Payroll Cycle
Minumum Wage
Overtime Pay
Visa Immigration

Talent Wiki - Oman

Your quick guide on talent and labor compliance norms in Oman
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Capital
Muscat
Currency
Omani Rial
Languages
Arabic
Payroll Frequency
Monthly
GDP per Capita
$15150.00
Employer Tax
12.50%

Supplementary Guide for Employment and Expansion in Oman

Talent Overview

Oman, the oldest autonomous Arab state, has seen tremendous economic growth in the past decades. Due to rising oil production, the country's GDP is set to reach $75 billion by 2022. Furthermore, Oman's economic development policies are encouraging private sector participation in tourism, transportation, and telecommunications to assist future growth.

Major Economic Hubs: 

Muzkat, Sur, Nizwa

Skills in Demand:

Construction, Healthcare, Marketing, Business Management, Finance

Local Universities

The top local universities in Oman are listed below:

Sultan Qaboos University

RANKING

Local: 1

World : 1714

The University of Nizwa

RANKING

Local: 2

World : 4703

Middle East College

RANKING

Local: 3

World : 4971

Higher College of Technology

RANKING

Local: 4

World : 5812

German University of Technology in Oman

RANKING

Local: 5

World : 6631

Salary Data

Job Title Average Salary (in OMR) Average Salary (in USD)
Accounting Manager 2,630 OMR 6831.13 USD
Financial Analyst 2,140 OMR 5558.41 USD
Business Analyst 2,160 OMR 5610.36 USD
Project Manager 2,140 OMR 5558.41 USD
General Manager 2,950 OMR 7662.29 USD
Database Administrator 1,660 OMR 4311.66 USD
Sales Manager 3,020 OMR 7844.11 USD

Talent Sourcing Tips

Top Local Job Boards: 

LinkedIn, Indeed, MonsterGulf, Bayt

Number of LinkedIn users:

689,000

Top Recruitment Agencies:

Randstad Middle East, Talent Development LLC, Competence HR, Oxygen Oman

Employing in Oman

The Omani government has implemented several reforms to make it simpler for businesses to operate in the country. The following is crucial information concerning the country's employment laws and regulations.

Employee Contract

Oman employment contracts may be verbal or written. Written contracts must be in Arabic, or a translation must be ratified and notarized in Arabic.

Public and Provincial Holidays

Date Name Type
1 Jan Liberation Day National Holiday
2 Jan Victory Day National Holiday
15 Apr Good Friday National holiday
1 May Labor Day National holiday
25 Jul Revolution Anniversary National holiday
26 Jul Revolution Anniversary National holiday
27 Jul Revolution Anniversary Celebration National holiday
10 Oct Beginning of the War of Independence National holiday
25 Dec Christmas Day National holiday
31 Dec New Year's Eve National holiday

Payroll

Payroll Cycle:

Oman follows a monthly payroll cycle. Employees must be paid once a month.

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Minimum Wage:

The minimum wage in Oman is 225 OMR per month.

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Overtime Pay:

The employee is entitled to overtime pay for the additional hours worked. Overtime pay is calculated as follows:

Beyond the agreed hours:

Premium of 25%

Rest days:

Premium of 50%

Holidays:

Premium of 100%

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Health Examination Clause

Bonus

13th Month Pay

No regulation obligates Oman employers to pay a 13th month salary. However, bonus and annual performance-based incentives are prevalent.

Employee Benefits

Aside from the statutory benefits, the Oman employers may offer employees the following:

  • ~Education Allowance
  • ~Mobile Allowance
  • ~Transportation
  • ~Ramadan and Eid allowances
  • ~Travel allowance
  • ~Housing allowance
  • ~Medical benefits
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Taxes

Employer Payroll Tax

Tax Rate Contribution
10.50% Social Security Contribution
1.00% Insurance for work-related injuries
1.00% Job Security Fund under Public Authority for Social Insurance (PASI)

Employee Payroll Tax

Tax Rate Contribution
10.50% Social Security Contribution
7.00% Job Security Fund under Public Authority for Social Insurance (PASI)

Employee Income Tax

Personal income is not taxed in Oman.

VAT

The standard VAT rate in Oman is 5%.

Offboarding & Termination

Termination Process

In Oman, the termination process differs depending on the Employment Agreement between the employer and the employee. Employers must have appropriate grounds for terminating an employee and provide a reasonable notice period and an end-of-service gratuity.

Notice Period

All termination notices must be in writing. In Oman, the notice period is 30 days if the employee is paid monthly and 15 days in all other instances, unless a greater time is agreed upon in the employment contract.

Severance Pay

Employers in Oman are required to pay severance compensation based on the employee's tenure in the organization:

Tenure Pay Rate
First 3 years 15 calendar days for each year of service
Beyond the three years 30 calendar days for each year of service

Visa and Immigration

Individuals who wish to work in Oman must obtain a Work Visa from the Ministry of Manpower. Unless a government entity invites the foreigner, they must have a sponsor or employer. The visa allows them to stay in the nation for two years from the day it is stamped on their passport.

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