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The Termination Letter Due To Lack Of Work is a crucial document used in Saudi Arabia when companies need to reduce their workforce due to legitimate business reasons such as economic downturns, restructuring, or reduced operations. This document must strictly comply with Saudi Labor Law, particularly Articles 74 and 75, which govern termination grounds and notice periods. The letter serves as official documentation of employment termination, specifying the notice period (60 days for monthly paid workers), end-of-service benefits, and final settlement details. It's essential for protecting both employer and employee rights and maintaining clear communication during workforce reduction. The document should be prepared with careful consideration of legal requirements and potential implications for both parties.

1. Header and Date: Company letterhead, date, and reference number

2. Recipient Details: Employee's full name, ID number, position, and department

3. Subject Line: Clear indication that this is a termination notice

4. Main Notification: Clear statement of employment termination due to lack of work

5. Business Justification: Brief explanation of the business circumstances leading to work reduction

6. Notice Period: Specification of the notice period as per Saudi Labor Law (60 days for monthly paid workers)

7. Last Working Day: Clear statement of the employee's final working day

8. End of Service Benefits: Statement of entitlement to end-of-service benefits and calculation method

9. Final Settlement: Information about final salary, unused leave, and other due payments

10. Handover Requirements: Instructions for returning company property and handover of work

11. Signature Block: Space for authorized signatory's name, title, and signature