Document background
The End of Benefits Letter is a mandatory document required under Saudi Labor Law when terminating any employment relationship in the Kingdom of Saudi Arabia. It serves as an official record of employment termination and details all final settlements between the employer and employee. This document must be issued when an employee resigns, is terminated, or when their employment contract expires. The letter includes crucial information such as employment duration, reason for termination, calculation of end of service benefits according to Article 88 of the Saudi Labor Law, outstanding salary, unused leave compensation, and any other financial entitlements or obligations. It also typically includes clearance confirmations regarding company property and ongoing obligations. The document protects both parties' interests by clearly documenting the final settlement terms and serves as an important reference for future employment relationships.
