The labour market in Oman is undergoing significant changes as part of the country’s Vision 2040 implementation efforts. In 2023, more than 853,000 Omanis were employed across public and private sectors, which marked a 6.4% growth from the previous year. Additionally, expatriates accounted for 1.8 million workers, with a 7% increase. These figures highlight the impact of ongoing reforms and initiatives aimed at boosting national workforce participation and aligning the labour market with long-term economic goals.
Key labour reforms and initiatives have made the labour market more attractive to national talent and addressed the evolving needs of the private sector. The issuance of the new Labour Law was a central part of these reforms, aimed at improving worker conditions, enhancing productivity, and fostering long-term stability in the labour market. Strategic employment initiatives were also launched in 2023, such as the labour market needs survey in private sector establishments, to ensure that Oman’s workforce is equipped to meet future job demands.
The Ministry of Labour’s commitment to improving working conditions was evident through inspection visits to ensure compliance with Occupational Safety and Health Regulations. The establishment of sectoral skills units for Fisheries, Engineering, and Information Technology was also a notable achievement, focusing on developing workforce skills aligned with international standards. The National Employment Policy project further reinforces these goals by identifying labour market needs and bridging the gap between education outcomes and employment demands.
Plans for the future include completing major programmes to improve labour market conditions and boost employment opportunities. These programmes include the National Employment Policy Project, the National Strategy for Professional Standards, the Labour Market Policies Development and Enhancement Project, and the Training Project. The Ministry of Labour aims to create 11,000 new training opportunities and address the needs of the labour market in various industries.
In 2023, several initiatives were implemented to enhance job opportunities in both the private and public sectors, resulting in a significant number of job seekers securing positions. The Marsad platform plays a vital role in facilitating employment for Omani youth by providing detailed labour market data to decision-makers. This data enables harmonious planning between educational outcomes and market needs, ensuring that the national workforce is prepared for future opportunities.
Skills development and training initiatives in 2023 focused on training programmes for young Omani cadres to acquire necessary skills for emerging job opportunities. The emphasis on improving professional standards aims to close the gap between education and employment, ensuring a competitive local and international workforce. Additionally, the Job Security Fund offers stability for Omani workers facing job loss due to unforeseen circumstances, benefitting over 17,000 individuals by the end of 2023.
Legislative reforms, such as the new Labour Law, aim to drive stability and growth in Oman’s labour market by enhancing productivity, improving working conditions, and promoting job stability. By prioritizing skills development, job creation, and regulatory improvements, Oman is moving towards achieving its Vision 2040 goals. Overall, 2023 was a year of substantial growth and reform for Oman’s labour market, with a focus on balancing workforce development with economic competitiveness for a brighter and more prosperous future.
