This Full Time Employment Contract serves as the primary legal document establishing an employment relationship in Saudi Arabia. It is essential for any organization hiring employees in the Kingdom, whether for Saudi nationals or expatriate workers. The contract must comply with the Saudi Labor Law (Royal Decree No. M/51) and related ministerial resolutions, incorporating mandatory provisions regarding working hours, leave entitlements, end of service benefits, and termination procedures. It should be used when hiring permanent, full-time employees and must be registered with the Ministry of Human Resources and Social Development. The document includes provisions for probation periods, compensation structures, and other benefits while ensuring alignment with Sharia principles and local employment regulations.
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1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant identification numbers
2. Background: Brief context of the employment relationship and reference to any conditional requirements (e.g., work visas, professional qualifications)
3. Definitions: Key terms used throughout the contract
4. Position and Duties: Job title, role description, reporting relationships, and key responsibilities
5. Term and Probation Period: Contract duration (unlimited/fixed-term) and probation period details as per Saudi Labor Law
6. Place of Work: Primary workplace location and possible temporary assignments
7. Working Hours: Standard working hours, rest periods, and overtime arrangements in compliance with Saudi Labor Law
8. Remuneration: Base salary, allowances, payment method, and timing in accordance with WPS requirements
9. Leave Entitlements: Annual leave, sick leave, Hajj leave, and other statutory leave entitlements
10. Medical Insurance: Health insurance coverage as per Saudi requirements
11. End of Service Benefits: Calculation and payment of end of service gratuity as per Saudi Labor Law
12. Termination: Notice periods and grounds for termination in accordance with Saudi Labor Law
13. Confidentiality: Protection of company information and trade secrets
14. Governing Law: Reference to Saudi Labor Law and Saudi courts' jurisdiction
1. Non-Competition: Post-employment restrictions, used for senior positions or roles with access to sensitive information
2. Housing Allowance: Details of housing benefits, if provided separately from basic salary
3. Transportation Allowance: Transportation benefits, if provided separately from basic salary
4. Commission Structure: For sales or similar roles where commission is part of compensation
5. Remote Work Provisions: For positions allowing work from home or remote locations
6. International Assignment Terms: For expatriate employees or those requiring international travel
7. Training Commitments: When specific training is required with associated commitments
8. Bonus Scheme: Details of any performance-based bonus arrangements
1. Job Description: Detailed outline of role responsibilities and requirements
2. Compensation Structure: Breakdown of salary components and benefits
3. Company Policies: Reference to key company policies including IT, social media, and code of conduct
4. Performance Metrics: KPIs and performance evaluation criteria
5. Benefits Summary: Details of all benefits including insurance coverage
6. Work Equipment: List of company-provided equipment and usage terms
7. Disciplinary Procedures: Details of the company's disciplinary process in line with Saudi Labor Law
8. Safety Procedures: Workplace safety requirements and procedures
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