
Based on Oman’s Labour Law, an employer may dismiss a worker without prior notice and without paying an end-of-service gratuity under specific circumstances. These conditions are outlined in Article 40 of the Labour Law, promulgated by Royal Decree 53/2023, which sets out nine (9) grounds for such termination offering legal protection to employers in cases of serious misconduct or breach of duty by employees.
Speaking to the Times of Oman, Dr. Mohammed Ibrahim Al Zadjali, Founding Partner of Mohammed Ibrahim Law Firm, a leading law office in Oman, explained that “this provision applies when a worker engages in severe misconduct or breaches fundamental obligations that justify immediate termination and forfeiture of gratuity benefits. If a worker uses a fake identity or forged documents to secure employment, or if they cause a serious financial loss to the employer provided the loss is formally reported within 30 working days, they can be dismissed immediately. Similarly, if the worker repeatedly disobeys written safety instructions that endanger personnel or operations, or has unexcused absences without a valid reason for more than 7 consecutive days or 10 non-consecutive days in a year provided that the dismissal is preceded by a written warning from the employer to the worker after his absence for five days in the second case, these would also justify instant dismissal.”
“Additional grounds include divulging the secrets of the establishment, being finally convicted of a felony or a misdemeanor committed in the workplace, being intoxicated or under the influence of drugs at work, acting immorally during work hours, physically assaulting coworkers or superiors, or materially failing to fulfill core job duties,” he said.
He further stated that “while these provisions protect employers from dishonest or dangerous employees, employers must follow due process. This includes gathering solid evidence, issuing warnings where required, and documenting violations. Critically, arbitrary or false accusations may be challenged by the worker before the competent authorities or the Labour Court.”
Thus, Article 40 enables employers to act decisively against serious misconduct while mandating that dismissals be grounded in justified circumstances, not arbitrary decisions, he concluded.
* (Mohammed Ibrahim Law Firm ([email protected]), (+968 244 87 600) was established 18 years ago and is serving clients through its offices in Muscat and Sohar, as well as operating on a request basis in other areas. It offers legal representation across a wide range of practice areas that include Labour Law, Corporate, Commercial, Contracts, Banking and Finance, International Trade, Foreign Investment, Insurance, Maritime Law, Construction and Engineering Contracts, International Arbitration, Intellectual Property and more).