Monday Column: Are there too many job layoffs in Oman?

Without exposing local companies that are laying off staff in large number here in Oman, it is now becoming a trend when many companies are consistently letting go their workers.

Of course they have reason of doing that and the top management teams are blaming the economic situation in the country.

Yes, from small retail businesses to rich corporate companies, most of them feel the slowdown of the economy.

It is also a global economic slowdown as we can read from the news and Oman, like the rest of the regional countries, feel the impact.

But while we can go on justifying the companies that layoff their workers but of course our hearts go to the people who find themselves jobless.

Now look at this typical situation. You are married and have a couple of small children to look after then wham! You are out of job the next day. It is a very stressful time knowing that your security pedestal has been removed overnight.

We know that many would blame these companies for not doing enough to float above trouble waters for their business interests to stay profitable. Others would blame the ministry of manpower for imposing less stringent laws to employers.

The biggest concern is that no company in the country is spared from the possibility of sudden losses. There are many reasons for that ranging from miscalculations of their incomes, no business strategies or contingency plans.

Others would blame competitions from rivals or just simply put a finger on government’s regulations not protecting them. While on the subject of protection, who is going to protect young people who have lost their income?

It seems that there is a vicious cycle that goes round without bearing any fruit. One question still remains. What should be done to stop it or who should take the responsibility? Is it enough just to blame the unpredictability of the economy? You cannot create jobs by legislation. You must give business freedom to companies.

Yes, there are challenges in many folds but it should not be in the loss of income of people who have families to look after. Employers are saying if there are faced with challenges then they have no choice but to cut down their workforce.

The top management will always defend themselves but their poor business decisions always lead to job cutting.

They would blame market conditions but never themselves. Here in Oman, many top executives have lost their jobs due to that or just stepped down when the reins of power get too hot.

They only have themselves to blame and not the economic conditions. If they don’t know where the economy is heading five years down the line, they should not be managing anything. There is another thing. If you look at the salary scales, you will find out that about 40 percent of the payouts go to senior executives.

Also, the management get fat annual bonuses. So who is draining the money out of the business? It is always the employees in the lower rungs of the employment ladder get the chop. It is tough time ahead. I personally fear there will be more job losses in 2026.