GenzeeUAE Sets a Single Salary Payment Deadline for All Private Firms
A new UAE labour resolution took effect on 1 June 2026, tightening the rules on when private-sector employers must pay staff and removing a grace period that used to give companies extra breathing room.
What the new resolution changes
According to Khaleej Times and Gulf News, Ministerial Resolution No. 340 of 2026 on the Wage Protection System requires salaries for the previous month to be paid by the first day of each Gregorian month, eliminating the 15-day grace period that existed under the previous 2022 resolution. A company is considered compliant if it pays at least 85% of total wages due by that deadline, accounting for any legally permitted deductions. The Wage Protection System itself, built by the UAE Central Bank, lets the Ministry of Human Resources and Emiratisation (MOHRE) track employer compliance across the private sector in real time.
Why this matters if you work in the UAE private sector
For employees, the change means less ambiguity about when a salary should land, and a clearer basis for complaints if it doesn't. For employers, the tighter deadline raises the operational stakes of payroll processing, since late or partial payment can now trigger enforcement sooner than before.
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Note: This is a plain-language summary, not tax/financial advice. Rates and rules can change; verify your specific case with the relevant authority or a qualified professional. See our editorial policy for how we source and date these updates.