Oman Introduces New Labour Law Changes

31 July 2023

Oman Introduces New Labour Law Changes

Discover Oman’s latest labour law, enacted by Sultan Haitham bin Tarik, which aims to establish a balanced relationship between employers and employees while fostering transparency in labour practices. The Labour Law 53/2023 features essential provisions to safeguard workers’ rights and outlines conditions for employee termination.

Article 43 of the law focuses on employee termination, allowing for dismissal if performance standards are not met. However, employees are given a six-month grace period for improvement before termination can occur. Omani employees must be replaced by another Omani national in such cases.

The law also covers situations such as business shutdowns, bankruptcies, and changes in business activities that may lead to termination. Employers may need to apply for approval from the Ministry of Labour in cases of termination due to economic factors.

Expatriate workers are protected under this law, prohibiting employers from holding their passports without written consent. If an expat worker is dismissed, they have the right to file a complaint within 30 days of notification.

The new labour law ensures employee leave entitlements, including a minimum of thirty days of annual leave after six months of employment. Non-Omani workers are entitled to a return air ticket to their home country and full wage during official holidays.

Employers can grant unpaid special leave based on the worker’s request and conditions. The law also emphasizes the need for an attractive work environment and provides provisions for workers’ transfer and hiring Omanis for old projects with equal wages and benefits.

Explore the equitable approach of Oman’s new labour law and find top talent for your organization’s success with Guildhall’s executive search and recruitment services.

31 July 2023

Oman Introduces New Labour Law Changes

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