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the concept of wages is often negotiated between employers and employees through employment contracts. These contracts outline the terms and conditions of employment, including compensation and benefits. Employers are expected to provide wages that are fair and in line with industry standards.
The absence of a minimum wage allows businesses in the UAE to have flexibility in determining wages based on factors such as job requirements, experience, skills, and market demand. This allows for a more dynamic labor market where wages can be adjusted to reflect the value of the work being performed.
However, it is important to note that the UAE government has implemented measures to protect workers' rights and prevent exploitation. Labor laws provide provisions for overtime pay, annual leave, end-of-service benefits, and other entitlements that contribute to the overall welfare of workers.
To ensure compliance with labor regulations and fair treatment of employees, the UAE has established entities such as the Ministry of Human Resources and Emiratisation (MOHRE) to oversee labor practices and address any disputes or violations that may arise.
While the absence of a strict minimum wage policy in the UAE may raise concerns, the country has put in place a system that aims to balance the interests of employers and employees while ensuring fair compensation and protection of workers' rights.
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