Any business looking to employ people in the Sultanate of Oman must comply with the rules and regulations of the Oman Labour Law (Royal Decree No. 53/2023). Some changes were made to the Oman Labour Laws in 2025 that employers must be aware of before starting to hire a workforce in the Sultanate.
So, let us look at all the important Oman Labor Laws in 2025.
Oman Labour Law’s Key Provisions
Employment Contracts
Employment contracts must be written and include details such as job nature, wage, and contract duration. If there are other methods available to workers to prove their employment contract, they are allowed to do so when necessary. (Article 21)
Probation Period
The probation period must not exceed three months for monthly paid workers and one month for others. A worker can only be placed on probation once with the same employer. (Article 23)
Working Hours and Overtime
Employers are allowed to make their employees work for a maximum duration of 8 hours in one day or 48 hours per week. Workers must get a 30-minute rest after 6 continuous working hours. Overtime pay is 1.25x on regular days and 1.5x on weekends/public holidays. (Articles 68, 69)
Wages
The wages owed to the workers must be paid within 7 days after the wage period ends. Delayed payments may result in penalties. (Article 51)
Leave Entitlements
Once a worker completes 1 year of service with their employer, they are allowed paid leaves for 30 days each year. Additional leave includes sick leave (up to 10 weeks annually) and special leaves such as marriage, Hajj, or bereavement. (Articles 61–67)
Termination and End-of-Service Benefits
Termination must follow due process. Workers are entitled to end-of-service gratuity unless dismissed for disciplinary reasons. During the first three years, workers are only entitled to gratuity of up to 15 days per year. After this period, gratuity will be increased to 30 day’s wage for each year. (Articles 39, 40, 53)
Disciplinary Procedures
Employers may impose disciplinary actions such as warnings, wage deductions, or dismissal. However, specific rules must be established before such actions and these rules must be approved by the Ministry. (Articles 107–112)
Occupational Safety and Health
It is the duty of every employer that each of their workers work in an environment that does not expose them to any harm. An employer must take all the protective measures necessary to make work environment safe. (Articles 87–89)
Employment of Foreign Workers
Recruitment of expatriates requires labor clearance and is subject to Omanization rules. Any non-compliance found will result in the revocation of the employer’s license along with a fine. (Articles 18–20)
Women and Youth Employment
Night work and hazardous jobs are restricted for women and minors. All working pregnant and nursing women will have access to special protections provided by their employers. (Articles 80–86)
Labor Disputes
Disputes are initially resolved through mediation. Unresolved cases may proceed to labor courts. (Articles 105–106)
Penalties for Non-Compliance
Employers found violating labor laws may face administrative penalties, fines, or imprisonment, depending on the nature and severity of the offense. (Articles 113–123)
How Capstone Solutions Can Help You with Legal Compliance
At Capstone Solutions, our expert recruiters are always updating themselves with any amendments made to the Oman Labour Law. This allows them to give helpful advice to their clients which helps them hire talented candidates from both within and outside Oman while avoiding all the legal risks.
Need support with recruitment while being compliant with Oman Labour Laws 2025? Contact Capstone Solutions today!
