UAE wage protection system tightens criminal liability for delayed salaries — all employers — effective 1 June 2026
Ministerial Resolution No. 340 of 2026, issued by MOHRE on 12 May 2026, replaces the previous wage protection framework with automatic enforcement and criminal referral for salary delays, eliminating the 15-day grace period and contractual flexibility that existed under the prior regime. The change affects all private sector employers in the UAE.
The analysis — automated & source-checked
- Applies to
- Labour · UAE
- What to do
- Review and align all payroll systems and employment contracts to ensure salaries are paid on or before the contractual due date with no delays. Audit current payment practices for compliance with the new automatic enforcement regime. Consult employment counsel if your organisation has had historical delays or grace-period reliance.
The new resolution marks a shift in regulatory philosophy: wage protection is no longer treated as a contractual obligation between employer and employee, but as a public order obligation enforced by the state on behalf of the labour market. Resolution No. 340 of 2026 repeals Resolution No. 598 of 2022 entirely, removing the 15-day grace period for enforcement and eliminating flexibility for employers to set individual salary due dates based on employment contracts. The effective date is 1 June 2026.
Source
“Under Ministerial Resolution No. 340 of 2026, issued by the Ministry of Human Resources and Emiratisation (“MOHRE”) on 12 May 2026, the UAE has moved decisively from a regime of warnings and fines to one of automatic enforcement and criminal referral.”
— BSA Ahmad Bin Hezeem, 3 Jun 2026
Reported by: BSA Ahmad Bin Hezeem 3 Jun 2026 Read the original ↗ More from BSA Ahmad Bin Hezeem →
Quick answers
What do I need to do?
Review and align all payroll systems and employment contracts to ensure salaries are paid on or before the contractual due date with no delays. Audit current payment practices for compliance with the new automatic enforcement regime. Consult employment counsel if your organisation has had historical delays or grace-period reliance.
What was the deadline?
1 Jun 2026 — this deadline has passed.
Who reported this?
BSA Ahmad Bin Hezeem (UAE).
When was it announced?
3 Jun 2026.
Where can I read the original?
Read the original at BSA Ahmad Bin Hezeem: https://bsalaw.com/insight/uae-wage-protection-system-2026-criminal-liability-for-delayed-salary-payments-explained/
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