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Oman

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Currency

ر.ع. (OMR)

Work Hours

45/week

Oman is officially referred to as the Sultanate of Oman. This western Asian country is located on the Persian Gulf. The official language is Arabic. Oil and gas have historically been the staples of the economy in Oman; however, the country has made recent strides to diversify its economy. Oman offers a strategic location at the mouth of the Persian Gulf, economic stability, and vast potential.

Employment contracts in Oman should be written in Arabic, and the salaries should be in the legally circulating currency. However, if the contract was in any other language, an attached Arabic translation document is required to be given to both employer and employee. In cases of illiteracy, or if the employee is not fluent in the language of the contract, certification of the contract is required from the Labor Office. The employer is to issue a receipt to the employee of all documents given by the employee.

There are two types of contracts in Oman: indefinite full-time and definite part-time. A full-time employment contract has an indefinite period with a fixed minimum number of hours per day, while a part-time employment contract contains a period that has a maximum number of hours per day. The latter is used for types of work that are either temporary or casual that must not exceed six months. If a definite contract continues to be executed after the expiration of its period, the contract will be deemed renewed as an indefinite full-time contract.

All foreign employees require a permit to work in Oman. The petitioning employer must have entered the country by lawful means and have satisfied the conditions provided for in the Expatriates Residence Law before being eligible to apply for a foreign worker permit.

Work hours in Oman are nine hours per day with a minimum of 30 minutes break and a maximum of 45 hours per week with a maximum of a two-day weekend. During the fasting month of Ramadan, the hours are reduced to a maximum of 30 hours per week for Muslim employees. Overtime is capped at three hours per day. Payment for overtime is a minimum of 25% increase per hour during daytime, 50% during the evenings, and a 100% increase on weekends and official holidays. The substitution of overtime hours/days with replacement hours/days are conditioned on the employee’s written approval.

Employees in Oman are entitled to a maximum of 10 weeks of medically certified sick leave per year. Any additional sick leave days will be deducted from the employee’s vacations and personal days. The sick leave payments are based on percentages applied to the number of weeks leave is taken.

Female employees in Oman are entitled to 50 days of maternity leave that covers the periods before and after delivery, for a maximum of three deliveries throughout their employment per employer. The employer is prohibited from dismissing a female employee for being absent due to pregnancy or sickness, as long as her absence does not exceed a total of six months. Some private companies in Oman grant three to seven days of paternity leave for male employees.

The minimum wage in Oman is determined by the Ministry of Labor and the Central Bank of Oman. Every year, a committee from the ministry and the bank assess several factors to determine the minimum wage for that year, one of which is the educational background of the employee. Bonuses should not be less than OMR 100, and annual raises must not be less than 3% per year.

Employees in Oman are entitled to annual leave and special leave days. They receive a minimum of 30 days of annual leave and a maximum of six personal days per year, after six months of continuous service. The special leave days are not deducted from personal days, and are granted with full pay in some cases. Any untaken annual or personal leaves are paid at the end of every year.

In Oman, the public holidays are:

  • New Year’s Day

  • Lailat Al Miraj

  • Eid Al Fitr

  • Eid Al Adha

  • Renaissance Day

  • Milad Un Nabi

  • Oman National Day

  • If an official holiday falls on a weekend, the employer is required to give a replacement holiday to employees.

Oman provides cost-free universal healthcare to citizens.

Either the employer or the employee may initiate the termination of full-time or part-time contracts. Full-time contracts require a 30-day written termination notice, while part-time contracts require a 15-day termination notice. Any termination during the probation period requires a termination notice of at least seven days. If a contract is terminated without observing the notice period, the party who terminates the contract will be obliged to pay compensation to the other party equal to the salary during the notice period. Employers and employees may terminate a contract without notice in limited circumstances. Terminations are prohibited during vacation, sick leave and maternity leaves. Special rules apply for employees accused of theft.

An employee in Oman is entitled to an end-of-service gratuity from the employer for years of service. When employment is terminated, the employer pays an end-of-service gratuity equal to the salary of 15 days for the first three years, and a one-month salary for each year after that.

  • Local Laws & Regulations

    We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Atlas team and consultants, to ensure information up-to-date and accurate.

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