According to the UAE Central Bank’s Wage Protection System data, registered employees increased from 6.06 million in 2024 to 7.26 million in 2025
The number of private sector entities paying salaries on June 1 has more than doubled in order to meet the deadline announced by the Ministry of Human Resources and Emiratisation (MoHRE).
Al Ansari Exchange, a remittance and foreign exchange company in the UAE, on Tuesday said it recorded a 151 per cent increase in the number of companies processing salaries through its Wage Protection System (WPS) platform on June 1, 2026.
Under Ministerial Resolution No. 340 of 2026, the UAE standardised private-sector salary payments, requiring wages to be paid on the first day of each Gregorian month for the previous month’s work. Payments made after this date will be considered delayed under the system starting June 1, 2026.
Previously, companies were allowed to pay salaries by the 10th day of every month. Starting June 1, firms will be required to pay salaries on the first day of each month.
The authorities will enforce penalties and measures in line with existing laws and procedures for not adhering to the rule.
As reported by media, the UAE companies – especially SMEs – scrambled to meet the June 1, 2026 deadline announced by the MoHRE.
HR consultants said the immediate priority for SMEs were ensuring clear payroll planning, maintaining sufficient liquidity, and communicating proactively with employees to avoid disruptions during the initial adjustment period.
According to the UAE Central Bank’s WPS data, registered employees increased from 6.06 million in 2024 to 7.26 million in 2025.
Salary volumes increased to 79.5 million transactions, with total value rising to Dh409 billion last year, compared to a volume of 67.5 million with a value of Dh341 billion in 2024.
Registered employers increased by 15 per cent to 368,448 in 2025, up from 321,007 in the previous year.
“As employers adapt to the updated requirements, access to efficient and reliable payroll solutions becomes increasingly important,” said Ali Al Najjar, CEO of Al Ansari Exchange.
The UAE’s strong economic growth over the years has resulted in a major increase in new companies as well as the population of the country.
The UAE’s population reached 11.6 million in 2026, according to Worldometers. Dubai’s population crossed 4 million for the first time last year. Similarly, Abu Dhabi’s population also reached 4 million in 2024.
