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Employing employees

Employing employees

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Employment rules and matters related to the employment process

The Omani Labor Law issued by the Royal Decree No. 35/2003 stipulates the regulations of employment in the Sultanate.

All businessmen and workers are subject to the regulations of that law, unless specific exceptions are made, including different types of establishments with its local and foreign branches which are exercising their activities inside the Sultanate, whether they were public or private covering private, national and international educational establishments.

Omanis must be given the priority in all areas of employment, also all rights should be given equally to Omanis and foreigners, and not to employ any foreigner without procuring an approval from the Ministry of Manpower and meeting the following conditions to get the needed license:

  • Omani manpower is not enough for the required jobs.
  • The employer should be committed to the decided percentage employment of Omanis.

Non Omanis are banned from joining any job without procuring a labor card, conditions to procure a labor card:

  • The employee must have vocational qualifications, technical know-how, or qualifications needed by the country.
  • The employer is to be authorized by the Ministry of Manpower to procure the employee.
  • The employee must have entered the country legally meeting all the conditions stipulated in the Foreigners Residence Law.
  • The employee has to be medically fit and free of infectious and chronic diseases which are stipulated by the Ministry of Health.
  • The employment must be contracted with an Omani employer or a foreigner employer who has a license form the Ministry of Commerce and Industry, if the employee required to work in the establishment.

It is not allowed for any one to recruit foreign manpower without procuring a license from the Ministry Manpower. The signed contract between the employer and the employee must be written and it should include the type of job and the remuneration package for the employees according to the employee's job; the employer is committed to return the employee back to his / her home country, if he finds out that the employee does not meet the conditions mentioned in the contract. The employer or the recruiter is not allowed to take money from the foreign employees who are to be employed.

Business hours:

According to the labor law, it is not allowed to use the employee to work more than 9 active hours a day and maximum for 48 hour a week excluding breaks or lunch times. In Ramadan working hours are reduced to 6 hours a day and maximum 36 hours a week for Muslims working in private sector.

Working hours should contain one period of time or more for lunch and rest, which will not be less than half an hour, taking into consideration the continuous working hours are not more than 6 hours.

Salaries and allowances:

Salaries and allowances in the private sector differ according to the type, size, the field of work, qualifications of the worker, his/her experience, and his/her occupation…etc.

Each employer should provide accommodation for his workers, together with transportation in case the work requires that. Also, the establishment is responsible for medical coverage, sending the worker back to his country, and paying him/her service benefit.

Salaries are paid in one of the working days; and in all conditions, salaries are paid during seven days after completing his/her working period. Clearance should not be granted to the employer unless the employee signs what proves that he had already received his payment in the record designed for that or in the payment records or by showing a payment receipt prepared for this purpose, or finalizing transfer of his/ her fees to his account in one of the registered and accredited banks.

Employer should send the employee back to his country after the end of his work period unless he/she is transferred to another employer. If the employer fails to do that then the concerned office will take action to send him back on the government expense and claiming the paid amount against the employer later. The employer is not allowed to change the payment system for his employees from a monthly base to a weekly or a day one without consent of the employee. The employer is not allowed to deduct more than % 15 of the employees fees to settle a due payment of an already paid loan to the employee.

Personal Taxes:

Salaries of employees in the Sultanate are free of taxes; also there are no restrictions on transferring the employee's salary to his home country. So the employee can transfer his salary to his country without any restrictions.

Employing Foreign Manpower:

Steps of the process of employing foreign manpower should be arranged according to the following:

  • Procuring labor license.
  • Procuring a medical fitness certificate and an employment visa.
  • Passing the medical fitness test.
  • Procuring a labor card.

Labor License:

The first step to employ a foreign employee is to procure an approval from the Ministry of Manpower to bring the employee in; a procurement application form is to be filled out and submitted to the specialized directorate in the Ministry of Manpower.

Medical Certificate:

Some foreigners from certain countries, who would like to work in the Sultanate, should be subject to a physical medical fitness test in specific clinics in their countries. Only those who prove that they are medically fit can work in the Sultanate. The employee should also submit a medical fitness certificate of his/her dependents who are more than 15 years old and who are interested to reside in the Sultanate. Genuine medical fitness certificate is to be attested from the specialized parties in the Ministry of Health and submitted with the visa application.

Employment Visa:

The employer has to submit employment license and medical certificate to procure an employment visa for his employee. The employee can enter the country where the residence authority will stamp the employee's passport giving a 2 years employment residency visa from the date of stamping in case of approval.

Resident Card:

A foreigner or a Resident person must procure residence card the time the worker reaches the Sultanate, residence card can be procured from any directorate general of civil status within 30 days commencing the date of stamping the passport.

Before procuring the residence card, the worker no matter his nationality should do the medical checkup in a specific clinic, also an application of employment card is to be submitted containing all required data, attached with 2 personal photos an passport to make the medical checkup. The medical report will be stamped by the health authorities after completing the medical checkup, than it is to be submitted to the Ministry of Manpower to be processed for fees of 10 RO.

Omanization:

The employers should employ Omani employees on the largest possible scale. The required percentage of Omanization should be made by a decision from Manpower Minister in each of the economic activities sectors.

A fine is imposed on employers who are not committed to the Omanization percentage of % 50 from the total average of the non-Omani employees which represent the difference between the Omanization percentage which the employer should be committed to an the Omanization percentage which is actually realized.

Employment Contract:

There should be an employment contract between the owner of the establishment and the employee. The contract should be written in two copies in Arabic, a copy of which is given to each party. If the employment contract is written in other languages, there should be a copy in Arabic accredited by both parties and it should have that enforcement power. In case any of the two parties has no knowledge of the contract language, the contract should be attested by the legal accredited side. When there is no written contract the employee has the right to prove his rights in all means of confirmation.

The contract should include employer's data and the employees personal data plus the nature of employment and the remuneration in addition to the notice period of contract termination. The employer should enclose what confirms the obligation in contract conditions, respect of Islamic Religion, rules, norms, traditions of the country, and non-participation in any of the activities which cause any harm to the country's security.
The employer should not violate the contracts conditions or force the employee to carry out any work other than the work agreed upon unless that work is not different from the original one.

A probation period in the job should not be more than three months. The employee should not be subjected to any other probation period with the same employer. The probation period is considered a part of the ordinary employment period in case of completing it successfully.

Termination of Employment Contract:

If the employment contract had limited period and the two parties continued carrying it out after the end of its period, than the contract id considered renewed for an un limited period. If the contract had no limited period then any of the two parties could terminate it after giving written notice to the other party within thirty days before the end of the contract. Terminating the contract without abiding by this period of time should result in convenient compensation. The employers termination notice of the contract issued to the employee should not be valid when the employee is in a formal holiday or on a leave, it should be valid only after the next day of the end of his leave.

The employer can not fire the employee without a previous notice and without end of service benefit in case of reincarnation of another person or forgery for the purpose of getting a job, or committing a mistake resulting in a huge material loss on part of the employer, failure to abide by safety rules, disclosing secrets related to the job or if he is sentenced in disorderly conduct delinquency, dishonoring crime or any misconduct or abuse of integrity or committed in the place of employment or during working times, or in case of he is found drunk during the working hours , or aggressing on employer or any of his managers, or aggressed on one of his colleagues in the locality of the employment which resulted in his or her disease or being disabled or stoppage of work for a period of more than ten days or if the employee violated the obligations of the job agreed upon in his employment contract.

The employee has the right to leave the job if the employer cheated him in the contract or if the employer did not honor his basic obligations according to the law by contract or if the employer or representative committed a dishonorable deed towards the employee or any of his family members, or if he is aggressed upon by the employer or when there is a danger which threatening his safety in the locality of his employment.

The employment contract is terminated in the end of its period, or after fulfilling the agreed upon work, or death of employer, or disability of the employee in away that does not enable him to perform his work, or resignation or firing or leaving the job, or employee illness which resulted in his stoppage of work for continuous of a continual period of time which is no less than seven weeks in one year.

Social Insurance:

The Omani employees who are working in permanent jobs in the private sector enjoy protection of Social Issuance law. The Directorate General Social Insurance manages the social insurance. All employers who employ Omanis should pay subscription for the social issuance.
The employer should pay the insurance premium by nine percent of the basic salary of the Omani employee, every employee should participate by percentage of % 5 percent of his basic salary, and the government pays another % 5 which is their participation on every employee to the Directorate General of the Social Issuances, taking into consideration that the social insurances are obligatory.
 


 




  1. Appointment of department expert/ Registration of roll experts-authority experts Registration and appointment of experts
  2. Approval of applications for enrolment in advocates tables
  3. Change of job by Omani employees
  4. Employment
  5. Enrolment of non-Omani advocates
  6. Issue of health cards in Dhofar
  7. Recruiting Staff
  8. Renewal of Health Card in Dhofar
  9. Renewal of Health Card in Sohar
  10. Request medical examination of private sector employees
  11. Schedule and distribution of advocates for Omani courts