UAE’s Wage Protection System allows cash, digital wages for domestic workers
The Ministry noted that there are three exceptions to wage transfers through the WPS
The Ministry of Human Resources and Emiratization (MoHRE) has announced that the Wage Protection System (WPS) for domestic workers enables employers to benefit from the option of paying wages electronically. This can be done after registering in the system and entering into agreements with financial institutions (such as banks and exchange houses) authorized by the Central Bank to offer this service through their smart applications.
The system also allows for cash payments through approved financial institutions, banks, and exchange offices authorized by the Central Bank and contracted by the employers.
In the latest issue of its “Labour Market” magazine, the Ministry highlighted several advantages of registering in the WPS, including preserving the employer’s right to prove wage payments, simplifying the salary transfer process, ensuring timely wage delivery, and strengthening the contractual relationship between the two parties.
The Ministry stated that registration in the WPS for domestic workers is optional for 14 occupations, which are: housekeeper, sailor, security guard, shepherd, stable hand, camel trainer, falconer, laborer, house manager, cook, nanny, farmer, gardener, and private driver. However, the system is mandatory for five specific occupations: private agricultural engineer, private messenger, home care provider, private tutor, and personal trainer.
Three exempted cases
The Ministry noted that there are three exceptions to wage transfers through the WPS. These include:
Domestic workers who have an ongoing labor complaint under judicial review and are not working for the employer.
Domestic workers reported as absconding.
Newly hired domestic workers during the first 30 days from the start of their employment contract.
On its official website, the Ministry stressed that wages for domestic workers must be paid in UAE dirhams within a maximum of 10 working days from the due date, in accordance with Article 15 of Federal Decree-Law No. (9) of 2022 regarding domestic workers. Failure to pay wages within two months from the due date may result in suspension of the employer’s file.
The Ministry clarified that an employer is considered late in paying wages if the payment is not made through the WPS within one month of the due date. The wage becomes due starting from the first day of the month following the period specified in the employment contract.
The Ministry emphasized its commitment to ensuring all employers are aware of the need to register in the WPS and pay wages through it. To that end, the Ministry sends notifications to employers to remind them of this obligation.
Wages in domestic worker contracts
In its latest website update, the Ministry affirmed that the Federal Law on Domestic Workers is based on the principle of informed consent. It ensures that domestic workers are fully aware of the contract terms, the nature and location of the work, wages, and rest periods—both daily and weekly—as defined in the executive regulations.
This awareness must be ensured before the worker is recruited and departs from their home country. The law identifies 19 professions covered under domestic worker regulations. The UAE organizes the contractual relationship between domestic workers, recruitment agencies, and employers according to best international practices and in alignment with International Labour Organization (ILO) Convention No. 189 and Recommendation No. 201 on decent work for domestic workers.
The law strictly prohibits discrimination among workers based on race, color, gender, religion, political opinion, national origin, or social background.
Wage Protection System for domestic workers
The Ministry clarified that the Wage Protection System for domestic workers is an electronic system designed to facilitate wage payments through banks, exchange houses, and authorized financial institutions, ensuring the rights of both employers and workers.
Key Features of the System:
Optional participation: Currently, participation in the WPS is optional for domestic workers, though employers are encouraged to enroll.
Wage payment methods: Wages may be paid via bank transfers or through smart applications of authorized financial entities.
Wage due date: Wages are considered due from the first day of the month following the period stated in the employment contract.
Late payment definition: Employers are deemed late if they fail to pay through the system within one month from the wage due date.
Consequences of delay: Late payments may lead to suspension of the employer’s file or certain services such as work permit issuance or renewal.
Exempted cases: Exemptions include workers with pending judicial complaints, absconding reports, or those within 30 days of contract initiation.
Employer benefits: The system enables employers to prove wage payments and access comprehensive reports on their establishment’s status with the Ministry.
Covered professions: The WPS includes all categories listed under the Domestic Workers Law, such as housekeeper, sailor, nanny, cook, guard, private driver, among others.
Registration and documentation: Employers must register and document any wage-related agreements with domestic workers using the approved systems.
Advantages of the system:
Enables employers to securely document wage payments.
Exemptions apply in judicial or contractual exceptions.
Strengthens legal protection and contractual clarity for all parties.
Sign up for the Daily Briefing
Get the latest news and updates straight to your inbox
