Scrapping of NOC will reduce wage and rights gap in Oman

Muscat: Cancelling the No Objection Certificate (NOC) in Oman will help increase competitiveness between Omani and expatriate workers by decreasing the current gap in wages and benefits that currently exist, the Oman Human Rights Commission has said.

The No Objection Certificate was cancelled after the Royal Oman Police issued Decision No. 157/2020, which amended some rules of the Foreigners’ Residence Law, following Oman’s accession to the International Covenant on Economic, Social and Cultural Rights, which was covered under Royal Decree No. 46/2020. The decision is also consistent with the economic and social principles mentioned in the Basic Law of the State.

“This decision is expected to bring many benefits to employers, including introducing contracts that will regulate contractual relations between employers and workers,” OHRC said.

“Such contracts will guarantee the rights and duties of both parties. This contract provides protection for employers’ confidential information and will ensure that such information will be protected if the employer desires to shift to another employer,” it added. “The implementation of this decision will also enhance the competitiveness between Omanis and expats, by reducing the wage and rights gap between them.

“The decision will also contribute to reducing the cases of non-Omani labour absconding, especially those who are denied an NOC, thus forcing the worker to stay outside the country after the expiry of his contract,” the commission said in its annual report.

The OHRC said that the decision is expected to support the Sultanate’s efforts in combating illicit trade, and will pave the ground for starting a new working relationship between both the employer and the worker.

Such relationships will be more regularised by the legislation and laws regulating work and residence in the Sultanate. It is expected that the employment contract will guarantee the rights of both parties, and clarify their obligations towards the other. The employment contract will also be the base for solving any disputes.

“The concerned authorities approved a grace period in order to allow employers to correct the existing situation by concluding employment contracts with all non-Omani workers at the beginning of 2021,” added the Oman Human Rights Commission.

“The concerned authorities also seek to introduce a standard employment contract that guarantees the rights and obligations of both parties.

“All these legislative and legal amendments, which came in response to the current circumstances, will undoubtedly have a more positive impact on protecting the rights of citizens and residents,” they said.