Oman cuts new civil servants salaries after low oil prices, coronvirus lockdowns

New Omani civil servants will see significant salary cuts as low oil prices and coronavirus lockdown measures hit the sultanate's finances.

Salaries will be up to 22 percent lower than previous rates due to the new economic environment, the civil service council said on Sunday.

Cuts will range from 20 percent for PhD holders to five percent for secondary school graduates, as the government looks to shear costs for the state.

"The appointment for the qualified persons shall be one grade below to the provisions of the unified grades and salaries scale for the Omani civil employees in the country on the grades specified for each academic qualification or academic or professional certificate," the new article covering changes to the civil service stated. 

— Ryan Bohl (@Ryan_Bohl) May 1, 2020" style="color:#fff;" class="twitter-post-link" target="_blank">Twitter Post "The notion that a leader is always 'in' the room helps instill a sense of self-policing. Gulf citizens are always reminded that their leaders are...always watching." Comments by me about Gulf Arab portraits and the future of Oman @SCastelier @The_NewArab https://t.co/ICOy8e95jE — Ryan Bohl (@Ryan_Bohl) May 1, 2020

Ten of thousands of Omanis are employed by the state but the government is looking to ease public spending by increasing the size of the private sector and encouraging more Omanis to start their own companies.

Oman's economy has been hit by years of low oil prices and more recently by the coronavirus crisis, which has had a devastating impact on local businesses.

The sultanate's GDP growth is expected to shrink this year, with the government announcing a range of budget cuts to cope with the decrease in finances.

The state will force public workers with more than 30 years service to retire and half the salaries for board members of government organisations.