Oman's 2023 law: one month per year, from year one
Royal Decree 53/2023 replaced the old Oman Labour Law with effect from 31 July 2023. Article 61 entitles a worker who is not covered by the Social Protection Law — in practice, expatriate employees — to a gratuity of not less than one month's basic wage for every year of service, starting from the first year, calculated on the last basic wage and paid pro-rata for part-years.
That is a substantial improvement on the old rule, which paid only 15 days' wage a year for the first three years. The table below shows the difference on an OMR 800 basic salary.
Oman gratuity: new law vs old law (OMR 800 basic salary)| Years of service | New law (from 31 Jul 2023) | Old law (before 31 Jul 2023) |
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| 1 year | OMR 800 | OMR 400 |
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| 2 years | OMR 1,600 | OMR 800 |
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| 3 years | OMR 2,400 | OMR 1,200 |
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| 5 years | OMR 4,000 | OMR 3,200 |
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| 8 years | OMR 6,400 | OMR 5,600 |
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| 10 years | OMR 8,000 | OMR 7,600 |
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A minimum of one year of continuous service is still required before any gratuity becomes payable.
If you started work before 31 July 2023
Your service is split in two, and each part is calculated under the law in force at the time — the Ministry of Labour confirmed this in its October 2024 clarification. Service up to 30 July 2023 is paid at the old rate (15 days' wage per year for the first three years, then one month per year), and service from 31 July 2023 onwards is paid at one month per year.
Enter the years you completed before 31 July 2023 in the field above and the calculator applies both formulas automatically, showing each period on its own line in the breakdown. For example, someone who joined in August 2021 on OMR 500 and leaves in 2026 earns half a month a year for the roughly two years to July 2023, then a full month a year for the rest.
