Oman Launches New Social Insurance Maternity Benefits to Enhance Labour Market Opportunities for Women

The new scheme grants Omani and non-Omani mothers in full-time employment 14 weeks of fully paid maternity leave, consistent with ILO standards.

Oman has initiated new social insurance maternity benefits aimed at significantly improving labour market opportunities for women in the Sultanate. This initiative is part of a broader set of social protection reforms developed with the support of the International Labour Organization (ILO) and adopted in July 2023. The new scheme expands maternity benefits for full-time employed mothers and introduces provisions for paternity leave.

The system aligns with the ILO Maternity Protection Convention, 2000 (No. 183), including coverage for migrant workers alongside nationals. Saudi Arabia has also recently announced similar maternity insurance legislation.

“The introduction of the parental leave branch under the Social Protection Law is not only aimed at increasing women's participation in the workforce but also at improving the well-being of families and ensuring the future prosperity of our nation,” said Fasil Al-Farsi, CEO of the Social Protection Fund. "Ensuring close alignment with national objectives, international social security standards of the International Labour Organization, and best global practices are guiding principles of all social protection reforms in Oman,” he added.

The new scheme grants Omani and non-Omani mothers in full-time employment 14 weeks of fully paid maternity leave, consistent with ILO standards. It also offers an option of unpaid, job-protected leave for up to 98 additional days, which can be shared between parents. To prevent any negative impact on women’s future pension entitlements, the Social Protection Fund will cover the cost of pension contributions during maternity leave.

Previously, employed women had access to seven weeks of paid maternity leave, with costs borne by employers, acting as a disincentive to hiring women. The new system will be collectively financed by all employers through a monthly contribution to the Social Protection Fund, equal to 1 percent of all wages.

Peter Rademaker, ILO Deputy Regional Director for the Arab States, praised the initiative, saying, “Expanding maternity protection can be a source of profound transformation for labour markets in the Middle East. Increasing female economic participation is a defining challenge for the region in its quest to achieve more equal societies and more productive economies.”

Oman has also introduced seven days of paid paternity leave for all employed fathers, both Omani and non-Omani, with an option to extend this to up to 98 days of unpaid, job-protected leave. This is a first for the GCC region and is recognized as a tool to enable fathers to bond with their newborns and share caregiving responsibilities.

“The new scheme ensures that both mothers and fathers receive paid leave and fully contributed care leave, granting them essential time for critical caregiving responsibilities,” said Shabib Al-Busaidi, Deputy CEO for Social Protection at the Social Protection Fund. “It underscores our steadfast commitment to supporting all workers, regardless of nationality, be they Omani or non-Omani.”

This new parental social insurance system is part of a comprehensive reform process through the Social Protection Law, enacted by Royal Decree No. 52/2023 in July 2023. These reforms, developed with ILO support, reshape Oman’s social protection system, administered by the newly established Social Protection Fund.

Luca Pellerano, Senior Social Protection Specialist for the ILO in the Arab States, highlighted the significance of including migrant women in the new maternity insurance schemes in Oman and Saudi Arabia, emphasizing the importance of non-discrimination and equality for all workers. He noted, “Migrant women face significant labour protection gaps in the GCC, and pregnancy is often the cause of dismissal and repatriation. The implementation of these new systems must ensure migrant women retain their labour rights during maternity leave.”

The maternity and paternity benefits in Oman represent a major step forward in the region, setting a new benchmark for gender-inclusive labour protection and care policies.