Muscat – Oman’s labour market is undergoing major transformations as part of the country’s Vision 2040 implementation. According to the Oman Vision 2040 Implementation and Follow-up Unit’s latest annual report, more than 853,000 Omanis were employed in both the public and private sectors in 2023, reflecting a 6.4% increase from the previous year. Expatriates made up 1.8 million workers, marking a 7% rise. These figures highlight the success of ongoing reforms aimed at increasing national workforce participation and aligning the labour market with the country’s long-term economic goals.
Key reforms included the introduction of a new Labour Law, issued under Royal Decree No. 53/2023, which aims to improve working conditions, enhance productivity, and ensure stability in the labour market. Strategic initiatives, such as the launch of a labour market needs survey, aim to align workforce development with real market demands, ensuring Omanis are equipped for future job opportunities.
The Ministry of Labour played a crucial role in implementing these reforms, issuing over 707,000 work permits and registering 634,000 work contracts for both Omanis and expatriates. In addition, more than 1,200 inspection visits were conducted to ensure compliance with Occupational Safety and Health Regulations. Notably, the establishment of sectoral skills units in Fisheries, Engineering, and Information Technology has created a platform for employers, industry leaders, and academic institutions to develop workforce skills in line with international standards.
The Ministry also launched the National Employment Policy project, which focuses on bridging the gap between education and employment. Future plans include major programmes aimed at improving employment conditions and creating more opportunities, including the development of professional standards and a training project that aims to generate 11,000 new training opportunities.
In 2023, 13,242 job seekers were employed in the private sector for the first time, while 29,668 individuals were re-employed through job rotation initiatives. An additional 17,910 job seekers secured positions in the public sector, demonstrating the government’s commitment to sustainable employment for Omanis across various industries.
The Marsad platform, a critical tool for data-driven employment planning, continues to facilitate the employment of Omani youth by providing detailed labour market data, helping decision-makers align educational outcomes with job market needs.
Oman also placed significant emphasis on skills development, training 9,300 young Omanis in various fields to prepare them for emerging job opportunities. This included a programme with the Musleh platform, which trained 600 job seekers in maintenance fields, and a separate programme supporting over 2,000 Omani entrepreneurs.
Additionally, the Job Security Fund provided financial relief to over 17,000 workers affected by job loss, demonstrating Oman’s commitment to protecting workers during challenging circumstances.
Overall, 2023 was a year of substantial progress for Oman’s labour market, marked by key legislative reforms, strategic employment initiatives, and a focus on developing a skilled, competitive workforce. These efforts are helping Oman move steadily toward achieving its Vision 2040 goals, ensuring a balanced and prosperous future for both Omani talent and expatriate workers.
