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Eight hundred UAE firms suspended over salary delays

Companies failed to transfer their employees’ wages through the official Wages Protection System (WPS).

March 14, 2010 10:11 by

More than 800 UAE companies have been suspended over failure to pay wages to employees, according to a government statement.

That number accounts for just “the first phase” of the Wages Protection System (WPS), a government initiative designed to safeguard payment of workers’ wages via regulated financial institutions.

The UAE Labor Ministry has agreed to extend the deadline of another 300 firms who had delayed salary payments “after obtaining concrete evidences that they have given their workers’ wages through traditional ways”, according to a statement by state news agency WAM.

Over 1.5 million workers have received payments through the WPS, the government statement said.

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