Muscat – This was highlighted during a forum on ‘Labour Market Regulation and Employment’ organized by the Oman Chamber of Commerce and Industry (OCCI), as part of its ongoing Ramadan Evening.

The forum, featuring insightful discussions from notable experts – including His Excellency Mohamed Hassan al Ansi, Chairman of OCCI’s Labour Market Regulation Committee, Engineer Mohammed bin Ali Al Khalidi of the General Federation of Oman Workers, and Ammar bin Salem Al Saadi, Director General of the Directorate General of Labour at the Ministry of Labour – explored the significance of a well-organised job market for business stability and economic growth. It also discussed critical labour market issues, including policies, the private sector’s role in employment, and its impact on economic indicators.
Engineer Al Khalidi presented a comprehensive analytical study of the labour market, which highlighted several significant findings. According to the study, the average cost of living for an Omani family is RO 757 riyals, based on 2019 statistics. The study also showed a 3.31 percent increase in the number of job seekers, with approximately 90,000 people seeking employment in 2024.

In terms of economic contributions, the study indicated the private sector’s significant contribution to the GDP, amounting to RO 21 billion in 2024, with 269,174 private sector establishments employing a total of 1,829,981 workers. Projections for 2040 forecast a GDP of RO 86 billion, with the private sector contributing over RO 61 billion, and the total number of employed persons exceeding RO 5 million, including approximately 2,168,468 Omanis.

Ammar bin Salem Al Saadi provided insights into employment, job seekers, and support initiatives. He highlighted the wage subsidy program for private sector workers, currently benefiting around 2,000 individuals, with plans to expand to 3,000 this year. He also addressed the challenges of accurately identifying job seekers, stating that the number ranges between 90,000 and 100,000, and emphasised the Ministry’s commitment to Omanising supervisory and specialised positions.

Ammar Al Saadi also discussed the freelance work initiative under the National Employment Program, which allows job seekers and students to register for a freelance professional license via the ‘Oman Business’ platform. The initiative also offers financial support, such as a fee-free loan of RO 15,000 from the Development Bank and tax exemptions for investments under RO 150,000.

Regarding part-time work, Ammar Al Saadi confirmed that its implementation is planned and will be included in Omanisation rates for companies, enhancing labour market flexibility and opportunities for Omanis. He also addressed Omanisation efforts in specific professions, confirming the Ministry’s commitment to Omanising the refrigerator driver profession, while acknowledging the challenges in finding Omani workers to fill these positions. Similarly, he addressed the issue of expatriates working in accountant positions in commercial stores, assuring that the Ministry is enforcing regulations to ensure compliance.

His Excellency Mohammed Al Ansi highlighted the critical need for aligning educational programs with labour market demands, particularly focusing on vocational education. He noted that the private sector must play a key role in shaping initiatives to address the skills gap, particularly in high-demand professional fields like technology.