Important and Urgent: Foreign Firms & Omanisation Policy Update!

We are writing to update you of a new mandatory Omanisation directive developed between the Ministry of Commerce Industry and Investment Promotion (MOCIIP) and Ministry of Labour (MOL). It was issued on the 5^th May 2025 but only announced in the press on the 15^th June.

The directive is now enforcing all foreign companies operating in Oman to hire Omani Citizens, whether newly established or existing businesses.

Companies are already receiving messages from the ministries so these changes require timely action to avoid penalties and suspension of business activities.

Foreign-owned New Companies – Recently Established or Planning to Set Up – within 12 months of registration

• From the date of registration with MOCIIP (no longer after trade license activation), NEWCO will be given a grace period of up to 12 months to hire at least one Omani national.
• On the 11^th month MOCIIP will remind you to employ an Omani. If you have not registered an Omani employee by the end of month 12, MOCIIP’s electronic system will automatically suspend NEWCO.
• On receipt of the suspension, NEWCO must submit an employment plan to MOCIIP explaining the reason for not hiring an Omani and the commitment to hire one in the next three months.
• On receipt of your plan, MOCIIP will lift the suspension for another three months to give you time to employ an Omani.
• If you still fail to hire an Omani you will be comprehensively suspended until you rectify the situation and hire an Omani.
  • Please note: The extension prevents NEWCO for annual document renewals and hiring Expats.
• Exceptions: We have not been advised on whether exceptions will be given.

Foreign-owned existing companies with a commercial registration older than one year

• On receipt of an automatic message, the company must submit an employment plan to hire at least one Omani citizen within three months.
• If you do not submit the plan, the MOL’s electronic system will automatically impose a ban on issuing new work permits for expats.
• On receipt of your plan, the ban will be lifted for a grace period of three months to give you the time to recruit an Omani.
• If you fail to employ an Omani you will be automatically comprehensively suspended until you have registered an Omani with MOL.
• Recruitment may be completed either directly or through a clear employment plan that results in actual hiring.

How Bondoni Will Support our Retained Clients

• We will work with you to create a compliant Omanisation Employment plan, including:
  • Number of Omani hires
  • Positions targeted
  • Hiring method (direct or phased)
  • Salary structures and timelines
• We will submit the plan on your behalf:
  • For new companies – through the Oman Business Platform (MoCIIP)
  • For established companies – through the Ministry of Labour’s e-services portal.

Please note: These new processes and timeframes must be adhered to. As this has recently been jointly introduced by MOCIIP and MOL, clients are receiving ambiguous messages from both ministries so we will update you as soon as we receive more clarity.