Oman Mandates 2-Year Domestic Worker Guarantee from 2027

The Oman Ministry of Labour has announced a major overhaul of its regulations regarding Oman domestic worker recruitment, introducing a mandatory two-year service guarantee for employers. Under the new Ministerial Decision No. 390/2026, which is set to take effect on January 1, 2027, the government aims to enhance transparency and protection for both employers and workers from nations including India, the Philippines, Indonesia, Ethiopia, Bangladesh, and Sri Lanka.
New Refund and Service Guarantee Structure
Under the upcoming regulations, employers who hire domestic staff through licensed recruitment agencies will be entitled to a two-year service guarantee starting from the worker's first day of employment. The new rules provide a clear framework for financial recourse if a worker is unable to fulfill their duties:
- Within the first 90 days: Employers are entitled to a full refund of the service fees if issues arise.
- Between 91 days and two years: Refunds will be calculated on a pro-rata basis. The service fee will be divided by 730 days and multiplied by the number of remaining days in the contract period.
To ensure accountability, mandatory insurance will now be required for every service contract to cover potential refunds and the cost of return airfare.
Strict Timelines and Employer Protections
The Ministry has also introduced strict timelines to prevent delays in the recruitment process. Recruitment offices are now required to ensure that a worker arrives within 45 days of the contract being signed. While a maximum extension of 30 days is permitted, it must be supported by a written agreement.
If these timelines are not met, employers have specific rights to protect their interests, including:
- The ability to claim 5% of the service fee as compensation for delays.
- The right to terminate the recruitment agreement entirely.
Enhanced Rights for Domestic Workers
The new mandate places significant emphasis on the rights and dignity of the workers themselves. To prevent exploitation, recruitment agencies are strictly prohibited from charging any fees to the workers.
Key protections for staff include:
- Written Job Offers: Every worker must receive a formal document detailing their specific duties, wages, rest periods, leave entitlements, and accommodation arrangements. This offer must be approved before the worker arrives in the country.
- Passport Security: Agencies are forbidden from retaining a worker's passport unless they have obtained explicit written consent.
- Support for Unplaced Workers: For workers awaiting placement, agencies must provide food, accommodation, and healthcare. Financially, these workers are entitled to 60% of their offered wage for the first 60 days, increasing to 100% of their wage from day 61 until day 180.
New Requirements for Recruitment Agencies
The Ministry is also tightening the requirements for the agencies operating within the Sultanate. While the two-year office license fee has been reduced to RO 300, agencies must now provide a RO 5,000 financial guarantee to ensure they can meet their obligations.
Furthermore, ownership of these agencies must be held by Omani nationals, and the businesses must be managed on a full-time basis. Temporary permits will also be regulated, with a cost of RO 26 each, valid for 180 days, and capped at 25 permits per branch.
These reforms follow a previous decision, Ministerial Decision 574/2025, which established specific rights regarding leave and working hours for domestic staff, signaling a broader move toward professionalizing the sector.