Minister of Labour pledges penalties for errant companies
Over 225,000 erring firms in the country are facing penalties for failing to facilitate payment of the salaries of their employees through banks as per a cabinet decision.
"There is no grace period for them, because we had announced the decision in June 2007. Hence the companies had full six months to comply with the cabinet decision No.1/133 for the year 2007 to transfer the workers' salaries to their bank accounts..." the news daily quoted UAE minister of Labour Dr. Ali bin Abdullah Al Ka'abi as saying.
The companies were instructed earlier to open bank accounts for their employees and transfer their salaries into these accounts instead of paying wages at the company premises. The cabinet decision was issued in order to protect the workers' rights and eliminate the phenomenon of irregular payment of their wages and salaries.
The errant companies now face suspension of their activities at the Ministry of Labour, and they may no longer be issued work permits or get the sub-contracts attested, reported the paper quoting the minister.
"There are 2.8 million workers in the UAE and we work to protect their rights, of which the wage is the most important. Every worker has the right to get his/her salary on time without delay", said Al Ka'abi.
The newspaper also quoted assistant Undersecretary of the Ministry of Labour Obaid Rashid Al Zahmi as saying that more than 90 percent of the companies in the country have not opened bank accounts of their employees, and this comes to some 225,000 companies out of the total 250,000 companies in the country.(WAM)
"There is no grace period for them, because we had announced the decision in June 2007. Hence the companies had full six months to comply with the cabinet decision No.1/133 for the year 2007 to transfer the workers' salaries to their bank accounts..." the news daily quoted UAE minister of Labour Dr. Ali bin Abdullah Al Ka'abi as saying.
The companies were instructed earlier to open bank accounts for their employees and transfer their salaries into these accounts instead of paying wages at the company premises. The cabinet decision was issued in order to protect the workers' rights and eliminate the phenomenon of irregular payment of their wages and salaries.
The errant companies now face suspension of their activities at the Ministry of Labour, and they may no longer be issued work permits or get the sub-contracts attested, reported the paper quoting the minister.
"There are 2.8 million workers in the UAE and we work to protect their rights, of which the wage is the most important. Every worker has the right to get his/her salary on time without delay", said Al Ka'abi.
The newspaper also quoted assistant Undersecretary of the Ministry of Labour Obaid Rashid Al Zahmi as saying that more than 90 percent of the companies in the country have not opened bank accounts of their employees, and this comes to some 225,000 companies out of the total 250,000 companies in the country.(WAM)
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