The Employee Separation Notice is a critical document required under Saudi Arabian employment law when terminating any employment relationship, whether through resignation, termination, or mutual agreement. This document ensures compliance with the Saudi Labor Law (Royal Decree No. M/51) and related regulations, which mandate specific procedures and documentation for employment termination. The notice must include essential information such as termination date, notice period, end-of-service benefits, and final settlement details. It serves multiple purposes: officially documenting the separation, protecting both parties' rights, ensuring proper handover of responsibilities and company property, and facilitating final settlements. The document is also crucial for reporting to the Ministry of Human Resources and Social Development and maintaining proper employment records as required by Saudi law.
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1. Company Letterhead and Date: Official company letterhead with full legal name, commercial registration number, and date of notice
2. Employee Information: Full name, ID number, employee number, position, and department of the employee
3. Separation Type and Effective Date: Clear statement of whether this is a resignation or termination, and the effective date of employment end
4. Notice Period: Specification of the notice period as per Saudi Labor Law and employment contract
5. Final Working Day: Clear statement of the employee's last working day
6. Handover Requirements: List of company property to be returned and handover procedures
7. Final Settlement Information: Overview of final settlement including salary, end-of-service benefits, and other entitlements
8. Acknowledgment: Space for both employer and employee signatures acknowledging the notice
1. Reason for Termination: Include when termination is initiated by employer and requires stating specific cause as per Saudi Labor Law
2. Garden Leave: Include when employee is not required to work during notice period but will remain on payroll
3. Non-Competition Reminder: Include when employee is bound by non-competition clauses that survive employment
4. Outstanding Loans/Advances: Include when there are outstanding loans or advances to be settled in final payment
5. Continuation of Benefits: Include when certain benefits will continue for a period after termination
6. Exit Interview: Include when company policy requires an exit interview process
1. End of Service Benefits Calculation: Detailed calculation of end-of-service benefits as per Saudi Labor Law
2. Final Settlement Statement: Itemized statement of all final payments including salary, benefits, deductions, and net amount
3. Company Property Checklist: Detailed list of company property to be returned with current status
4. Handover Document: Template for documenting the handover of work responsibilities and ongoing projects
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