Muscat: The Ministry of Labour (MoL) on Sunday issued mechanisms for enforcing the decision to appoint at least one Omani employee for every commercial registration that has completed one year since its establishment.
The decision applies to entities operating under various categories, including foreign investment establishments, enterprises with more than 10 workers, those with fewer than 10 workers, and commercial registrations held by entrepreneurs and self-employed individuals.
1. Foreign investment establishments
Foreign investment entities that have completed one year of commercial activity are required to submit a plan for hiring at least one Omani citizen within a three-month period.
Direct employment or the submission of a clear operational plan leading to actual recruitment will be accepted.
A blanket restriction will apply to all non-compliant foreign investment firms, regardless of the number of expatriate employees on record.
Firms will be granted a grace period not exceeding three months from the notification date to rectify their status in line with the decision.
This mechanism is established in coordination with the Ministry of Commerce, Industry and Investment Promotion to align business registration procedures with labour market regulations.
2. Establishments with more than 10 employees
Companies employing more than 10 workers must submit an Omanisation plan to hire at least one national within three months.
Employment can be direct or through the presentation of an operational plan leading to effective recruitment.
The company will be notified electronically via the system that employment is required. If the company fails to respond, restrictions will be imposed on new licences, and the ban will appear automatically in the system.
3. Establishments with fewer than 10 employees
Firms employing fewer than 10 workers must also submit a plan to employ at least one Omani within six months.
All such firms will be assessed within a six-month period from the notification date to evaluate their contribution to the local added value (LAV).
Direct employment or a clear operational plan leading to hiring will be accepted. If the firm's contribution to LAV is established, temporary exemption from the appointment requirement may be granted.
Failure to comply within the period will result in restrictions on new licences, and the ban will be reflected electronically in the system.
4. Entrepreneurs and self-employed business owners
Establishments owned by entrepreneurs and self-employed individuals will be granted a one-year grace period from the date of notification to adjust their status and fulfil Omanisation requirements.
These businesses will undergo a review within a six-month period from the date of notification to assess their contribution to local added value.
Non-cardholders of the “Riyada” certificate may apply for registration with the Small and Medium Enterprises Development Authority to obtain the card and benefit from associated incentives and exemptions.
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