Oman End-of-Service Gratuity 2026: The New Law 53/2023 Explained
→ Open the Oman Gratuity Calculator
Oman overhauled end-of-service pay with Royal Decree 53/2023. Here's how gratuity is calculated now.
The new rule
For service from August 2023 onward, you earn one month of basic salary per year — a straight, generous rate.
The split for older service
If you started before August 2023, your earlier service uses the previous formula: 15 days per year for the first 3 years, then one month per year. Our calculator lets you enter how many years fell before August 2023 so both periods are computed correctly.
Worked example
OMR 600 basic, 5 years total, 2 of them before Aug 2023: old-law portion = 2 × 15 × (600÷30) = OMR 600; new-law portion = 3 × 600 = OMR 1,800. Gratuity = OMR 2,400.
Key points
- Based on basic salary only.
- Minimum one year of service.
- The new rate is more generous than the old one — good news for long-tenure staff.
Frequently asked questions
How is gratuity calculated in Oman in 2026?
Under the 2023 Labour Law, one month of basic salary for each year of service from August 2023. Service before then uses the old formula: 15 days per year for the first three years and one month per year after.
What is the minimum service for Oman gratuity?
One year of continuous service.
Is Oman gratuity on basic or gross salary?
Basic salary only.
Did Oman gratuity change in 2023?
Yes — Royal Decree 53/2023 raised the rate to one month per year for service from August 2023, more generous than the previous formula.