll card is re-loadable and can be topped up as required. It also allows instant access to funds, even for off-site employees and when employees are on leave.
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