How to check the WPS status of a company
UAE’s growing economy is anchored by investor-friendly policies and incentives such as zero income tax. With an influx of foreign investments, the expat community, which is salary-based, is also increasing. Seeing this, the UAE government introduced the Wage Protection System (WPS) in 2009 to ensure fair labour laws. If you are wondering what is WPS and how to check the WPS status of a company, MyBayut explains all the nitty-gritty details here!
WHAT IS WPS IN THE UAE?
The Wage Protection System (WPS) was first introduced in the UAE in 2009 to ensure workers receive their rightful earnings on time. Over the years, the system has been continuously improved, with the most recent updates coming in 2022.
The WPS is a joint effort by the Central Bank of the UAE and the Ministry of Human Resources and Emiratisation (MOHRE). It guarantees that employers pay their employees the agreed-upon wages and salaries as per their employment contracts.
All private sector employers in the UAE, including those in the Jebel Ali Free Zone, are legally required to register with the WPS.
WHY IS IT IMPORTANT TO CHECK THE WPS STATUS OF THE COMPANY
Knowing or inquiring about the WPS status of a company is valuable information for various stakeholders:
- Job Seekers: It helps you ensure that the company complies with labour laws regarding salary payments, reducing the risk of wage delays or discrepancies.
- Employees: Verifying WPS status confirms that your employer is connected to the system, ensuring you receive your rightful wages per your contract.
- Business Partners and Investors: Assessing a potential partner’s WPS status provides valuable insights into their reliability and adherence to UAE regulations, which can be crucial for successful collaborations.
You can make more informed decisions by knowing how to check a company’s WPS status. This may include seeking employment, evaluating a potential employer, or considering a business partnership.
HOW TO CHECK THE WPS STATUS OF A COMPANY
We now move to the crucial aspect of our guide ‘How to check the status of WPS of a company.’ You can go about this in two ways: MoHRE or your bank.
Check the Status of the WPS of a Company Via MoHRE
Checking a company’s WPS status is a straightforward process if you opt to do it via MoHRE:
- Access the MoHRE official website.
- Navigate to the “Services” section and select “New Enquiry Services.”
- From the available options, select “Company Information.”
- Enter the specific company number you wish to inquire about.
- The platform will promptly display the company’s information, including its current WPS status.
Alternatively, you can conveniently inquire about a company’s WPS status by contacting MOHRE’s customer service channels, such as email, WhatsApp, phone or online chat.
Steps to Check the WPS Status of a Company Via Bank
If you are an employee of a company or frequently transact with them, your bank can also assist you in verifying their WPS status. This option is particularly useful if you cannot access the MOHRE website or prefer personalised assistance.
- Contact your bank:
- Call their customer service hotline or visit your nearest branch.
- Request to speak with a representative specialising in corporate or payroll services.
- Provide company details:
- Share the company’s name and registration number with the bank representative.
- You may need to provide your personal identification details for verification purposes, especially if you are checking on behalf of yourself as an employee.
- Request WPS compliance information:
- Inquire with the bank representative about the company’s compliance with WPS regulations.
- The bank will then check its internal systems and provide you with confirmation of the company’s WPS status.
FAQs
How do I check if my WPS is active?
Employees can easily verify their WPS status through the official MoHRE website or mobile app by logging in using their labour card number or Emirates ID.
How do I unblock a company’s WPS status?
To unblock your company from a WPS block, follow these steps:
- Contact MOHRE: Determine the cause of the block and seek guidance.
- Resolve Issues: Correct data, ensure sufficient funds and address salary discrepancies.
- Settle Dues: Pay outstanding salaries and penalties promptly.
- Submit Documents: Provide necessary documentation to MOHRE.
For complex cases, consult with a legal or HR professional.
What are the consequences of non-compliance with WPS?
WPS violations can result in serious consequences for companies, including fines and restrictions. Delayed salary payments can lead to escalating penalties for companies. These penalties can range from work permit suspensions for smaller companies to more severe consequences.
In severe cases, legal action may be taken against the company. This can even extend to the suspension of permits for all companies owned by the defaulting company’s owners. Also, repeated violations may result in warnings, fines and a downgrade in company classification.
This is all we have on the steps to check the wage protection system status of a company in the UAE. If you would like to file a complaint regarding workplace disputes, check our post on how to check labour complaint status.
Moreover, residing in the UAE often requires obtaining an attested salary certificate for various purposes, such as securing a loan, filing tax returns or applying for a mortgage in your home country. If this is the case, here’s how to attest the salary certificate in the UAE.
For our salaried folks, if you are interested in investing in the real estate sector, read our guide on ‘What is the minimum salary to buy a property in Dubai.’ The post reveals salary brackets for affordable, mid-tier and luxury properties.
And that’s it for today. For more information on the UAE business landscape, such as the UAE corporate tax, subscribe to MyBayut!