Is Omanisation best way to generate jobs?
By N. Gurumurthy
It has been more than two decades since the Omani government launched its Omanisation plan, which is one of the national priorities to provide employment for nationals who enter the job market every year.
This is in line with other countries of the Gulf Cooperation Council that have adopted similar policies where expats constitute 40 to 70 per cent of the population.
A number of measures have been undertaken. These include gradual reduction in the percentage of expatriates in various grades; two- year ban on transfer of employment. The goal of these is to fulfil the ultimate aim of reaching 100 per cent Omanisation.
It is important to ensure creation of jobs for nationals - about 50,000 of whom require jobs yearly. Obviously the authorities need to find ways to meet the increasing demand for jobs for the citizens. To meet the challenge, in recent years, the government has become aggressive in this front. However, the moot question is how far Omanisation will succeed in generating more jobs for nationals?
A look at the recent data of National Centre for Statistics and Information reported by Salim Al Hashmi, “Omanis won’t go for 88 per cent of expat jobs, says official”, Times of Oman, June 21, 2015) reveals interesting insights. Since December 2013, the number of working expats has increased by 6 per cent from 1.52 million to 1.61 million contrary to what one would have expected in the backdrop of the tightened government policy.
As of April 2015, the private sector employed about 81 per cent of the total working expats.
Private organisations work for profit and not to provide employment to expatriates.
Possible reasons could be that nationals are not keen to take up those jobs or they find the salary unattractive. Three countries, namely, India, Bangladesh and Pakistan account for 1.40 million out of 1.61 million comprising 90 per cent of the total foreign workforce. The educational level of 90 per cent of this workforce is secondary or less.
Most jobs held by expats are low paying and unattractive. This is confirmed by the survey - that Omanis won’t go for 88 per cent of expat jobs.
What about the remaining 12 per cent? Expats with higher qualification and experience indeed add value for Oman. Their experience Welcome to the new look #Trending page of the Times of Oman, our revamped home for views and opinion. Plus daily we‘ll be rounding up the stories making waves online, on social media, in pictures and on video. All the content can be found at our mobile, tablet and desktopfriendly website timesofoman.com. For instant access scan any of the QR codes via your smart phone as a qrcode in the story helps organisations to increase innovative ideas thereby provide employment opportunity, which in the long run would benefit nationals. Is Oman chasing an elusive target?
This is not say that Omanisation should be discarded but to show that Oman might benefit more from exploring ways to increase long term employment. Looking the other way might create more opportunities.