August Layoffs Report: What 249 Job Cuts Across Three Companies Mean for Oman’s Business Landscape
Muscat: The General Federation of Oman Workers (GFOW) provided a comprehensive range of worker support services and interventions throughout August 2025, demonstrating its continued dedication to protecting labour rights and addressing workplace issues.
During the month, GFOW managed eight worker support cases involving both individual and collective complaints through negotiation sessions. Three of these cases were successfully resolved, while five remain under ongoing review.
The Federation also handled 51 legal inquiries and consultations, emphasizing its vital role in advising employees on their labour rights and responsibilities.
In August, mass layoffs impacted 249 workers across three companies. GFOW intervened to offer support and oversight during this period. Furthermore, five trade unions aligned their operations with legal standards, enhancing sector compliance.
Key concerns addressed included wages, leave entitlements, working hours, project transfers, and project completion. Additional issues involved economic conditions, contract terminations, demands for improved working conditions, and the continued establishment of trade unions.
GFOW reaffirmed its commitment to representing workers’ interests and promoting fair labour practices. The Federation continues to collaborate with relevant authorities and companies to foster a balanced and sustainable labour market in Oman.
In June 2025, GFOW successfully prevented the termination of contracts for 80 Omani employees. The Federation also managed termination cases involving 16 Omani and 14 expatriate workers. Additionally, 80 workers were reinstated after layoffs prompted by private sector downsizing linked to economic pressures.
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The GFOW’s active intervention in labour disputes and mass layoffs signals increased regulatory oversight and stronger worker protections in Oman, presenting both challenges and opportunities for businesses. Companies must now prioritize compliance and proactive employee relations to mitigate risks of legal conflicts and reputational damage. Smart investors and entrepreneurs should consider sectors with stable labour relations and engage with emerging trade unions as part of a sustainable growth strategy in Oman’s evolving labour market.
