Do I need to register unpaid leave and salary reductions for my staff with UAE Ministry of Labour (MOHRE) and how do I do it?

Do I need to register unpaid leave and salary reductions for my staff with UAE Ministry of Labour (MOHRE) and how do I do it?

If a company wishes to reduce a staff members salary, reduce hours (temporarily or permanently) or put the staff member on temporary unpaid leave, then this must be mutually agreed in writing by the staff member and the company. The letter agreement must be made voluntarily by the staff member.

Initially there was no mechanism to register these changes officially with Ministry of Human Resources and Emiratisation (MOHRE) – The UAE Ministry of Labour - previously this could only be done by submitting a signed letter from the employee. 

Therefore all mainland companies should submit the Temporary Supplementary Annex to MOHRE for each staff member that has agreed to modified employment arrangements, to prevent any blocks or fines from MOHRE that may be levied in the future - for example, if WPS payments are below the required monthly threshold.

Sovereign PPG can provide support and guidance on this process to assist in obtaining the completed Annex and uploading and registering this with MORHE to ensure compliance. 

Our HR team and HR Services can assist you in creating employee and company HR document templates that adhere to local labour laws and regulations that companies can use to make amends to employee remuneration changes.