Salary Payments for Workers “Without Deductions” Under the Wage Protection System
Salary payments for workers “without deductions” under the Wage Protection System have become a major focus in the UAE, as authorities strive to ensure that salaries are delivered in full and without any reductions. This initiative is part of the efforts by the UAE Central Bank and the Ministry of Human Resources and Emiratisation to improve working conditions and provide financial support to workers in the country.
Amendments to the Wage Protection System
Saif Al-Dhaheri, Assistant Governor of the Central Bank for Banking Operations and Support Services, stated that the Central Bank has introduced new amendments to the Wage Protection System. These amendments aim to ensure that workers receive their full salaries. This was announced during a panel discussion at the Financial Inclusion Leaders Summit in the Middle East and North Africa 2025.
Al-Dhaheri explained that once a worker’s salary is transferred through the system, a message is sent to the Ministry of Human Resources and Emiratisation to confirm that the salary has been received in full. In the event of any deductions or non-payment, the ministry will address the issue. This step reflects the commitment to enhancing the experience of workers in the UAE labor market.
Salary Transfers and Savings Options
Al-Dhaheri noted that 80% of workers’ salaries are transferred directly to their families, which necessitates efforts to reduce the cost of these transfers. This requires providing options for workers to save, allowing them to set aside a portion of their salaries. He mentioned that the recently launched “Gion” program offers these options, providing a convenient payment method within the country.
Equal Financial Services for Workers
Al-Dhaheri emphasized that the Central Bank is keen on providing equal financial services to all individuals. He added, “We have made a preliminary decision that whether an individual earns 1,000 dirhams or a million dirhams, they should have the same level of ‘access’ and benefit from all financial services.” This vision underscores the necessity of integrating all segments into the financial system, especially blue-collar workers who are considered an essential part of the economic activity.
He further stated that 72% of blue-collar workers have bank accounts that enable them to receive their salaries through the Wage Protection System. He also noted that many of them possess financial wallets, making it easier for them to manage their financial benefits more effectively.
In this context, it is evident that the Wage Protection System aims not only to secure salary payments for workers “without deductions” but also to enhance alignment with the UAE’s sustainable development goals and promote financial inclusion within the community.