Oman seeks skilled workforce, wider private sector employment under Vision 2040

Oman aims to increase skilled workers’ share of private sector employment to 83 per cent by 2040, combining investment in national talent with recruitment of international specialists and changes to employment regulation.

The labour market priorities under Oman Vision 2040 seek to create sustainable jobs for citizens, improve productivity and prepare businesses and employees for technological, economic and demographic changes.

The strategy also calls for stronger participation by qualified Omanis in private businesses, supported by closer cooperation between employers, educational institutions and government authorities.

Linking education with employment

Education and vocational training would be aligned with workplace requirements so graduates enter employment with relevant qualifications and practical skills.

Continuous professional development would help workers adapt to changing industries, while a positive work culture would encourage professional excellence, innovation and productivity.

These measures are intended to develop national capabilities, strengthen economic competitiveness and prepare Omanis for future employment opportunities.

Private companies would play a larger role in generating lasting jobs for qualified young people. Flexible labour policies and effective legislation would improve recruitment and support cooperation between businesses and training providers.

Civil society organisations would contribute through skills development and initiatives helping people enter the workforce.

Recruiting talent and updating labour rules

The vision recognises the need to attract technical specialists and highly skilled professionals from international markets while continuing to develop Omani expertise. It calls for standardised recruitment policies that promote fair hiring and help companies find workers with the skills they need.

Transparent hiring procedures would also improve Oman’s appeal to skilled professionals and support the transfer of knowledge across industries.

Employment laws based on professional standards would provide a productive working environment that supports both employers and employees.

Flexible policies and modern legislation would help the labour market respond to technological advances and emerging employment trends. Improved administrative and organisational arrangements would strengthen labour market management and keep policies aligned with national development priorities.

Career progression and productivity

The strategy calls for employment, qualification, promotion and incentive systems based on efficiency, productivity and individual performance.

Rewarding initiative, creativity and innovation would encourage employees to develop their capabilities, improve institutional performance and create opportunities for career advancement.

Alongside a positive workplace culture, these measures are intended to strengthen motivation and professional standards.

Training and coordination between institutions would also help businesses and workers prepare for automation and changing economic conditions.

The aim is to accommodate new entrants to the workforce while balancing national employment priorities with demand for specialised expertise, supporting job stability and competitiveness in a knowledge-based economy.

Employment goals for 2030 and 2040

The vision uses three indicators to assess progress against historical baselines.

Skilled workers represented 57.9 per cent of private sector employment in 2017. Oman seeks to raise that proportion to 81 per cent by 2030 and 83 per cent by 2040.

Labour productivity growth stood at −1.2 per cent in 2017. The intended rate is 1 to 2 per cent by 2030, increasing to 2 to 3 per cent by 2040.

Omanis accounted for 11.6 per cent of newly created private sector jobs in 2016. The strategy seeks a share of 35 per cent by 2030 and 40 per cent by 2040.

The national employment figures refer to newly created jobs, rather than all existing private sector positions.

The broader objective is a competitive labour market that provides meaningful employment, supports private sector growth and contributes to economic diversification.