Oman Expat Savings Scheme 2027: Will Your Gratuity Disappear?

Oman’s current gratuity rule is simple: under Royal Decree 53/2023, Article 61, an expat earns a flat one month’s basic wage for every year of service, with no cap and no minimum service threshold in the statute, and no reduction for resigning. From July 2027, Oman switches to a savings-style system for expat end-of-service benefits. The question every expat asks: do my past years vanish? Transitions like this normally preserve gratuity already earned — the switch changes how future years accrue, not what you already banked — but the final executive regulation will confirm the details, so do not let anyone tell you your past years are gone, and do not let anyone sell you a ‘conversion fee’ either.

What to check now: your current accrued gratuity under Article 61 (one month basic per year), whether your employer is preparing for the new system, and your statements once the new scheme starts. If you leave for your employer’s fault, Article 41 preserves all your rights including gratuity; the only way to lose it is summary dismissal under Article 40.

Sources: Oman Royal Decree 53/2023, Articles 61, 40, 41.

Related: Oman end-of-service calculator, Oman hub, Oman expat savings scheme 2027 news

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