Understanding WPS – Qatar’s new online salary system

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Qatar is all set to launch the much-awaited Wage Protection System (WPS) whereby all private sector workers will be paid salaries online through banking channels. The new system will apply to all private companies—as all of them are covered by the labor law, number 14 of 2004.

Here is step-by-step guide on how the system works :

Step 1 : Open bank accounts for all employees

  • Qatar Central Bank has issued circulars to all banks and financial institutions in the country to open accounts for workers who have valid ID card.
  • Any bank refusing to open salary account for workers will be punishable.

Step 2 : Company prepares employees’ data

  • Companies will have to make CSV files to save data in a table-structured format.
  • The tables will carry workers’ names, account numbers and payable salaries in serial numbers. Check with your bank for exact format.
  • CSV files can be prepared in Microsoft Excel. After saving the Excel file for future editing, save a copy as Comma Separated Values (.csv).
  • Companies will also be required to save CSV files in CDs or whatever other format agreed with the bank.

Step 3 : Company transfers salary

  • A company will transfer salaries of its WPS-beneficiary workers to its bank before the due date.

Step 4 : Bank checks balance and transfers to workers’ accounts

  • The bank which will check data and whether the firm has sufficient balance in its account.
  • If the balance is sufficient, the bank will credit salaries to workers’ accounts and they will be notified.
  • If the balance is not sufficient, the bank would get back to the company.

Monitoring by Ministries

All banks must develop an automated system to transfer worker wages under the WPS.

This automated system should be such that the Ministry of Labour and Social Affairs and the Ministry of Interior should be able to actively monitor and ensure that all WPS-beneficiary workers are paid salaries.

The ministries would simply insert a ‘Card Number’ of a company in their computer systems and immediately the screen would show the number of workers in its employ, their salaries and whether or not they have been paid.

The labor ministry has a dedicated inspection unit only to keep tab on companies and ensure they comply with the WPS. Inspectors, rigorously trained in their job, would catch violations if any, and take the violating company to task.

Important Notes

  • All companies must pay their workers through the WPS within seven days of the due date.
  • Delays will be punished and a reconciliation would be possible only if a complainant (worker) takes his complaint of delayed payment back.
  • Non-compliers can even be prosecuted, as per the amendment to the labor law that were carried out this year to help implement the WPS.

Punishments for non-compliance

Companies’ failure to abide by the rule would make them liable to punishment, including denial of work visas and refusal to endorse workers’ job contracts.

The Ministry of Labour and Social Affairs has said that it will stop all transactions with non-complying entities unless they mend their ways and rectify their situation.

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NOTE : The deadline for the companies to comply with the WPS ends on 2 November 2015.

– NRICafe.com

14 Comments

  1. Respect the Labour law ministry of Qatar ! Provide like that salaries in bank accounts for house drivers also. House drivers also want salaries in bank account. Please grant permission for them. Thank you.

  2. Qatar labour law details are uncleared. Like balance of annual paid leaves in final settlement are only on basic or plus HRA. How are where to get detailed Qatar labour law copy in English. Please assist.

    • Where should i complain because until now we didn’t receive our salary for the month of November, the company said WPS problem thats why im reading this article

  3. If a company has one or two employee will this law is applicable, all the companies are under same roof ? Whose responsible to open a bank account company or individual. One of my friend tried with all the banks in Doha to open a account though he have all the documents. the reply from banks are Salary should be more than 4000QAR / Month.

  4. I respect the Qatar, It is a great benefit full law for expatriate. when it will implement?
    Still some companies didn’t transfer December salary.

  5. When will the law be implemented? What about the companies who are paying salaries 20 days late??? Is this law really applicable?If yes, then how are some companies escaping? Can you please throw some light on it.

    • Hi Hafsa, The law is already implemented and it is must for all companies. Those who don’t follow this will be fined during regular inspection or if any employee makes complaint. Still it would take some time to be implemented by all.

  6. We have an online wps salary software. It helps you to just upload your workers or staff time sheet with just 9 details and download pre configured sif files to upload to bank system. For more details please contact 74414501 or bineesh@thinkbuddy.in

  7. Would like to know if the expatriate partners also shall be included in the payroll under WPS being they need not be considered as employees but as employers.

  8. It is not happening in a perfect way now. Most of the companies are not obedient to this law.they found loop holes and not paying to tge employees

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