In a major move to boost local employment, Oman’s Ministry of Labour has unveiled a structured system to enforce Omanisation rules, making it mandatory for every commercial registration older than a year to hire at least one Omani national.
Outlined in a government announcement on “5 May 2025”, this new policy aims to strengthen the national workforce and bring more structure to the labour market.
Here’s how the new rules will apply:
Multinational Companies with Foreign Investment
- These companies must submit a detailed hiring strategy to employ at least one Omani citizen within three months.
- A clear recruitment plan can guide the hiring process.
- If they fail to comply, they’ll face a ban on issuing new work permits.
- This policy has been developed with support from the Ministry of Commerce, Industry and Investment Promotion.
Companies with Large Workforces
- Must also present an employment strategy within three months.
- Notices will be issued through the Ministry’s online platform.
- Non-compliance will lead to an immediate freeze on new work permits.
Small and Medium-Sized Enterprises (SMEs)
- These businesses are given six months to submit a plan to hire at least one Omani employee.
- Reviews will assess each company’s contribution to the local economy.
- Companies can either hire directly or submit a hiring strategy.
- Failure to comply will result in a ban on new license issuances.
Entrepreneurs and Full-Time Business Owners
- Given a one-year grace period to fulfill the Omanisation requirement.
- A review of their business impact will take place within six months.
- Those without a Riyada Card can seek support or apply for exemptions through the Small and Medium Enterprises Development Authority.
This initiative reflects Oman’s commitment to creating more opportunities for local talent in the private sector.
The Ministry has urged all businesses to meet the “Omanisation requirements” and follow the “Oman Labour policy” to help achieve national employment goals and avoid penalties.