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The Permanent Layoff Letter is a crucial document used in Saudi Arabia when an employer needs to terminate employment relationships due to business restructuring, economic conditions, or organizational changes. This document must strictly adhere to Saudi Labor Law requirements, including proper notice periods (30 days for monthly paid employees), end-of-service benefits calculations, and final settlement procedures. The letter serves multiple purposes: it formally communicates the termination decision, outlines the employee's rights and entitlements, specifies the notice period and last working day, and details the final settlement process. It's essential for maintaining clear documentation of the termination process while ensuring compliance with local employment regulations and protecting both employer and employee rights under Saudi law.

1. Letter Header and Date: Company letterhead, date, and employee's details including name, employee ID, and position

2. Termination Statement: Clear statement of employment termination and the effective date

3. Reason for Layoff: Brief explanation of the business circumstances necessitating the layoff

4. Notice Period: Specification of the notice period as per Saudi Labor Law (30 days for monthly paid employees)

5. Final Settlement: Overview of end-of-service benefits, salary until last working day, and other entitlements

6. Company Property: Instructions regarding return of company property and handling of work-related materials

7. Final Working Arrangements: Details about the employee's last working day and handover requirements

8. Contact Information: HR department contact details for questions and support

9. Acknowledgment: Space for employee signature acknowledging receipt of the letter