Oman legalises trade unions
It's still not clear whether the Law relates to all labourers or just Omani employees, but I think it can be argued that it is comprehensive.
The trades unions are to have corporate identities, and are to have total freedom in controlling their affairs. The trades unions will be recognised as being able to represent their members at local, regional and international meetings and conferences.
No worker can be fired for undertaking duties on behalf of a trade union. Employers breaking this article can be handed a penalty of not more than one month's imprisonment and/or a fine of no more than RO500 (approximately US$1,300).
No employer can co-erce employees to undertake work.
It has been left to the Minister of Manpower to "issue a decision allowing collective bargaining to settle disputes and improve working conditions and qualifications, as well as peaceful strikes and shut downs."
Details of this Royal Decree were published in the Oman Observer for 9th July 2006.
Foreign news reports emphasize that the law has been passed prior to the final vote by US Congress on the free trade agreement.
Also see Headlines for July 9th - 15th 2006 and July 16th - 22nd 2006.
The passage of the Oman-USA FTA and labour rights in Oman
President George Bush has virtually achieved his aim of getting approval, barring what may be a rubber-stamp pass in the House of Representatives, thanks to a Republican majority.
"In a statement released June 26, Bush said Oman “is leading the pursuit of social and economic reforms in the region,” through efforts such as selling state-owned businesses, encouraging foreign investment for development and providing better protection for women and workers." US Department of State
That's a very broad brush.
The Times of Oman reported that US Trade Representative Susan Schwab said, “The agreement will create jobs and economic growth here at home and promote democracy, prosperity, and hope in the Middle East.” Once the pact receives final approval and is implemented, “100 per cent of consumer and industrial products will be duty free.”
“This new trade opening will expand opportunities for exports of machinery, automobiles, optic and medical instruments and electrical machinery, and agricultural products such as vegetable oils, and sugars, sweeteners, and beverage bases,” she continued.
“In addition, Oman will provide substantial market access across its entire services regime, provide a secure, predictable legal framework for US investors operating in Oman, provide for effective enforcement of labour and environmental laws, and protect intellectual property.”
So Oman will be offered more goods from the States, which will be duty-free, and in return, the Sultanate is supposed to pass legislation that the USA thinks appropriate. I imagine that a more realistic attraction would be greater freedom for Americans to invest in business and industry in the country, such as the mega projects underway at Sohar, and maybe in the Free Zone in the south of the country. It's a key issue that Oman has now agreed to provide a secure, predictable legal framework for US investors. Americans do like to feel secure. Wouldn't you?

