Major shock in Oman labour market

Bangladesh's labour export to Oman, a prospective market in the Gulf countries, will suffer the Sultanate of Oman has suspended the issuance of visas across all categories in case of Bangladeshi nationals effective on October 31, the Royal Oman Police (ROP) said on Tuesday, according to Times of Oman, a leading English daily.
The ROP confirmed the suspension of "visa conversions" for expatriates arriving in Oman on tourist and visit visas. Previously, expatriates entering the country on visit visas could convert their status to employment visas. However, they will now be required to exit the country and return on a work visa.
In a statement, the ROP said, “The ROP, within its review of the policies for obtaining some types of visas, announces the suspension of the conversion of all types of tourist and visit visas to work visas for all nationalities coming to the Sultanate of Oman, as well as the issuance of all types of new visas for Bangladeshi Citizens, effective Tuesday (October 31, 2023) till further notice.”
Though Bangladeshis retained top position in the labour market in Oman, the labour export to the Gulf market is most likely to drop this year compared to the previous year, sources said.
Bangladesh exported a total of 106,848 (10.80 per cent of total export) during the January-September 2023 period compared to 179,612 (15.81 per cent in 2022)
Bangladesh exported a total of 188,247 workers --the highest number in a single year -- to Oman in 2016, followed by 179,612 workers in 2022, 170,322 workers in 2012, 135,265 workers in 2011 and 129,859 workers in 2015.
According to the Arab News, the Oman government under the employment and replacement plan took an initiative to increase job opportunities for Omani citizens and replace foreign workers with locals.
The data released by the National Centre for Statistics and Information (NCSI) reveals that Bangladeshi nationals top the list of expatriate workers in Oman, with the total reaching 703,840 individuals, followed by 530,242 Indians, according to the Arabian Stories, a leading English newspaper in Oman.
Analysis of the data based on nationality shows that Bangladeshis continue to remain the largest expatriate community in Oman. As per the NCSI report issued in March last year, there were 546,182 Bangladeshis living in the country; the number has increased by more than 150,000 in the last one year.
Indian expatriates numbered 490,114 in March 2022 and Pakistan nationals were 206,083. The current figure for Pakistani expatriates is 275,719.
The report shows a steady growth in the number of expatriates in the country, with the total number of expatriates accounting for 1,784,736 individuals, as of May 2023 – representing a growth of 0.8% compared to the previous month.
Oman’s private sector is the largest employer of expatriate workers, with a total of 1,406,925 individuals, while the government sector employs a total of 44,236 expatriates.
As far as the governorates are concerned, Muscat has the maximum number of expatriates (669,527), followed by Dhofar (220,705) and Musandam (14,727).
Oman is on course to surpass its 2023 employment and replacement plan after hitting 53 percent of its target for job creation in the first half of the year, according to Arab News.
The latest figures from the Labor Ministry show the total number of new jobs in government and private sector entities touched 18,716 by the end of June.
In April, Omani Labour Minister Mahad Said Ba’Owain said his ministry aimed to provide at least 35,000 job opportunities in 2023.
The employment and replacement plan is a government initiative to increase job opportunities for Omani citizens and replace foreign workers with locals.
The ministry of Oman said that job rotation stood at 16,486, explaining that the volume of first-time employees and those who occupied jobs before stood at 35,202.
It added that number of on-the-job training opportunities associated with the replacement of outgoing employees and employment of fresh employees stood at 611 in the government sector, compared to 1,537 in the private sector.
In July, Sultan Haitham bin Tariq issued a royal decree amending the country’s labor law. The new regulations are in line with the goals of Oman Vision 2040, taking into consideration the labor market.
The law prioritizes the country’s national capabilities, preserving their rights and duties. The new regulation aims to enhance private sector performance and shape administrative practices.
Commenting on the decree at that time, Ba’Owain said that the issuance of the labor law aligns with the changes and developments in the market, adding that it confirms the keenness of his country’s leadership to elevate Oman to higher levels of organization.
“The law prioritizes the interest of both the worker and the employer alike for the public interest represented in consolidating legislations that strike a balance within the labor market and cement firm grounds for renewed Oman,” the minister explained.
Faisal Al-Rowas, chairman of the board of directors of the Oman Chamber of Commerce and Industry, said at that time that the law would improve the investment climate in the country and enhance the competitiveness of its labor market, according to Arab News.
Meanwhile, the Sultanate of Oman's expatriate workforce continues to thrive, with the total number of migrant workers reaching 1.776 million by the end of April 2023. The latest data released by the National Centre for Statistics and Information (NCSI) sheds light on the demographic distribution and highlights the leading nationalities contributing to the country's labour market.
Meanwhile, a top leader of the Bangladesh Association of International Recruiting Agencies (BAIRA) said Bangladesh should explore new market as the labour market in the Gulf countries, including Oman, will not remain vibrant in the coming days
According to the Bureau of Manpower, Employment and Training (BMET), Bangladesh exported a total of around 1.6 million workers to Oman during the period of 1976-2021, sharing 11.6 per cent of the country's total manpower export to overseas markets during the same period.
Maushumi Rahman, a career diplomat of Bangladesh to Oman, said KSA is the largest labour market for Bangladeshi expats as of now. The country exported 46,68,542 workers to the Kingdom of Saudi Arabia during the 1976-2021 period, sharing 34.3% of the total labour market.
"Some seven lakh Bangladeshi expatriates are living currently in Oman and employed in different sectors. As the gulf economy has started getting back on track,” she said.
She added that the labour market of Oman to Bangladeshis seems lucrative.
The diplomat said, "We believe the Sultanate will remain as a major destination of Bangladeshi expatriate workers. Our expatriate workers, through their sincerity, modesty and hard work, have created a good impression on the Omani employers and their aptitude to pick up Arabic quickly and ability to muster the skills required for all kinds of jobs made them particularly popular amongst the Omanis."
She said that the constant campaigns of the embassy have encouraged many Omani employers in remote places of the Sultanate to recruit workers from Bangladesh.