This article and many others like it seem to suggest that unemployment remains one of the biggest concerns for Oman in 2012. This was in the Business section of Muscat Daily on Dec. 31, 2011. An interesting part of the article that stuck out to me was the statement by the IMF that solving this problem requires “resolving the wage and benefits differentials between the public and private sectors and between Omanis and expatriates.” I think there is a good point there. I’m not exactly sure why it’s considered alright that the minimum wage for Omanis is 200 rials but only 60 rials for expats. Just a thought. I wonder if protests by Indian/Pakistani workers will continue to grow in 2012 as they see Omani employees’ demands being met and while they seem to be “left behind”. Since the protests of 2011 there are stories of Omanis grouping together in certain workplaces asking for higher salaries than their expat workers doing the exact same work. Again, I don’t understand why people doing the same job should be paid different wages based on their nationality/passport/race.
What is the actual unemployment rate in Oman?! Here’s another thought-provoking article from Muscat Daily.
24.35% unemployment sounds amazing, doesn’t it?! 33% being illiterate would definitely contribute towards finding employment, I would think. I was surprised to read that only 6.2% have a BA and less than 1% an MA or PhD. Education and training are obviously extremely important in “reforming the job market“. Click here for the full article from Oman Tribune.
Andy in Oman 
“I’m not exactly sure why it’s considered alright that the minimum wage for Omanis is 200 rials but only 60 rials for expats.”
Hear hear!
It has 2 sides, I’ll give you the example of schools, an Arabian expat teacher, even if more qualified than his Western colleague, will receive a smaller salary. White skin has its privileges.
I don’t think it’s so much a matter of “white skin vs darker” as it is more of a discrimination based on which country you come from. I often hear of different salaries offered to people depending on their passport even though they do the same job. My place of employment pays people based on their qualifications and how many years they have been teaching at the college/university level, which is how ones salary should be determined.
I may have to disagree with your statement; Oman would never discriminate between people based upon their skin color nor nationality! They would look at your skills and qualifications, and then compare you to the others who were applying for that same job. IF they did hire you, they might have thought that you were more suited and qualified for the job. Over to the Arabs receiving a smaller pay than the “Western colleague” that’s not entirely true. Yes, Westerns might receive more income not because they aren’t Arab, but the education level you received. Since Oman is an under developed country, education is not as good as a Western country! They may provide the non Arab more pay because they think that others may benefit from your skills and knowledge. Therefore, they will provide you with a better salary and most often perks. I do hope that supported my statement above. =D you, then they might thought you were more suited and qualified for the job. Over to the Arabs receiving a smaller pay than the “Western colleague” that’s not entirely true. Yes, Westerns might receive more income not because they aren’t Arab, but the education level you received. Since Oman is an under developed country, education is not as good as a Western country! They may provide the non Arab more pay because they think that others may benefit from your skills and knowledge. Therefore, they will provide you with a better salary and most often perks. I do hope that supported my statement above. =D
You make some good points but I had to laugh when I read “Oman would never….”. Are we speaking for the entire country of Oman? Not 1 Omani in the entire country would EVER discriminate people based on their skin color or nationality?!?!? Come on!
The pay package also has a lot to do with the purchasing power / exchange rate of your home country currency to the Omani Riyal. That however does not explain fully the benefits bestowed upon a ‘pale skin’….(red indian lingo)
For another update on the omani economy, check – http://eidolonus.wordpress.com/
s,
I was not thinking so much of “the benefits bestowed upon a pale skin” as much as I was thinking of the benefits or salary which are NOT offered to the Indian/Pakistani/Bangladeshi labourers in comparison to Omani salaries.
As an employer in the private sector here in Oman, I can tell you it is very difficult to compete with the government gravy train*. We want to hire qualified Omanis but government policies work against us. Why would any Omani work in the private sector if there was a possibility of getting a government job? In fact, it often pays more to do nothing than to work in the private sector. In addition, the government makes it very difficult to hire or fire an Omani employee. I am not optimistic that this situation will change. The government wants to take credit for employing people, so their solution is that the government makes more unneeded government jobs. There are deeply-rooted cultural reasons why free enterprise takes a back seat to the current system. Here, the patron gives you something (like a job) and you are indebted to be loyal to that person for this favor. No wonder the government’s response to unrest is just create some more fake government jobs.
*gravy train — a term describing a person’s ability to make a lot of money with a minimal investment of time, effort, or resources
Name Withheld,
Thanks for this comment. It’s fascinating to hear from an employer in the private sector to hear these concerns so clearly laid out. I have often heard such things from others here and there but I think you’ve summarized the major concerns with great clarity. Thanks for taking the time to share these concerns! I can only imagine how frustrating it must be under the circumstances.