Sick Leave Policy in UAE: WPS & Payroll Processing Explained
What is the sick leave policy in UAE and how does it affect payroll and WPS compliance? The sick leave policy in UAE allows employees up to 90 days of leave annually , with different pay structures, directly impacting payroll calculations and WPS reporting. Overview Understanding the sick leave policy in UAE is essential for businesses, HR professionals, and payroll teams. It not only defines employee rights but also plays a critical role in salary processing and compliance with the Wage Protection System (WPS) . Mismanaging sick leave can result in payroll errors, compliance risks, and financial penalties. Sick Leave Policy in UAE Explained Under UAE Labour Law, employees who complete their probation period are entitled to 90 days of sick leave per year . This leave is structured into three categories: First 15 days: Full salary Next 30 days: Half salary Remaining 45 days: Unpaid leave Employees must provide a valid medical certificate to qualify for paid sick leave. Withou...