An Increment Letter to Employee is a crucial document in UAE employment relationships that formalizes salary increases within the framework of UAE labor law. This document is typically used when an employer wishes to increase an employee's compensation, whether due to annual reviews, performance recognition, or other business reasons. It must comply with UAE Federal Decree-Law No. 33 of 2021 and related regulations, including the Wage Protection System requirements. The letter serves multiple purposes: it provides official documentation of the salary change, ensures transparency in employer-employee relations, facilitates proper payroll processing, and maintains compliance with local labor laws. The document is particularly important in the UAE context where employment terms must be clearly documented and where salary changes must be properly recorded for both legal and administrative purposes.

1. Letter Header: Company letterhead, date, reference number, and employee details including name, employee ID, and current position

2. Subject Line: Clear indication that this is a salary increment letter

3. Current Employment Details: Statement of current salary and benefits structure

4. Increment Details: Specific details of the salary increase, including new salary amount and effective date

5. Continuation of Terms: Confirmation that all other terms and conditions of employment remain unchanged

6. Acknowledgment: Space for both employer and employee signatures to confirm acceptance