Wednesday, October 31, 2007

E Payroll (As Per Ministry Of Labour from January 2008)

Labor Minister Dr. Ali Abdullah Al Ka’abi


The Ministry of Labor will soon release a draft of the new labor law, including various amendments calling for more stringent penal measures against violators. Under the proposed amendments, fines for labor law violators will be raised from Dh10,000 to Dh 12,000 and jail terms, from three to six months. Employers will have the right to terminate the services of workers without prior notice if they were found to have submitted forged certificates or documents. However, workers also have the right to leave their employer in the event that the latter violates the law by delaying the payment of salaries, or failing to provide accommodations or labor cards and work visas.


Electronic payment of workers’ salaries initiated
The Ministry of Labor introduced a new electronic card system for the payment of workers’ salaries. Under the system, companies with a large number of employees, particularly contracting companies, can pay their employees on time through the use of cash dispensing machines that also allows workers easy access to their money.

Sources: “Workers will get easy access to pay,” Gulf News, 15 January 2007
No more salaries in cash for workers from January
Next January all salary payments must be deposited electronically by companies in the country.
The Electronic Wage Payment System being put in place by the Ministry of Labour brings to an end cash payments of salaries. This will ensure that monthly wages are paid to all employees without fail and thus benefit the labour force.
The ministry has established tie-ups with finance houses that will collect the wages from the companies and place them in the proper accounts.
Facilitating hassle-free salary disbursement, the system allows the ministry to have real time access to information regarding payments of salaries.
To pave the way for the shift from cash to electronic payments, the ministry signed a Memorandum of Understanding (MoU)
Delayed salaries and complaints related to non-payment will soon become a thing of the past as the Ministry of Labour (MOL) implements the Electronic Wages Payment System (EWPS).
MOU Signed Companies
Process:
Pure Payroll Management Service Provides ,
Delivers ATM at Door Step For Payroll Processing ,
Online Access to Monitor Salary Transactions(for Labour Ministry, Employer & Employees), with Secured & Privacy.
Follow up and organise the payroll, submit social audits for the facility explaining the companies' commercial and managerial performance, and its abidance by the UAE labour laws.
Yrs Handling : 2
Is Currently Operating : Yes
No of Employers Registered : 20 ( Approx, Heared from WEH as on Sep 2007)
No of Employees Handled : 87900 (So Far,Heared from WEH as on Sep 2007)
2. Western Union,
Process:Information Not Disclosed
Yrs Handling : 0
Is Currently Operating : No
No of Employers Registered : no Info
No of Employees Handled : No info
3. Empost
Process:Employees have to Collect The Salary From the Post office
Yrs Handling : 0
Is Currently Operating : No
No of Employers Registered : no Info
No of Employees Handled : No info
4. U.A.E Exchange
Process:Information Not Disclosed
Yrs Handling : 0
Is Currently Operating : No
No of Employers Registered : no Info
No of Employees Handled : No info
5. Islamic Finance Company
the ministry signed a Memorandum of Understanding (MoU) with the Islamic Finance Company (IFC) (Latest News....)