Interactive Tool

Oman End-of-service gratuity

Note

This calculator covers expat employees. Omani nationals are enrolled in the Social Protection Fund pension scheme instead of end-of-service gratuity.

Basic salary only. Excludes housing, transport, and other allowances under the current Omani Labour Law.

Estimate based on Omani Labour Law (Royal Decree No. 53/2023), Article 61. Actual amounts depend on contract terms, leave taken, unpaid wages, and other adjustments. Consult your employer's HR or a licensed labour lawyer for your specific situation.

Use this free calculator to estimate your Oman end-of-service gratuity. Enter your monthly basic salary and length of service for an instant estimate based on Omani Labour Law (Royal Decree No. 53/2023), Article 61.

How Oman end-of-service gratuity is calculated

The current Omani Labour Law (Royal Decree 53/2023) provides end-of-service gratuity to non-Omani employees in the private sector at a rate of one month of basic salary per year of service.

Rules under Omani Labour Law (Royal Decree No. 53/2023), Article 61

  • Applies to non-Omani private-sector employees
  • Omani citizens are covered by the Social Protection Fund pension scheme instead of end-of-service gratuity
  • Minimum 1 year of continuous service to qualify
  • One month of basic salary per year of continuous service
  • Pro-rated for fractions of a year
  • Calculated on basic salary only (excludes allowances)
  • No statutory resignation reduction under the 2023 law

What counts as basic salary in Oman?

Under the current Omani Labour Law, gratuity is calculated on basic salary. Housing, transport, and other allowances are excluded.

If your employment contract bundles a single salary figure with no separate basic/allowance breakdown, ask HR to confirm in writing how the basic salary will be calculated for end-of-service purposes before you sign.

Worked example

A non-Omani employee with a basic salary of OMR 1,000 leaving after 6 years:

Calculation6 × 1 month × OMR 1,000 = OMR 6,000
Total gratuityOMR 6,000

The 2023 law gives a flat one month per year. The older two-tier formula (15 days for the first 3, one month after) no longer applies.

Frequently asked questions

Official source

For the full legal text, see: Omani Labour Law (Royal Decree No. 53/2023), Article 61.

This page is general information, not legal advice. For your specific contract, consult a licensed labour lawyer or the relevant ministry.

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