On 13 July 2025, Sultani Decree No. (60/2025) was issued, introducing key amendments to the Social Protection Law promulgated by Sultani Decree No. (52/2023) (the Law). These amendments primarily serve to postpone the implementation timelines of specific insurance schemes introduced under the original framework of the Law, offering stakeholders additional time to prepare for compliance and enforcement.
Work Injuries and Occupational Diseases Insurance (Non-Omani Workers)
One of the changes relates to the implementation timeline of the work injuries and occupational diseases insurance scheme for non-Omani workers.
Originally scheduled to come into effect three years from the date of the Law’s issuance (i.e., 19 July 2026), this scheme has now been postponed to five years, with a new implementation date of 19 July 2028.
This insurance coverage -already available to Omani workers under the previous Social Insurance Law (since 1991)- is designed to provide financial protection for employees in cases of workplace accidents or occupational illnesses arising in the course of employment.
Sick Leave and Unusual Leaves Insurance
The sick leave and unusual leaves insurance scheme has also seen a revision to its timeline. Initially set for implementation two years after the Law’s issuance (i.e., 19 July 2025), the effective date has now been extended to three years, making the new implementation date 19 July 2026.
This scheme, which is a new addition not previously covered under the 1991 Social Insurance Law, is intended to create a structured and equitable framework for addressing employee absences due to illness or other exceptional circumstances for balancing the workforce welfare with business continuity.
Compulsory Savings System (Non-Omani Workers)
The compulsory savings system, envisioned as a long-term replacement for the traditional end-of-service gratuity for non-Omani employees, has also been impacted by the amendments.
The original Law required the Social Protection Fund’s Board of Directors to implement this system within three years from the date of issuance (i.e., by 19 July 2026). The recent amendment now extends this period to four years, shifting the implementation deadline to 19 July 2027.
Conclusion
These amendments reflect the government’s intention to provide a more phased and practical approach to the rollout of complex insurance and social protection mechanisms. They allow employers, employees, and relevant authorities more time to align operationally and structurally with the new requirements, while still maintaining the long-term objective of a comprehensive and inclusive social protection system in Oman.
At Al Lawati Law, we continue to monitor legislative developments and advise our clients on regulatory compliance, policy adaptation, and workforce planning in light of these evolving frameworks.
*This article was written by Mehdi Al Lawati, Founder and Managing Partner in Oman, and Budoor Al Zadjali, Associate for Al Lawati Law Firm, a collaboration firm of DLA Piper based in Oman.