Muscat: The Ministry of Labour (MoL) said it started implementing the Wage Protection System (WPS), which was announced through decision 299/2023 to protect the rights of workers by ensuring payment of their salaries on time as per the terms of their contracts.

MoL said the system was launched gradually in planned phases to allow establishments sufficient time to adapt to the system by providing technical assistance.

The Ministry said that most institutions and establishments have demonstrated commitment to implementing the system, and both employers and workers shall contact its official channels for inquiries or clarifications.

Recently, in an interview, a member of the Wage Protection Program team, said WPS seeks to commit business owners to paying workers’ wages by transferring directly to their bank accounts.

He said, annually, there are around 17 to 18,000 complaints related to workers' wages and the cases include that of salaries deducted without proper justification or delayed for three or four months.

To ensure compliance, MoL has laid out penalties for violations. Employers may face warnings and suspension of services until violations are resolved. There can also be fines RO 50 for each affected worker — with the penalty doubling for repeat offenses.

He added, "Over the last two years, business owners who did not comply with the wage protection system were given repeated notifications and warning messages to comply with the system, but still very few percentage of companies have shown their commitment."

Employers are required to update employment contracts to reflect any changes in wages and must transfer wages through the WPS within three days of the end of the wage period. The Ministry’s relevant department will oversee the implementation and monitoring of the WPS, maintaining a dedicated database.

Exceptions to the WPS include cases of labor disputes where the worker has stopped working for more than 30 days, suspension of the worker for reasons beyond the employer’s control for more than 30 days, and new employees who have not completed 30 days of service.

Wage transfer

Private sector employers must transfer wages online within three days instead of seven days of the payment deadline through the Wage Protection System (WPS), the Ministry of Labour (MoL).

The WPS is aimed at monitoring the payment of wages to workers in the private sector, ensuring that employers transfer wages on time as agreed in the employment contract.

A dedicated MoL is responsible for monitoring the WPS, recording wage transactions, and preparing a database for this purpose.

Exemptions to the WPS have been outlined in specific circumstances. Employers are not required to transfer wages if a worker is involved in a labor dispute that results in absence from work for more than 30 days, is suspended from work for over 30 days for reasons not linked to the employer, or has been reported as having left work with 30 days having passed since the report’s approval.

Other exemptions include new workers who have not completed 30 days of employment and workers on unpaid leave.

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