Job Offer Contract Template for Saudi Arabia

A Job Offer Contract is your legal foundation for establishing an employment relationship in Saudi Arabia. This formal document creates binding obligations between you as an employer and your prospective employee, ensuring compliance with Saudi Labor Law while protecting both parties' interests throughout the employment relationship.

When do you need this document?

You need a Job Offer Contract whenever you're hiring new employees in Saudi Arabia, whether they are Saudi nationals or expatriate workers. The contract is mandatory before employment begins and serves as the basis for work permit applications and Ministry of Human Resources and Social Development registration. You'll use this document when recruiting for permanent positions, fixed-term contracts, or probationary arrangements. It's also essential when transitioning employees from temporary to permanent status or when offering employment to workers transferring from other companies under the labor mobility provisions.

Key legal considerations

Your contract must comply with Saudi Labor Law requirements, including maximum working hours, minimum wage provisions, and mandatory leave entitlements. You need to specify the probation period, which cannot exceed 90 days for most positions, and clearly define termination procedures and end-of-service benefits calculations. The contract should address Social Insurance Law compliance, including mandatory GOSI contributions, and incorporate Wage Protection System requirements for electronic salary transfers. For expatriate employees, you must include provisions for residency visa sponsorship, work permit obligations, and repatriation terms. Consider including confidentiality clauses, non-compete restrictions within legal limits, and dispute resolution mechanisms that comply with Saudi commercial law.

Legal requirements in Saudi Arabia

Saudi Labor Law mandates that employment contracts be written in Arabic, though bilingual versions are permitted for clarity. Your contract must specify the job location, working hours within the 48-hour weekly maximum, and annual leave entitlements of at least 21 days. You're required to include provisions for sick leave, maternity leave, and public holidays as defined by Saudi law. For companies subject to Nitaqat regulations, the contract should reflect Saudization compliance requirements and any related benefits or training provisions. The document must address social insurance coverage, end-of-service benefit calculations based on the employee's final salary, and termination notice periods. Registration with the Ministry of Human Resources and Social Development is mandatory within seven days of the employee's start date, and the contract serves as supporting documentation for this process.