Oman flag Oman: Operating a Business in Oman

Work conditions in Oman

The Active Population in Figures

201820192020
Labour Force 2,590,6342,680,1612,678,187

Source: International Labour Organization, ILOSTAT database

 
201720182019
Total activity rate 72.47%70.86%71.36%
Men activity rate 88.09%84.49%85.08%
Women activity rate 34.77%37.68%37.82%

Source: International Labour Organization, ILOSTAT database

 

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Working Conditions

Legal Weekly Duration
9 hours a day, 45 hours a week (maximum). The maximum work hours are reduced to 6 hours a day, 30 hours a week for Muslim employees during Ramadan.
Retirement Age
60 years.
Working Contracts
All private sector employees are required to have an employment contract either for a limited or unlimited period of time.
Employment contracts must be in Arabic and issued in two copies. Contracts must include:
1- Name of the employer and the establishment and address of the workplace.
2- Name of the worker, their date of birth, qualification, job or occupation, place of residence and nationality.
3- The nature and type of work and duration of the contract.
4- The basic salary and any allowances, privileges or remunerations to which the worker is entitled under the current terms of employment, and the method and time of payment of the agreed wage.
5- The reasonable period of notice which shall be given by anyone of the parties who intends to revoke the contract, provided that the period of notice which and employer gives to a worker shall not be less than the period prescribed by this law.
6- Any other particulars to be specified by the law.
Contracts must also include an annex in the form of an undertaking from the employee, which includes the following:
1- That they will abide by the terms and conditions of work as provided in the contract.
2- To respect Islamic religion, the laws, customs and social traditions of the country.
3- Not to engage in any activity which is detrimental to the country's security.
Labour Laws
Consult Doing Business website (World Bank), to obtain a summary of the labour regulations that apply to local entreprises.

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Cost of Labour

Minimum Wage
OMR 325 (OMR 225 minimum basic salary, OMR 100 minimum allowance) (Omani Ministry of Manpower)
Average Wage
OMR 820 (PayLab Survey)
Social Contributions
Social Security Contributions Paid By Employers: 10.5%
Social Security Contributions Paid By Employees: The employee pays a contribution of 7% of salary.

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Social Partners

Social Dialogue and Involvement of Social Partners
Trade unions were illegal in Oman until 2006. The country now has 242 trade unions, half of which are located in Muscat. Trade unions operate under the umbrella of the General Foundation of Oman Trade Unions (GFOTU). Unionisation is not allowed in the public sector. The GFOTU negotiates with the Ministry of Manpower on behalf of all trade unions. In 2017, The GFOTU helped more than 5,000 workers that were previously employed in the oil sector find new jobs and receive compensation in the aftermath of the oil crisis.
Unions
General Federation of Oman Trade Unions
Unionisation Rate
The General Foundation of Oman Trade Unions (GFOTU) does not release any statistics regarding the total number of trade union members. Trade unions are open to expatriate workers; however, very few join during their time in Oman.
Labour Regulation Bodies
Ministry of Manpower

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Latest Update: November 2022

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