Business Glossary /
Saudi Labor Law
The advance notice required by Saudi Labor Law before terminating or resigning from an employment contract.
Under Saudi Labor Law, the standard notice period for termination or resignation is 60 days for indefinite-term contracts. For fixed-term contracts, notice provisions must be specified in the contract. During the notice period, the employee continues to receive full salary and benefits. An employer who terminates employment without providing the required notice must pay the employee in lieu of notice — compensation equal to the salary for the notice period. Failure to serve proper notice is a common cause of labor disputes in Saudi Arabia. Inclusive Solutions advises clients on notice period compliance as part of its HR management and labor law services.
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