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WPS Fine & Deadline Calculator
Salaries are now due on the 1st of the following month, and the 15-day grace period is gone. See what a late payment triggers under Ministerial Resolution 340 of 2026, as you type.
Last updated: June 11, 2026 · Per MR 340/2026 and Cabinet Resolution 21/2020
How the fine is worked out
Three steps, shown with your own figures once you enter them.
- Find the due date
1st of the following monthUnder MR 340/2026 there is no allowance for weekends, holidays or banking cut-offs.
- Count the days late
Payment date − due dateEnforcement escalates on days 2, 5, 11, 16 and 21.
- Apply the fine from day 11
Workers × AED 1,000Capped at AED 20,000 under Cabinet Resolution 21/2020.
In this article
What changed on June 1, 2026 (MR 340/2026 vs MR 598/2022)
Ministerial Resolution No. 340 of 2026 repealed the 2022 WPS rules on June 1, 2026. The headline change: wages are due on the 1st day of the following month — late from day one after that, with escalating enforcement and no weekend, holiday, or banking-cutoff allowance.
| Rule | Old (MR 598/2022) | New (MR 340/2026) |
|---|---|---|
| Payment deadline | Within 15 days of due date | 1st of the following month |
| Compliance threshold | 80% of wages | 85% of wages |
| New-hire grace period | 30 days | Removed — covered immediately |
| First escalation | Reminders day 3 / day 10, permits day 17 | Warnings day 2, permits day 5 |
Administrative fines (Cabinet Resolution 21/2020)
| Violation | Fine |
|---|---|
| Failure to pay wages through WPS on time | AED 1,000 per worker, max AED 20,000 |
| Entering false data into WPS / fictitious wage receipts | AED 5,000 per worker, max AED 50,000 |
| Unlawful wage deductions / charging recruitment costs | AED 5,000 per worker |
Fine amounts per Cabinet Resolution No. 21 of 2020 (Article 3), current as of June 2026. The resolution rounds part-months up to full months for fine computation (Article 9). Court-level penalties under the labour law (AED 100,000–1,000,000) can apply separately for serious violations following Day-21 referral to Public Prosecution.
Sources: Ministerial Resolution 340/2026 as analysed by Morgan Lewis, DLA Piper and Habib Al Mulla; Cabinet Resolution 21/2020 (primary text). This page summarises enforcement as reported at publication — confirm specifics against the official MOHRE text for your situation. Not legal advice.
Related reading: UAE WPS guide (rules & tools) · Free SIF file generator & validator · UAE WPS compliance guide · Monthly salary deadline guide
Questions, answered.
Under Ministerial Resolution No. 340 of 2026 (in force since June 1, 2026), wages for each Gregorian month are due on the 1st day of the following month — with no allowance for weekends, holidays, or banking cut-offs. Payment after the 1st counts as delayed. The previous 15-day grace period under Resolution 598 of 2022 has been eliminated.
Enforcement escalates by days after the due date: electronic monitoring from day 1, warnings on day 2, suspension of new work permits from day 5, administrative fines and Third Category reclassification from day 11 (for repeated violations within 6 months), automatic labour dispute registration from day 16, and from day 21 asset attachment, travel bans on responsible persons, and referral to Public Prosecution.
Under Cabinet Resolution No. 21 of 2020 (Article 3, item 7), failure to pay wages through WPS on time carries a fine of AED 1,000 per worker, capped at AED 20,000 for multiple workers. Entering false data into WPS is AED 5,000 per worker, capped at AED 50,000. Serious labour-law violations can additionally attract court-level fines of AED 100,000 to 1 million under the amended labour law.
An establishment is considered compliant when at least 85% of total wages due are transferred through WPS by the due date (raised from 80% under the old rules). A worker counts as paid when they receive at least 85% of their due wages, with any shortfall arising only from lawful deductions.
Establishment-level exemptions include fishing boats and public taxis owned by individual citizens, banks, and places of worship. Worker-level exemptions cover wage claims before courts, active absconding reports, workers on approved unpaid leave (with documentation), seafarers, workers of foreign establishments paid outside the UAE (with consent and approval), and mission work permits of 3 months or less. DIFC and ADGM companies fall outside MOHRE's WPS entirely.
No. The 15-day window under Ministerial Resolution 598 of 2022 was abolished when Ministerial Resolution 340 of 2026 took effect on June 1, 2026. Wages are now due on the 1st of the following month, and the 30-day grace period for newly hired employees was removed as well.
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