Oman cuts work permit fees for companies hiring more locals
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Oman’s Ministry of Labour has introduced a new fee structure for expatriate work permits, linking charges directly to companies’ compliance with Omanisation targets.
Under the revised regulations, firms that meet or exceed their prescribed Omanisation quotas will receive a 30 per cent reduction in expatriate work permit and practice licence fees. Companies that fail to meet the required employment levels for Omani nationals will face a doubling of standard work permit fees.
The ministry said the changes apply to the fees listed in Appendices (1) and (4) of the new regulations. Employers who adhere to the specified Omanisation ratios will benefit from the reduced rates, while those who do not comply will be subject to higher charges.
In addition to the fee adjustments, the framework extends the validity of work practice licences for non-Omani workers from 15 months to 24 months, aligning them with the duration of residency permits.
The ministry has also introduced greater flexibility for employers by allowing them to upgrade a worker’s professional category on an existing licence by paying the fee difference, without the need to apply for a new permit.
Officials said the measures are intended to align private sector workforce planning with national employment priorities and encourage companies to increase the hiring of Omani nationals.
