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Over 2,000 jobs protected as GFOW blocks mass layoffs

6 Jul 2026 Over 2,000 jobs protected as GFOW blocks mass layoffs By OUR CORRESPONDENT

Muscat – More than 2,000 Omani jobs were protected in 2025 after a government labour committee rejected company requests for collective redundancies, according to the General Federation of Oman Workers (GFOW), which said employment disputes remained one of the biggest workplace challenges during the year.

The federation’s 2025 Annual Report revealed that 2,182 workers across 30 private sector companies received termination notices or were affected by collective layoff plans, prompting intervention through mediation, legal support and labour dispute mechanisms.

The report said the committee responsible for reviewing private sector applications to reduce workforce numbers for economic reasons examined 120 requests during the year. It rejected 87 applications to terminate employment contracts and also blocked a proposal that would have resulted in the dismissal of 2,035 Omani workers, helping preserve national employment.

The committee approved five requests allowing companies to temporarily reduce the wages of Omani employees by 10% to 25% for six months, together with reduced working hours. It also approved the termination of 28 Omani workers from six companies and 485 expatriate workers from 10 companies.

According to the federation, it provided 497 legal consultations and labour complaint services during 2025 and represented workers in 144 cases before primary and appellate courts. A total of 116 labour cases were decided in favour of workers, with all completed cases ending in successful outcomes.

The report also showed continued growth in organised labour representation, with the number of registered labour unions rising to 340 by the end of 2025, reflecting increased participation in collective labour representation across the sultanate.

The GFOW said settlement and collective labour agreements reached during the year strengthened job security and workplace protections. The agreements ensure that Omani workers’ employment contracts are maintained, encourage private sector companies to expand the recruitment and training of Omani nationals, and provide financial support through the Job Security Fund for workers affected by company liquidation or permanent closure until they secure new employment.

The agreements also require private sector companies to comply with occupational safety and health regulations while introducing measures to improve working conditions, enhance job stability and support productivity across the labour market.

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