Shura to Review Ministry of Labour Decisions: What It Means for Employers and Investors in Oman
Majlis A’Shura is currently hosting a session with the Minister of Labor to discuss Ministerial Decision 602/2025, which governs work permits and work practice permits, along with Decision 44/2026 that came into effect in February of this year.
The discussion will center on coordination with key entities, including the Development Bank, the Small and Medium Enterprises Authority (Riyada), the Oman Chamber of Commerce and Industry, the Ministry of Economy, and the Ministry of Commerce, Industry and Investment Promotion (MOCIIP). The session will also examine the rationale behind the amendments introduced in Ministerial Decision 44/2026 and the sectoral growth observed in contracting and hospitality services.
Additionally, the impact of these decisions on the competitiveness of Oman’s national economy and its capacity to attract both local and foreign investment will be assessed. The legislative framework supporting the issuance of these decisions will be reviewed to ensure alignment with national labor market policies. The session will also consider the number of sustainable employment opportunities anticipated for job seekers.
Finally, the discussion will explore how implementing these regulations could help address labor market imbalances and reduce irregular employment practices, thereby supporting a more stable and regulated workforce environment.
Special Analysis by Omanet | Navigate Oman’s Market
The new Ministerial Decisions 602/2025 and 44/2026 signal a strategic tightening of labor regulations aimed at enhancing market fairness and workforce stability in Oman. For businesses, this means increased compliance requirements but greater opportunities to attract sustainable investment by aligning with national labor policies. Smart investors and entrepreneurs should now prioritize understanding these regulatory shifts and leverage collaborations with entities like Riyada and MOCIIP to capitalize on sector growth while mitigating risks related to labor market imbalances.
