Next steps
If you would like to discuss how these new rules may affect your business, operations or employee relations strategy in Oman, please get in touch with Gorvinder Pannu or any member of our employment team.
Oman’s Ministry of Labour has introduced new rules on trade unions under Ministerial Resolution No. 284/2026, replacing the previous regime. For employers, the key point is that there is now a minimum workforce size before a trade union can be set up, along with clearer obligations where a union exists.
Under the new rules, a trade union may only be formed in an establishment employing at least 51 employees. For employers, this means union formation is now expressly limited to larger establishments.
If an establishment has 50 employees or fewer, employees cannot form a trade union under the new rules. That does not mean there will be no employee representation.
Where no trade union exists, employees may select between three and five representatives from among themselves. Those representatives may act for the purposes of applying the relevant trade union rules, and in connection with collective labour disputes, strikes and lockouts.
So, even where a formal trade union cannot be set up, employers may still need to engage with an organised employee representative group.
Where a trade union exists, employers have a number of legal obligations.
The employer must provide the facilities needed for it to operate, including:
A trade union has the right to access certain administrative and financial information linked to employees’ rights, including matters such as training, promotions, wages and disciplinary penalties, subject to confidentiality requirements.
For employers, this means HR records and decision-making should be well organised and capable of standing up to scrutiny.
One of the most important points for employers is that paid time off is not limited to workplace union representatives.
Different rights apply depending on whether the employee is acting at:
Trade union level
At workplace trade union level, paid time off applies to:
Entitlement to paid time off is therefore now broader than union representatives alone: it extends beyond the administrative board to general assembly members in certain circumstances.
Sectoral general union level
For sectoral unions, the position is more extensive:
General Federation of Oman Workers Union (GFOW)
At GFOW level:
Employers with unionised workforces may be dealing not just with workplace union representatives, but also with employees holding positions at sectoral union or GFOW level, each with different statutory entitlements.
Employees seconded to or taking time off for union activity remain entitled to their:
Secondment/time off also counts as part of continuous service. For union representative employees on full-time secondment, increments and promotion eligibility must continue by reference to the more favourable of the employee’s most recent performance appraisal or their average appraisal outcome over the previous three years.
In short, union secondment should not leave an employee financially worse off or interrupt normal service-related benefits.
Employers must provide transportation for a trade union member carrying out union duties where the journey is 150 km or more from the headquarters of the trade union, sectoral union or GFOW, provided the employer is given the required 5 days’ prior notice, unless the matter is urgent.
The employer must not take any step that obstructs union activity.
This is a broad obligation. In practice, employers should be careful about refusing time off, failing to provide required facilities, or taking action that could be seen as retaliatory because of union involvement.
Union representatives are given specific protection.
An employer cannot transfer a member of the administrative board of a trade union or sectoral union away from the workplace designated as:
unless that individual agrees.
In practical terms, employers should not move a union representative out of the relevant trade union workplace or activity location without consent.
There is also additional scrutiny of decisions taken against union office holders, founding or preparatory committee members, and employee representatives through a legal protection committee established by the Minister of Labour.
Trade unions and sectoral unions registered under the previous regime will continue unless dissolved under the new rules. Employers should therefore not assume that the new 51-employee threshold affects existing union structures.
Employers should now:
If you would like to discuss how these new rules may affect your business, operations or employee relations strategy in Oman, please get in touch with Gorvinder Pannu or any member of our employment team.
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