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Cancellation Of Employment Letter

Cancellation Of Employment Letter Template for Saudi Arabia

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Key Requirements PROMPT example:

Cancellation Of Employment Letter

"I need a Cancellation of Employment Letter for a senior software engineer in our Riyadh office, with the termination effective March 15, 2025, including standard notice period and end-of-service benefits as per Saudi labor law."

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Document background
The Cancellation Of Employment Letter is a crucial document used in Saudi Arabia when formally terminating an employment relationship. It must comply with Saudi Labor Law (Royal Decree No. M/51) and its implementing regulations, which set strict requirements for employment termination procedures. This document is essential for both employers and employees as it provides written confirmation of the employment termination, specifies the notice period, details final settlements including end-of-service benefits, and outlines any post-employment obligations. The letter serves as an official record for government authorities, future employment verification, and legal purposes. It should be drafted carefully to ensure all legal requirements are met and to minimize the risk of future disputes regarding the termination terms.
Suggested Sections

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

2. Subject Line: Clear indication that this is a Cancellation of Employment Letter

3. Employment Details: Employee's name, position, employee ID, and duration of employment

4. Termination Notice: Clear statement of employment termination and effective date

5. Notice Period: Specification of notice period as per Saudi Labor Law requirements

6. Final Settlement: Information about final salary, end-of-service benefits, and other dues

7. Company Property: Instructions regarding return of company property and documentation

8. Acknowledgment: Space for both employer and employee signatures and date

9. Contact Information: Details for future correspondence and employment verification

Optional Sections

1. Reason for Termination: Include only if legally required or if termination is for cause

2. Garden Leave: Include if employee is being placed on garden leave during notice period

3. Non-Competition Reminder: Include if employee is bound by existing non-compete agreements

4. Continuation of Benefits: Include if certain benefits will continue for a specific period post-termination

5. Exit Interview: Include if an exit interview is required as part of termination process

Suggested Schedules

1. Final Settlement Calculation: Detailed breakdown of all final payments including salary, end-of-service benefits, and other dues

2. Company Property Checklist: List of company assets to be returned before final clearance

3. Clearance Form: Document confirming all departmental clearances obtained

4. Service Certificate: Official employment certificate stating duration and nature of employment as required by Saudi Labor Law

Authors

Alex Denne

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Banking & Finance

Technology

Manufacturing

Healthcare

Retail

Construction

Education

Energy & Resources

Telecommunications

Professional Services

Hospitality

Transportation & Logistics

Real Estate

Media & Entertainment

Government & Public Sector

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Administration

Management

Personnel

Corporate Services

Operations

Relevant Roles

HR Director

HR Manager

Legal Counsel

Compliance Officer

HR Business Partner

Employee Relations Manager

HR Operations Manager

Department Manager

Line Manager

General Manager

Company Secretary

Administrative Officer

Personnel Manager

Chief Human Resources Officer

HR Specialist

Industries
Saudi Labor Law (Royal Decree No. M/51): The primary legislation governing employment relationships in Saudi Arabia, including termination procedures and requirements
Article 74 of Saudi Labor Law: Specifies the notice period requirements for employment termination (minimum 30 days for monthly paid workers and 15 days for others)
Article 84-88 of Saudi Labor Law: Details the calculation and payment of end-of-service benefits (gratuity) for terminated employees
Article 89 of Saudi Labor Law: Regulates the issuance of service certificates and final settlement requirements upon employment termination
Ministerial Resolution No. 70273: Implementing regulations regarding documentation requirements for employment termination and final settlement procedures
Wage Protection System (WPS) Regulations: Governs the payment of final settlements and ensures proper documentation of all financial dues
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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