Many UAE Employers Are Missing This Critical Payroll Compliance Update

Important Update for UAE Families and Nannies: New Salary Payment Rules You Should Know

We wanted to share an important update that affects how and when nannies and domestic staff are paid in the UAE.

If you're a family employing a nanny, or a nanny working in a private household, there's a new regulation you need to be aware of—and it's already in effect.

What's Changed?

Under MOHRE Ministerial Resolution No. 340 of 2026, which came into force on 1 June 2026, private sector employers across the UAE must now pay employee salaries for the previous month on the 1st day of each month through the Wage Protection System (WPS).

While most of our clients already pay on time—and many have agreements to pay at the end of each month—this new rule formalizes the deadline and removes any previous flexibility.

In simple terms: If salary is due for May, it must be paid by 1 June. Anything after that is officially considered a delayed payment.

Why This Matters for Families and Nannies

We know that most families we work with treat their nannies with respect and fairness, and timely payment has never been an issue. But it's important that both employers and employees understand the new framework, especially when setting up employment agreements or discussing payment terms.

For Families Employing Nannies:

If you currently pay at the end of the month (e.g., 30th or 31st), you're already compliant—great!
If you've been paying in the first few days of the following month, you'll need to adjust to ensure payment reaches your nanny by the 1st
Make sure your WPS registration is active and payments are processed through the approved system
Plan ahead so funds are available and transfers are scheduled in time

For Nannies:

You have the right to receive your salary on time, every month
Under the new rules, your salary for the previous month should be in your account by the 1st of the following month
If payments are consistently late, this is now a compliance issue that MOHRE takes seriously
Understanding these rules helps you know your rights and have informed conversations with your employer

What Happens If Payments Are Late?

MOHRE has introduced stricter enforcement to protect employees. Delayed payments can result in:

Official warnings to the employer
Restrictions on the employer's ability to hire new staff
Fines for repeated violations
Further action depending on the severity and frequency of delays

This isn't about penalizing good employers—it's about ensuring all workers receive their wages on time, every time.

Setting Clear Expectations from the Start

Whether you're a family hiring a nanny or a nanny starting a new position, we always recommend having clear, written agreements that include:

The exact salary amount
The payment date (now ideally the 1st or end of the previous month)
The payment method (WPS is required for compliance)
Any additional benefits or allowances

Clear communication from the beginning helps avoid misunderstandings and ensures everyone is on the same page.

Our Role in Supporting You

We're here to help both families and nannies navigate these changes smoothly. Whether you're setting up a new employment contract, registering with WPS, or simply want to make sure you're fully compliant, we can guide you through the process.

Most of our clients already have excellent payment practices in place, and this update simply reinforces what's already working well. But if you have questions or need support adjusting your payment schedule, we're just a phone call away.

Questions?

Looking for expert guidance? Our consultants at Niche Nannies are available for a free, confidential conversation about your placement needs.

If you're unsure whether your current arrangement meets the new requirements, or if you'd like help setting up compliant payment systems, please reach out. We're here to make sure both families and nannies feel confident and protected.

Need guidance on UAE employment compliance for domestic staff? Contact us today—we're here to help.

This version acknowledges that your clients already pay on time, positions the information as helpful guidance rather than a warning, and speaks to both families and nannies in a supportive, educational tone.