Omani Social Protection Law: Key Timeline Extensions under Sultani Decree 60/2025

3 min 8 sec January 15, 2026 (Edited)

On 13 July 2025, Sultani Decree No. 60/2025 was issued (the “Decree”), introducing key amendments to the Omani Social Protection Law promulgated by Sultani Decree No. 52/2023 (the “Law”). The objective of the Decree is to adjust the implementation timelines for several social insurance provisions, giving stakeholders additional time to prepare for compliance. The amendments specifically affect the implementation of:

• Work Injuries and Occupational Diseases Insurance for non-Omani Workers;
• Sick Leave and Unusual Leave Insurance; and
• The Compulsory Savings Scheme for non-Omani Workers.

Key Amendments and Revised Timelines:

1. Work Injuries and Occupational Diseases Insurance (non-Omani Workers)

Under the Law, the Work Injuries and Occupational Diseases Insurance scheme for non-Omani workers was originally scheduled to take effect three years from the issuance of the Law (i.e. 19 July 2026). However, the Decree has postponed the implementation date for a further two years, setting a new effective date of 19 July 2028.

This insurance aims to provide financial protection for non-Omani workers in the event of workplace accidents or occupational illnesses arising in the course of employment. Historically, this coverage was available only to Omani workers, making this provision a significant development in promoting welfare and workplace safety for both Omani and non-Omani workers.

2. Sick Leave and Unusual Leaves Insurance

The Sick Leave and Unusual Leaves Insurance Scheme, originally set to take effect two (2) years from the Law’s issuance (i.e. 19 July 2025), has been postponed for one year under the Decree, with a new effective date of 19 July 2026.

This new scheme establishes a structured framework to manage workers’ absences due to illness or other exceptional circumstances, helping employers manage workforce availability while supporting employee well-being.

3. Compulsory Savings Scheme (Non-Omani Workers)

The Compulsory Savings Scheme for non-Omani workers, intended to replace the traditional end-of-service gratuity paid at the end of employment to non-Omani workers where applicable, was initially scheduled to be implemented within three years of the Law’s issuance (i.e. 19 July 2026). The Decree extends this timeline for one year year, with a new effective date of 19 July 2027.

This extension provides employers with additional time to adjust payroll systems and benefits structures to ensure compliance with the revised framework. Importantly, the amended timeline does not affect employers’ obligations regarding end-of-service gratuity accrued prior to implementation date of the saving scheme, which will continue to be governed by the Law.

Summary Table: Original vs. Revised Timelines:

The table below provides a clear comparison of the original implementation timelines under the Law and the Decree.

Conclusion:

By extending the implementation timelines for several social insurance provisions, the Decree offers stakeholders additional time to prepare for compliance and align operationally and structurally with the new timelines, while supporting the long-term objective of a comprehensive and inclusive social protection system in Oman. Stakeholders are therefore encouraged to use this period to strengthen internal processes, update policies, and ensure their organizations are fully prepared for the revised effective dates.

How can we help?

Our Employment & Incentives practice would be happy to assist employers with understanding and preparing for the implementation of the Social Protection Law, including the impact of the amended timelines on workforce planning, policies and cost considerations. This may include supporting internal communications and guidance in relation to the upcoming insurance schemes and savings system as they are phased in.

If you require any support or would like to discuss how these amendments may affect your organisation, please do not hesitate to reach out to us.