Employee Leasing Oman
Oman’s expanding economy is driven by a young, tech-savvy demographic and a rapidly growing consumer base. Positioned strategically at the intersection of key global trade routes, Oman provides exceptional access to regional markets and acts as a vital trade gateway. With advanced infrastructure and the Vision 2040 development plan, Oman offers an attractive environment for business ventures.
Employee leasing with FMC Group simplifies your entry into the thriving Omani market. We eliminate the need to establish a local subsidiary, allowing you to focus on key business decisions while we manage administrative tasks such as payroll, legal compliance, and recruitment. Our expertise in Oman helps you tap into the country’s talented workforce, ensuring smooth integration, cultural understanding, and a competitive edge in the marketplace and a competitive edge in the market.
Content:
- Advantages of Employee Leasing in Oman
- Employee Leasing Services Offered by FMC Group
- Advantages of the Omani market
- Recruitment in Oman
- Minimum Wage and Payroll
- Social Contributions and Taxes
- Working Hours and Overtime
- Vacation Days
- Parental Leave and Sick leave
- Other Leaves
- Notice Period
- Additional Information
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Advantages of Employee Leasing with FMC Human Resources in Oman
- Launching your business activity in Oman can be smooth and flexible thanks to the employee leasing services offered by FMC Group, providing you with a hassle-free start without the need to set up a local company.
- Employee leasing frees up your time so you can concentrate on taking strategic decisions and achieving business goals, while we handle administrative tasks like payroll and legal compliance.
- Hiring local talent through employee leasing means faster integration and better cultural understanding, giving you a competitive edge in the Omani market.
- FMC Group gives you access to a wide pool of skilled professionals in Oman and connects you with the best fit for your needs.
Employee Leasing Services Offered by FMC Group
- We source and recruit top talent aligned with your needs.
- We handle contracts and negotiate the best terms.
- We process all taxes and social contribution payments accurately.
- We provide international-standard and transparent payroll services.
- We track and manage paid vacations for your employees.
- We negotiate and implement private health insurance for your team if requested.
- We keep you updated on your employees and team dynamics.
Management & Reporting Flow of Employee Leasing/Outstaffing Services
Advantages of the Omani Market
- Oman is known for its political stability and security, maintaining peaceful relations with neighboring countries. Its strategic location at the crossroads of the Middle East, Africa, and Asia, along with its control over key shipping lanes like the Strait of Hormuz, makes it a vital player in global trade.
- Oman Vision 2040 focuses on economic diversification, aiming for the non-oil sector to account for over 90% of GDP. The government is developing sectors like tourism, agriculture, technology, and industrial hubs in Duqm, Sohar, Salalah, and Al-Mazunah, promoting these areas for global trade and investment.
- The country boasts a strong legal framework, with respect for free markets, property rights, and the rule of law. Its modern infrastructure supports both local residents and international businesses, while the government actively encourages foreign investments, particularly through special economic zones.
- Oman is enhancing public-private partnerships (PPP) to fund and manage major infrastructure projects, including seaport developments and new public services. The country is also focusing on increasing renewable energy capacity as part of its sustainable development goals.
Recruitment in Oman
Minimum Wage and Payroll
- In Oman, the monthly minimum wage is OMR 325 (EUR 800).
- Employees are generally paid on a monthly basis, regardless of whether they work in manual labor or office positions.
Social Contributions and Taxes
| Employer Contributions | |
| Social Insurance Tax (for Omani employees) | 11.5% |
| Social Insurance Tax (for foreign employees) | 0% |
| Employee Contributions | |
| Social Insurance Tax (for Omani employees) | 7% |
| Social Insurance Tax (for foreign employees) | 0% |
| Employee Income Tax | |
| Income Tax (for Omani employees) | 0% |
| Income Tax (for foreign employees) | 0% |
Working Hours and Overtime
- The legal working hours in Oman cannot exceed 48 hours per week or 8 hours per day.
- During the Islamic month of Ramadan, the working hours are reduced to 6 hours per day.
- Overtime work is permitted for up to 2 hours per day and is paid at a rate of 125% of the regular salary.
Vacation Days
- Employees in Oman are entitled to 30 days of paid vacation per year, regardless of their years of service.
- Employees may request additional unpaid leave, which is subject to the employer’s discretion.
- Oman observes 4 public holidays
- National Day
- Eid Al Fitr
- Eid Al Adha
- Islamic New Year
Parental Leave and Sick Leave
- The legal maternity leave in Oman has been increased from 58 days to 98 days. This is applicable for female employees who have completed at least 1 year of service.
- Oman has introduced unpaid childcare leave, which allows female employees to take up to 1 year of unpaid leave after maternity leave. This gives employees more flexibility in caring for their child without the pressure of returning to work immediately after the maternity leave period.
- Fathers are entitled to 7 days of paid paternity leave after a new child is born.
- Under the new law in Oman, paid sick leave is extended to 182 calendar days, with the following pay structure:
- 100% for the first 21 days
- 75% from day 22 to day 35
- 50% from day 36 to day 70
- 35% from day 71 to day 182
Other Leaves
- Under Oman’s new labor law, Omani national employees are entitled to 15 days of leave per year to accompany a patient with whom they share a marital or up-to-second-degree blood relationship.
- If an employee gets married, they are entitled to 3 days of marriage leave.
- If an employee wants to perform Hajj (pilgrimage) for the first time, they are entitled to 15 days of Hajj leave, on the condition of having completed at least 2 consecutive years of service.
Notice Period
- In Oman, the notice periods required for terminating employment contracts vary based on the type of contract:
- Indefinite-Term Contracts: Employees with monthly salaries must give a 30-day notice. Itcan be longer if specified in the contract.
- Fixed-Term Contracts: Typically, these contracts end automatically without the need for notice when the term expires. However, if the employment continues after the term without a new agreement, it may be considered an indefinite contract, thus subject to the notice periods for indefinite contracts.
Additional information
- For updated information on investment opportunities and incentives in Oman, you can visit the official investment promotion platform: Invest Oman
Disclaimer: Although we carefully researched and compiled the above information, we do not give any guarantee with respect to the actuality, correctness, and completeness.