As the implications of the wage protection system regulation spread across the UAE, Luup International, a provider of mobile payments solutions has launched its mobile salary disbursement solution in the Middle East and Africa (MENA) region.
The solution is tailored to assist corporate businesses affected by the recent regulation in the UAE where the introduction of the wage protection system (WPS) requires payment of salaries by any firm in the country to only be made through electronic bank transfers.
By deploying the mobile payments platform employers can provide unbanked employees with an account accessed through their mobile phone, called a ‘stored value account’, into which salaries can be paid electronically. The employees can conveniently access their salary through ATMs or a network of agents as well as make cross-border remittances.
Thomas Bostrom Jorgensen, CEO of Luup, said: “By removing the operational costs of cash handling as well as the security risks traditionally associated with paying employees in cash, corporates can reap double benefits from the Luup solution. Luup is able to provide an innovative, turnkey solution for all parties across the value chain.”
Morten Hofstad, head of business development in MENA at Luup, said: “Considering the large number of customers that the new WPS has added to the banking network in the UAE and the high level of mobile penetration in the country, the solution has huge potential as a natural transitional product into other banking services from mobile top-up to international remittance.
“The challenge is to give them low cost investment solution that can be turned around at short time by a solutions provider with proven technology and integration experience. The Luup expertise and track record in the region offer definite advantages to our partner institutions.”
