The Notice of Termination of Employment is a crucial document used in Saudi Arabia when an employer needs to formally end an employment relationship. It must comply with Saudi Labor Law (Royal Decree No. M/51) and include specific elements such as notice periods (typically 30 days for monthly-paid employees), final settlement calculations, and end-of-service benefits. This document is essential for protecting both employer and employee rights, ensuring proper documentation of the termination process, and maintaining compliance with local labor regulations. It serves as an official record of the employment termination and outlines the transition process, including handover requirements and final settlements. The notice should be drafted carefully to ensure it meets all legal requirements and clearly communicates termination terms to avoid potential disputes.
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1. Header Information: Company letterhead, date, reference number, and formal addressing of the employee
2. Employee Details: Full name, employee ID, position, and department of the employee
3. Notice of Termination Statement: Clear statement indicating employment termination and the effective date
4. Notice Period Details: Specification of the notice period as per Saudi Labor Law (typically 30 days for monthly paid employees)
5. Reason for Termination: Brief statement of the reason for termination (if applicable and appropriate to include)
6. Final Settlement Information: Information about final salary, end of service benefits, and other entitlements
7. Handover Requirements: List of company property to be returned and handover procedures
8. Acknowledgment Section: Space for employee signature acknowledging receipt of the notice
1. Garden Leave Provisions: Include when the employee is being placed on garden leave during the notice period
2. Non-Competition Reminder: Include when the employee is bound by existing non-competition clauses
3. Misconduct Details: Include when termination is due to misconduct under Article 80 of Saudi Labor Law
4. Severance Package Details: Include when offering additional benefits beyond statutory requirements
5. Reference Provision: Include when the company agrees to provide employment references
1. Final Settlement Calculation: Detailed breakdown of final settlement including salary, end of service benefits, and other entitlements
2. Company Property Checklist: List of company assets to be returned before final settlement
3. Exit Procedure Checklist: Checklist of tasks to be completed before last working day
4. Handover Document Template: Template for documenting the handover of work responsibilities
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Media & Entertainment
Government & Public Sector
Relevant Teams
Human Resources
Legal
Compliance
Employee Relations
Personnel Administration
Executive Leadership
Labor Relations
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Relevant Roles
HR Director
HR Manager
Legal Counsel
Compliance Officer
HR Business Partner
Employee Relations Manager
HR Operations Manager
Legal Manager
HR Administrator
Recruitment Manager
Compensation & Benefits Manager
Chief Human Resources Officer
HR Specialist
Personnel Manager
Labor Relations Manager
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