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Regular Employment Contract

Regular Employment Contract Template for Saudi Arabia

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Key Requirements PROMPT example:

Regular Employment Contract

"I need a Regular Employment Contract for a senior software developer position in our Riyadh office, starting March 1, 2025, with specific provisions for remote work arrangements and intellectual property protection."

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Document background
This Regular Employment Contract is designed for use in establishing employment relationships within Saudi Arabia, complying with the Saudi Labor Law and related regulations. It serves as the primary document governing the employer-employee relationship, whether for Saudi nationals or expatriate workers. The contract includes mandatory provisions required by law, such as probation periods, working hours, leave entitlements, and end of service benefits, while allowing customization for specific roles and industries. It should be used when hiring new employees or formalizing existing employment relationships, ensuring compliance with Wage Protection System requirements, Saudization policies, and social insurance obligations.
Suggested Sections

1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant ID/registration numbers

2. Background: Brief context of the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the contract

4. Position and Duties: Job title, role description, responsibilities, and reporting relationships

5. Term of Employment: Contract duration (fixed-term or unlimited) and probation period details

6. Place of Work: Primary workplace location and any mobility requirements

7. Working Hours: Standard working hours, days, and flexibility arrangements

8. Remuneration: Base salary, payment frequency, and method of payment in compliance with WPS

9. Benefits: Mandatory benefits including social insurance, healthcare, and housing allowance

10. Leave Entitlements: Annual leave, sick leave, and other statutory leave provisions

11. Confidentiality: Protection of company confidential information and trade secrets

12. End of Service Benefits: Calculation and payment of end of service gratuity

13. Termination: Grounds and procedures for contract termination

14. Governing Law: Confirmation of Saudi Labor Law application and dispute resolution

Optional Sections

1. Commission Structure: For sales roles or positions with variable compensation

2. Non-Competition: Required for senior positions or roles with access to sensitive information

3. International Assignment: For expatriate employees, including visa and residence permit obligations

4. Training Obligations: For positions requiring specific training or certification requirements

5. Remote Working: For positions allowing work from home or flexible location arrangements

6. Intellectual Property: For creative or technical roles involving creation of IP

7. Performance Bonus: For roles with performance-based incentives

8. Travel Requirements: For positions involving regular business travel

Suggested Schedules

1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and performance expectations

2. Schedule 2 - Compensation Details: Breakdown of salary components, allowances, and benefits

3. Schedule 3 - Company Policies: Key company policies and procedures applicable to the employment

4. Schedule 4 - Code of Conduct: Expected behavioral standards and ethical guidelines

5. Appendix A - Leave Policy: Detailed leave application and approval procedures

6. Appendix B - Performance Review Process: Performance evaluation criteria and timeline

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Clauses
Appointment
Term and Duration
Probation Period
Duties and Responsibilities
Working Hours
Place of Work
Remuneration
Benefits and Allowances
Annual Leave
Sick Leave
Other Leave Entitlements
Public Holidays
Social Insurance
Medical Insurance
End of Service Benefits
Confidentiality
Intellectual Property
Non-Competition
Data Protection
Code of Conduct
Disciplinary Procedures
Termination
Notice Period
Repatriation
Governing Law
Dispute Resolution
Language
Amendments
Entire Agreement
Severability
Relevant Industries

Manufacturing

Technology

Financial Services

Healthcare

Retail

Construction

Education

Professional Services

Hospitality

Energy

Telecommunications

Real Estate

Transportation

Media and Entertainment

Relevant Teams

Human Resources

Legal

Finance

Operations

Sales

Marketing

Information Technology

Customer Service

Research and Development

Administration

Business Development

Corporate Communications

Relevant Roles

Chief Executive Officer

General Manager

Department Manager

Software Engineer

Sales Representative

Administrative Assistant

Human Resources Manager

Finance Director

Marketing Specialist

Operations Manager

Project Manager

Account Executive

Customer Service Representative

Technical Support Specialist

Research Analyst

Business Development Manager

Industries
Saudi Labor Law (Royal Decree No. M/51): The primary legislation governing employment relationships in Saudi Arabia, covering basic rights and obligations of employers and employees, contract requirements, working conditions, and termination procedures
Ministerial Resolution No. 1982 dated 28/6/1437H: Regulations regarding working hours, rest periods, and weekend policies in the private sector
Social Insurance Law: Governs mandatory social insurance contributions and coverage for employees in Saudi Arabia
Wage Protection System (WPS) Regulations: Regulations requiring electronic payment of wages and salary protection measures
Saudization (Nitaqat) Program Regulations: Requirements for hiring Saudi nationals and maintaining minimum ratios of Saudi employees
General Organization for Social Insurance (GOSI) Law: Regulations governing social insurance coverage, workplace injury compensation, and pension contributions
Ministry of Human Resources and Social Development Decisions: Various ministerial decisions affecting workplace policies, including remote work regulations and COVID-19 related measures
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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