21-05-2025
Oman: Majlis A'Shura calls for review of SME hiring policy
Muscat – The Ministry of Labour directive requiring commercial establishments operating for more than a year to employ at least one Omani citizen within 30 days of notification came under scrutiny in Majlis A'Shura on Tuesday.
The issue was raised in an urgent statement by Mohammed Nasser al Mahrouqi, representative of the wilayat of Sinaw, during a session chaired by H E Khalid bin Hilal al Maawali on Tuesday.
Mahrouqi said the directive caught many micro, small and medium-sized businesses by surprise, noting that the mandatory hiring requirement, coupled with a minimum monthly salary of RO325, poses a heavy financial burden particularly on firms in rural areas.
While expressing support for Omanisation, Mahrouqi called for a more comprehensive and evidence-based national employment strategy. He urged exemption for micro and small enterprises and phased implementation of the directive in medium-sized enterprises.
In another urgent statement, Mohammed Khamis al Husseini, representative from Samail, highlighted the poor performance of several food security projects despite significant state investment. He attributed the failure to flawed feasibility studies, bureaucratic inefficiencies and weak management.
Husseini called for a full review of government-supported food security initiatives and recommended restructuring, partnerships with strategic investors or liquidation of underperforming entities. He noted the increasing importance of domestic food production amid rising global supply constraints and export restrictions.
The session approved two key draft laws with amendments – the Arbitration Law in Civil and Commercial Disputes and the draft Real Estate Registry Law – both referred by the government.
Dr Ahmed Ali al Saadi, Chairman of the Legislative and Legal Committee, said the amendments to the arbitration law aim to streamline procedures, enhance fairness and align Oman's legal framework with international standards.
He added that the Real Estate Registry Law will modernise the sector by introducing electronic documentation and ownership systems to ensure transparency and efficiency, while integrating the sector with Oman's broader digital infrastructure.
The session also approved a report by the Public Services and Utilities Committee regarding a draft air transport agreement between Oman and the Kyrgyz Republic. Hamoud Ahmed al Yahyai, chairman of the committee, said the agreement would enhance civil aviation cooperation and support trade and tourism links.
Other draft laws reviewed included the National Spatial Data Law, Unified Industrial Regulation for GCC Countries and the draft Sports Bodies Law. The shura is scheduled to reconvene on Wednesday to review the draft Civil Society Institutions Law.
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