Employment Contract Termination Letter By Employee Template for Saudi Arabia

An Employment Contract Termination Letter By Employee is your formal resignation document that legally ends your employment relationship in Saudi Arabia. This letter must strictly comply with Saudi Labor Law requirements and serves as official notice to your employer of your intention to terminate your employment contract.

When do you need this document?

You need this termination letter whenever you decide to voluntarily leave your job in Saudi Arabia. The document is required whether you're resigning from a private company, government position, or any other employment arrangement. Your resignation becomes legally effective only when you provide proper written notice through this formal letter. The timing is critical because Saudi Labor Law mandates specific notice periods that determine when your employment actually ends and affects your final settlement calculations.

Key legal considerations

Your termination letter must include several essential elements to ensure legal compliance. First, you must provide the correct notice period as specified in Article 77 of Saudi Labor Law: 30 days for monthly paid employees or 15 days for others. The letter should clearly state your last working day and reference your employment contract details. You must address the letter to both your direct supervisor and HR department to ensure proper processing. The document should also request calculation of your end-of-service benefits under Article 84, which includes gratuity payments based on your length of service. Additionally, you should request issuance of your service certificate and final settlement as required by Article 85.

Legal requirements in Saudi Arabia

Saudi Labor Law (Royal Decree No. M/51) governs all employment terminations and establishes strict procedural requirements. During your notice period, Article 80 requires you to continue performing your duties diligently and maintain confidentiality obligations. Your employer must calculate and pay your end-of-service gratuity, which equals half a month's salary for each of the first five years of service and a full month's salary for each subsequent year. The Ministry of Human Resources and Social Development may require notification of your employment termination for visa and work permit purposes, particularly for expatriate workers. Your employer must provide you with a service certificate detailing your employment period, position, and salary within one week of your departure. Failure to follow proper termination procedures can result in penalties or complications with future employment applications.