Hourly minimum compensation

The United Arab Emirates sets a statutory minimum wage of 28.84 AED per hour for Emirati private-sector employees. This hourly rate establishes the floor compensation that employers must pay to covered workers, ensuring a baseline standard of living and protecting vulnerable employees from exploitation.

The minimum wage applies to all Emirati nationals employed in the private sector across the UAE. It covers regular working hours and sets the minimum threshold below which employers cannot legally compensate employees, regardless of employment contract terms or sector. The rule protects full-time, part-time, and casual workers, though certain exemptions may apply to specific roles or industries as defined by UAE labour law.

The Ministry of Human Resources and Emiratisation (MOHRE) governs and enforces the minimum wage requirement under the UAE Labour Law. MOHRE regularly reviews wage levels to ensure they reflect economic conditions and cost of living adjustments.

Effective January 1, 2026, the UAE updated the minimum wage for Emirati private-sector employees, reflecting the government's commitment to maintaining competitive compensation standards. This adjustment represents the most recent statutory change to the hourly rate.

Employers and payroll teams must ensure all Emirati private-sector employees receive at least 28.84 AED per hour in gross compensation. Payroll systems should be configured to calculate wages based on actual hours worked, with particular attention to overtime and shift differentials where applicable. Employers must maintain detailed wage records demonstrating compliance and be prepared to provide documentation to MOHRE upon request. Non-compliance can result in significant penalties and legal liability.