Are you already operating a business in Oman? Then Omanisation should be part of your workforce planning. Omanisation requirements in Oman now directly affect your costs: since early 2026, companies that meet their required Omanisation rates pay 30% less in work permit fees, while those that fall short pay double.
Under the current Omanisation policy, the rules go beyond fees. Every company operating for more than a year must employ at least one Omani national, non-compliant businesses can be excluded from government contracts, and all companies must now register on Tawteen, Oman’s government platform for tracking Omanisation and processing work permits.
In this guide, we explain the key Omanisation requirements in Oman, how the Omanisation quota by sector is set, the benefits of compliance, and what happens if your company falls short. We also cover Tawteen in Oman, including how Tawteen registration works and what the Tawteen certificate involves.
What Is Omanisation in Oman?
Omanisation is Oman’s national policy to increase the employment of Omani citizens in the private sector. It is a key part of Oman Vision 2040, which aims to diversify the economy and reduce the private sector’s reliance on expatriate labour.
The need for the policy is clear in the numbers. According to the Minister of Labour, the Omanisation rate in the private sector stood at 15.5 per cent of the total workforce of 1,859,206 workers as of October 2025.
In practice, the Omanisation policy sets employment targets that vary by sector and profession, and some professions are reserved exclusively for Omani nationals. This means each business’s obligations depend on its activities and the size and composition of its workforce.
For more information on how Omanisation fits into company setup, see our guide to Setting Up a Company in Oman: Your Guide to Mastering Omanisation.
Omanisation Requirements in Oman: Key Rules
Businesses operating in Oman must understand their Omanisation requirements to comply with labour regulations and manage their workforce effectively. These obligations include employing Omani nationals, meeting the applicable workforce targets, and fulfilling the registration requirements set by the Ministry of Labour. The exact requirements depend on the company’s legal status, business activities, and applicable regulations.
Minimum Requirement to Employ an Omani National
Under a Ministry of Labour decision announced in 2025, companies that have been operating for more than one year are required to employ at least one Omani national. The measure aims to increase Omani participation in the private sector and address imbalances in the labour market. The announcement also provides flexibility in how businesses meet the prescribed Omanisation rates, including the recognition of certain self-employed and part-time workers within the applicable requirements.
Individuals who work full-time on a self-employed basis have one year before this requirement applies to them. Businesses should check the latest Ministry of Labour guidance to confirm how the rules apply to them.
For more details, see Times of Oman’s report on the decision.
Requirements for Foreign-Owned Companies
Foreign-owned businesses must also consider the specific obligations introduced under Ministerial Resolution No. 411/2025, which added Article (12) bis to the executive regulations of Oman’s Foreign Capital Investment Law. These companies must employ at least one Omani national within one year of starting commercial operations and ensure that the employee is formally registered with the Social Protection Fund.
Existing foreign companies that have been operating for a year or more have six months to comply, starting from whichever comes first: the renewal of their commercial registration or the issuance or renewal of a work permit. These requirements are particularly relevant to international investors establishing or operating businesses in Oman, as they affect workforce planning beyond the initial company registration process.
For further details, see Gulf News’ coverage of the requirements for foreign businesses in Oman.
Meeting the Applicable Omanisation Targets
Employing an Omani national is only one part of understanding the Omanisation requirements in Oman. Businesses must also comply with the workforce targets and employment restrictions applicable to their sectors and professions. Some roles are reserved exclusively for Omani nationals; in July 2024, the Ministry of Labour added more than 30 professions to the list of jobs restricted for non-Omanis. Other requirements depend on the nature of the business and the relevant regulatory decisions.
Employers should therefore review the rules applicable to their activities rather than assume that meeting the minimum employment requirement automatically satisfies every Omanisation quota. Maintaining accurate employee records and ensuring that Omani employees are registered with the relevant authorities are also important parts of workforce compliance.
Registering on the Tawteen Platform
Since February 2026, all companies operating in Oman, regardless of their size or sector, must register on Tawteen, the government platform for managing recruitment and work permit requests and tracking Omanisation rates. We explain how Tawteen registration works in more detail later in this guide.
Omanisation Quota by Sector in Oman
The Omanisation quota by sector in Oman varies depending on the industry, the job level, and the professions involved. Some quotas apply to a company’s overall workforce, while others target specific positions such as senior management or supervisory roles. Many targets are also phased, meaning they are raised gradually over time. Below is an overview of the latest published Omanisation targets in key sectors.
Transport and Logistics
The Ministry of Transport, Communications and Information Technology has set annual Omanisation targets for the transport and logistics sector until 2040. Under Ministerial Resolution No. 501/2024, 14 professions in the sector are being Omanised between 2025 and 2027 (Oman Observer). For the targeted jobs, the first phase, which began in 2025, sets Omanisation levels of 20% to 50%, and these levels will rise each year until the jobs are fully Omanised (Times of Oman). The ministry has also introduced a 20% Omanisation requirement for supervisory roles in the last-mile delivery sector (Muscat Daily).
Information and Communications Technology
In the ICT sector, the ministry’s initiative targets Omanisation rates of 50% to 100% for targeted roles by 2026 (GDN Online). Overall Omanisation in the sector rose from 38% in 2024 to 45.5% in 2025.
Banking
The banking sector has some of the highest Omanisation targets in the country, set by job level. As of 2024, the targets were 80% for senior management, 90% for middle management, and 100% for clerical and non-clerical staff (Oxford Business Group).
Insurance
The Omanisation quota for the insurance sector is 75% (Oxford Business Group).
Other Sectors
Omanisation quotas in other sectors are set through separate decisions and may be updated periodically. Businesses should confirm the Omanisation rate that applies to their activities through the Tawteen platform or with the Ministry of Labour before making recruitment decisions.
Omanisation Requirements and Project-Based Recruitment
In addition to sector-specific Omanisation quotas, workforce requirements may vary depending on a company’s business activities, job roles, and employee skill levels. The following expatriate-to-Omani ratios provide a general indication of workforce composition by skill level:
- Skilled workers: 1 Omani to 1 expatriate
- Semi-skilled workers: 1 Omani to 3 expatriates
- Unskilled workers: 1 Omani to 10 expatriates
These ratios are for general guidance only and should not be treated as universal statutory quotas. Companies should confirm the applicable requirements with the Ministry of Labour (MOL), based on their business activities and workforce classification.
For project-based recruitment, securing a contract may also allow a company to seek Ministry of Labour support in obtaining work permits for the expatriate workers needed to deliver the project. The assessment may take into account the contract’s value and duration, as well as its staffing requirements. Any approvals remain subject to the Ministry’s assessment and applicable regulations.
Omanisation Benefits for Companies
Meeting Omanisation requirements brings companies clear financial and commercial advantages in Oman.
- Lower Work Permit Fees: Companies that meet their required Omanisation rates receive a 30% reduction in work permit fees.
- Automatic Incentives: The fee reduction applies automatically to compliant companies, without additional administrative steps.
- Access to Government Contracts: Entities governed by the Tender Law are directed not to fully contract with companies that fail to meet Omanisation percentages, so compliance keeps these opportunities open.
- Lower Hiring Costs Over Time: By avoiding the doubled fees applied to non-compliant companies, businesses can keep the cost of recruiting foreign employees under control.
What Is Tawteen in Oman?
Tawteen is a government platform launched in December 2024 to support Omanisation in line with Oman Vision 2040. The platform brings recruitment, labour clearances, and employee visa applications into one system and gives the authorities a way to monitor each company’s Omanisation ratio and compliance.
Tawteen Registration in Oman
In February 2026, the Ministry of Labour made Tawteen registration mandatory for every company in Oman, whatever its size or sector. So far, the authorities have applied this requirement mostly to companies working on government projects and to businesses in regulated industries, including banking, finance, healthcare, energy, and telecommunications. Even so, all businesses should complete their registration and keep their company details accurate to avoid delays in recruitment and work permit procedures.
Tawteen Certificate in Oman
For businesses looking into the Tawteen certificate in Oman, the relevant requirement is an electronic certificate from the Ministry of Labour. Alongside Tawteen registration, private sector businesses must hold this certificate as official confirmation that they meet both labour standards and Omanisation requirements.
Omanisation Compliance: What Happens If a Company Does Not Meet the Quota?
Failing to meet Omanisation requirements can increase business costs and affect a company’s eligibility for certain government contracts. The main consequences include:
- Doubled Work Permit Fees: Companies that fail to meet the required Omanisation rates pay double the standard work permit fees.
- Restrictions on Government Contracts: Entities subject to the Tender Law have been directed to avoid fully contracting with companies that do not meet the applicable Omanisation requirements.
- Ministry of Labour Follow-Up: Companies that have operated for more than a year without employing an Omani national may be notified by the Ministry of Labour and required to take steps to meet the applicable requirements.
Regularly reviewing your Omanisation compliance helps your business identify potential issues and avoid additional costs.
Frequently Asked Questions About Omanisation in Oman (FAQs)
Here are some common questions about Omanisation in Oman:
1. How can a company check its Omanisation percentage in Oman?
A company’s Omanisation percentage is calculated by dividing the number of Omani employees by the total number of employees, then multiplying by 100. For example, a company with 4 Omani employees out of 20 has an Omanisation rate of 20%. To confirm the official rate recorded for the business and the quota that applies to its activities, companies should check with the Ministry of Labour or through the Tawteen platform.
2. Does Omanisation apply to small businesses in Oman?
Yes. Companies that have been operating for more than one year are required to employ at least one Omani national, regardless of their size. When the requirement was announced, establishments with fewer than 10 employees were given six months to comply, while those with 10 or more employees were given three months. Full-time self-employed individuals were granted a one-year grace period. Small businesses must also register on the Tawteen platform, as registration is mandatory for all companies operating in Oman.
3. Can a company meet its Omanisation quota by hiring part-time Omani employees?
Yes, in some cases. As part of its flexible approach to Omanisation, the Ministry of Labour recognises certain part-time and self-employed Omani workers when calculating a company’s Omanisation rate. However, specific conditions may apply, so companies should confirm with the Ministry of Labour how these workers are counted before relying on them to meet their quota.
4. Is Tawteen registration enough to prove that a company complies with Omanisation requirements?
No. Registering on Tawteen is a mandatory administrative step, but Omanisation compliance also depends on meeting the applicable employment targets and other labour obligations. Private sector businesses must also hold an electronic certificate from the Ministry of Labour confirming that they meet labour standards and Omanisation requirements.
5. What should a company do if it cannot meet its Omanisation quota?
A company should first review the requirements that apply to its sector and identify where the gaps are. It can then explore the options available, such as hiring part-time or self-employed Omanis where they count towards the quota, or using Ministry of Labour support measures like employment-linked training and wage support. Companies facing exceptional circumstances can also raise their case with the Ministry, which has set up a committee to review grievances and exceptional cases. Acting early helps avoid higher work permit fees and other consequences of non-compliance.
Staying Ahead of Omanisation Requirements in Oman
Omanisation requirements in Oman affect more than hiring decisions. They influence work permit costs, eligibility for government contracts, and workforce planning. From employing at least one Omani national to meeting sector-specific quotas, understanding your obligations is essential to running a business in Oman.
As regulations continue to evolve, staying informed about the latest Ministry of Labour decisions is key. Changes to quotas, work permit fees, and registration requirements can affect your compliance status, making regular reviews important for avoiding unexpected costs and benefiting from available incentives.
At Bondoni, we guide businesses to navigate Omanisation requirements with confidence. Our team monitors regulatory changes, develops practical Omanisation strategies, and advises businesses on sourcing and hiring skilled Omani talent. Explore Bondoni’s Omanisation and HR Services to get the support you need to manage your workforce obligations and plan for future requirements.
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