MUSCAT : He explained that the extension of job security benefits for individuals who were laid off has placed significant strain on the fund’s financial resources.

Dr. Al Farsi pointed out that job security benefits were originally designed to be provided for only six months, but the Fund has extended this support for over four years due to the challenges faced by those laid off. He further noted that this extension period is far beyond the practice in other countries, where such benefits typically last for a year.

While acknowledging the Fund’s ongoing commitment to supporting those laid off, Dr. Al Farsi highlighted the need to address the root causes of job loss, such as providing suitable employment alternatives. However, he pointed out that while authorities have made efforts to offer new job opportunities, some individuals have declined these offers.

According to the law, those laid off must be offered at least three job opportunities, and if they reject them, their benefits could gradually be reduced. He urged those laid off to actively seek employment rather than relying solely on the support provided by the Fund.

The CEO also pointed out that the continued extension of job security benefits has strained the fund’s financial capacity. The original 1 percent allocation for job security, which also covers job seekers, is now primarily directed towards extended benefits for those previously laid off, he explained.

Addressing the issue of minimum job security benefit, Dr. Al Farsi clarified that the amount of RO 115 applies only to individuals who have benefited from extensions in recent years. For new cases of forced layoffs or terminations, the benefit is calculated according to the regular mechanism, ensuring that recipients receive 60 percent of their wage subject to subscription, without any additional reductions.

The inaugural dialogue session, held on Wednesday, March 5, underscored the challenges faced by the Social Protection Fund and highlighted the importance of addressing the root causes of job loss while finding a sustainable solution to ensure continued support for all individuals in need.

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