MUSCAT: Oman will introduce a provident scheme for expatriate workers on July 19, 2027, requiring employers to contribute 9% of each worker’s basic monthly wage, the Social Protection Fund has announced.

The scheme, established under the Social Protection Law, will replace end-of-service gratuity for employment periods covered by the new system. Workers’ accumulated savings and investment returns will be paid out in accordance with the law.

End-of-service benefits accrued before the launch date will be settled separately, with employers given three options.

Employers may retain the accrued gratuity until the worker’s employment ends. Under this option, the entitlement will be calculated using the worker’s basic wage at the end of service, in accordance with the Labour Law.

Alternatively, employers may pay the accrued gratuity directly into the worker’s bank account when the scheme takes effect, or transfer it to the worker’s account with the Social Protection Fund.

The arrangements distinguish between benefits earned before July 19, 2027, and savings accumulated under the new scheme from that date.