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Job Release Letter for Saudi Arabia

Job Release Letter Template for Saudi Arabia

A Job Release Letter is a formal document issued under Saudi Arabian labor law that officially confirms the termination of employment between an employer and employee. The document serves multiple purposes: it confirms that all financial obligations have been settled, releases the employee from any non-compete obligations, and provides authorization for the employee to seek new employment within Saudi Arabia. This document is particularly important in the Saudi Arabian context due to the sponsorship (kafala) system and is often required for visa transfers and new employment arrangements. It must comply with the requirements set by the Ministry of Human Resources and Social Development (MHRSD) and includes specific provisions for end-of-service benefits as per Saudi Labor Law.

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What is a Job Release Letter?

The Job Release Letter is a crucial document in Saudi Arabian employment law, typically issued upon the successful completion of employment termination procedures. It serves as official documentation that the employment relationship has been properly concluded according to Saudi Labor Law and MHRSD regulations. This document is particularly important in the context of Saudi Arabia's sponsorship system, as it often forms part of the documentation required for transferring employment visas and obtaining new work permits. The Job Release Letter should include confirmation of employment details, settlement of all financial obligations, return of company property, and explicit permission for the employee to seek new employment. It protects both employer and employee interests by clearly documenting the termination of their professional relationship and any associated obligations. The document is commonly required by prospective employers and government authorities for processing new employment arrangements within Saudi Arabia.

What sections should be included in a Job Release Letter?

1. Letter Header: Company letterhead, date, reference number, and formal addressing of the employee

2. Employee Information: Full name, ID/Iqama number, position held, and duration of employment

3. Confirmation of Employment Termination: Clear statement confirming the termination of employment relationship and effective date

4. Financial Clearance: Confirmation that all financial dues have been settled, including end-of-service benefits

5. Company Property Return: Confirmation that all company property has been returned

6. No Claims Declaration: Statement that neither party has any pending claims against the other

7. Authorization Statement: Express permission for the employee to seek new employment in Saudi Arabia

8. Signature Block: Space for authorized signatory's name, title, signature, and company stamp

What sections are optional to include in a Job Release Letter?

1. Performance Statement: Optional positive statement about employee's performance and conduct (included when providing a reference)

2. Non-Competition Release: Specific release from non-competition obligations, if applicable

3. Project Handover Status: Confirmation of completed project handovers, if employee was involved in specific projects

4. Visa/Sponsorship Transfer Details: Specific details about sponsorship transfer if already arranged with a new employer

5. Confidentiality Reminder: Reminder of ongoing confidentiality obligations, if required by previous employment contract

What schedules should be included in a Job Release Letter?

1. Final Settlement Statement: Detailed breakdown of final payment including salary, end-of-service benefits, and any other dues

2. Property Return Checklist: List of company property returned by the employee

3. Service Certificate: Formal certificate of service detailing employment duration and position held

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Saudi Arabia

Publisher

Ƶ

Document Type

Employment Form

Cost

Free to use
Relevant legal definitions




















Clauses














Relevant Industries

Banking & Financial Services

Construction

Information Technology

Oil & Gas

Manufacturing

Healthcare

Education

Retail

Telecommunications

Professional Services

Real Estate

Hospitality

Transportation & Logistics

Mining

Energy

Relevant Teams

Human Resources

Legal

Compliance

Finance

Operations

Administration

Management

Corporate Services

Relevant Roles

Chief Executive Officer

Human Resources Manager

Legal Counsel

Department Director

Project Manager

Software Engineer

Financial Analyst

Operations Manager

Sales Executive

Technical Specialist

Administrative Officer

Marketing Manager

Account Manager

Research Scientist

Production Supervisor

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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