Around Dh1 billion ($272.2 million) worth of wages was transferred through the UAE Wages Protection System (WPS) during the period from 2013 through 2017, a media report said.

Salaries transferred through the WPS has been on a progressive rise over the past five years, increasing from Dh147 million in 2013 to Dh170.6 million in 2014, Emirates news agency Wam reported, citing statistics from the Central Bank of the UAE.

In 2015, a total of Dh196 million worth of salaries was transferred, over Dh211 million in 2016, with 2017 seeing the transfer ratcheting up to Dh220 million.

The WPS is an electronic salary transfer system that allows companies and institutions to pay workers' wages via banks, bureaux de change, and financial institutions approved and authorised to provide the service.

In line with the UAE government efforts to improve performance and provide better and faster services to the public, the Ministry of Human Resources and Emiratisation has implemented WPS, 10 years ago, to protect workers' rights and establish trust between employers and their employees.

Companies have to transfer the salaries of their employees through the new system within 3 to 9 months depending on the number of employees. Companies that fail to abide by the decision are subject to punishments and fines, and are not able to obtain work permits.

The WPS covers all institutions registered with the Ministry across all sectors and industries and benefits different categories of labour.

The WPS reflects the UAE's leading position in the region, and will increasingly project the country as a model worth emulate thanks to the innovative solutions it provides to help employers safeguard their own interests and reduce the time and effort needed to pay workers' wages.

Over 321,000 institutions are registered in the WPS, which accounts for around 94.7 percent of the private sector firms operating in the country.