General Laws and Interpretation -Sultanate of Oman -Part I E-Book

Henrietta Newton Martin

• Herausgeber: BookRix
• Kategorie: Fachliteratur
• Sprache: Englisch

Veröffentlichungsjahr: 2014

Beschreibung

Over the years,the Sultanate of Oman has witnessed radical changes in its legal system through varied laws and the interpretation of the laws. With special emphasis on the Oman labor law, this book delves into certain radical amendments in brief from 2011 to 2013 in the form of ministerial decisions, through which , the law makers in the jurisdiction,strived to strengthen the socio-economic structure of Oman as a productive economy on one hand, and also reflects on how the implementation of such ministerial decisions received a blow at the inception and took time to settle down in the minds of the governed.The book in its last chapter suggestively deals in brief with general legal principles in the Sultanate of Oman and certain concepts that it advisedly ought to integrate in its legal system as an emerging constitution.

Leseprobe

Henrietta Newton Martin

General Laws and Interpretation -Sultanate of Oman -Part I

Perspicuous Edition 2014

BookRix GmbH & Co. KG80331 Munich

General Laws and Interpretation -Sultanate of Oman

Perspicuous edition 2014

Dedicated to Newtons and Martins

With Gratitude ,  To Elsela-God our Rock

INTRODUCTION

 With special emphasis on the Oman labor law, this book delves into certain radical amendments in brief from 2011 to 2013 in the form of ministerial decisions, through which, the law makers in the jurisdiction, strived to strengthen the socio-economic structure of Oman as a productive economy on one hand, and also reflects on how the implementation of such ministerial decisions received a blow at the inception and took time to settle down in the minds of the governed. The book in its last chapter suggestively deals in brief with general legal principles in the Sultanate of Oman and certain concepts that it advisedly ought to integrate in its legal system as an emerging constitution. This book is Part I of the five part series.

Chapter 1 Oman Labour Law-Amelioration with radical amendments (With epigrammatic upshot of the Ministerial decision 222/2013)

Over the years Oman has witnessed radical changes in its legal system through varied laws and the interpretation of the laws.

With special emphasis on the Oman labour law, I believe through a number of radical amendments and ministerial decisions the law makers have strived to strengthen the socio economic structure of Oman as a productive economy.

Generally Labour Legislations are constructively fortified with the goal of revitalizing the socio-economic fabric of the country through their malleable yet firm provisions, which hypothetically works its way through harmonising the relationship between employer and employee.

In the labour law perspective; whether it is the common Law system, or Scandinavian legal system; be it French legal system or the Chinese or even the religious legal system, all aim at improving the productive relations between employer and employee, by securing the rights and interests of the employee on one hand as well as the employer and stakeholders on the other; considering the complex trellis of interests amidst conflicting demands in the commercial arena. Labour laws across the globe, by and large establishes basic legal rights and a just redressal mechanism.

Over the years there also has been a transitional shift of labour legislations being exclusively employee oriented to advanced socio-economic lex of harmonious construction, emphasising on the overall development of the economy builders (work-force) of the nation.

The Oman Labour law gets concretised by the Ministerial decisions taken, authenticated and promulgated contemporaneously.

One such laudable Ministerial Decision is, MD 222/2013, on 325 OMR as basic pay packet to the national work force.

However, the said MD 222/2013 meant for a positive impact, created much astonishing clamour among the workers community where some corporate houses even experienced notice of strikes etc.

Thus it is important to foresee and understand the impact any particular promulgation/ law can have, when promulgated and implementation sought; especially on commercial negotiation, litigations that may arise consequently, possible misinterpretation of a statute etc.

In the law receiver’s perspective (the corporate, employer, employees, citizens, legal fraternity, and the society at large) paramount quandary is of “right interpretation”.

Interpretation of statutes and promulgations receives a major blow when it comes to swift compliances within a short time period of intense promulgations.

For instance:

MD 222/2013

Some of the ramifications of this constructive promulgation are as follows:

The said MD in its brevity confounded the employers, due to phenomenal and sudden demands from the employees.

Though the said MD was highly appreciable promulgation in the labour law perspective, interpretation of the said MD was done at each company in the way each HR dept understood and each followed a distinct calculative procedure, thus creating more confusion in the minds of both, the employer and employees, where some even failed to distinguish between the term “allowance” and “bonus”.

Thus, varied principles of the same MD 222/2013; however internal disputes sorted out through negotiations etc; and the stakeholders opting for the candied interpretation of law.

Some companies experienced receipt of strike notices.

Some of the queries:

1.     Can the basic salary of an Omani employee be reduced to meet the 325 OMR mandate?

To this it’s a simple “No”.

The basic salary should be minimum225 OMR and allowances shall total up to minimum 100 OMR.

2.     What does “minimum “mean?

It simply means – that the basic salary shall not be less than 225 OMR and allowances not less than 100 OMR and over all thus not less than 325 OMR. 

3.     Suppose an employee is receiving basic salary of 300 OMR and allowances of 90 OMR does this come within purview of this MD.

Here again –“No” since the minimum allowance requirement is not met.

4.     As in case at serial number 3 can the basic salary be reduced to increase the allowance to 100 OMR?

“No” Article 2 of the referred MD clearly states that the basic salary cannot be altered of those whose salaries are more than the minimum limit.

5.     According to 222/2013 what are “allowances”?

MD 222/2013 has not defined “allowances” simply because, the fundamental law pertaining to labour that is, the Oman labour law has a referential explanation on allowances. Moreover apart from those basic allowances mentioned in the statute, additional allowances are in practice given by most companies, in the best interest of their employees. Thus “allowances” cannot be defined as only “a” “b” or “c”  in addition to the statutory allowance.

As per the latest amendment (Royal Decree number 113/2011 published in Official gazette on 24 Oct 2011) in this direction, with respect to definition as identified and incorporated subsequently in the law is as follows:

Article 1 (12) of labour law defines Basic salary as “The payment agreed upon between the employee and the employer in cash as stated in the work contract in addition to periodical allowances.”

Article 1 (13) defines Gross wage as “The basic salary in addition to all other allowances payable to the employee in return for his work.”

Thus ‘allowances’ include all allowances, payable to the employee for his work; which means the definition is made comprehensive to include all considerations of his work in addition to his basic salary.

The Royal Decree 113/2011 has amended the definition of gross salary by including all allowances, such as travel, transport and housing allowance, in addition to the basic salary.

Earlier, travel, transport and housing allowance was not considered to be part of the gross salary.

Thus Gross salary includes: (all allowances) I.   Travel II.            Transport III.    Housing…. (As per the law)