The Release Letter From Employer is a fundamental document in Saudi Arabia's employment framework, required by law under the kafala sponsorship system. This document serves as the official instrument through which an employer relinquishes their sponsorship of an employee, allowing the worker to transfer to another employer within the Kingdom. The letter must comply with regulations set by the Ministry of Human Resources and Social Development (MHRSD) and includes essential information such as employee details, employment history, explicit release statement, and confirmation of settled obligations. It's particularly crucial in Saudi Arabia where employment mobility is strictly regulated, and employees cannot change employers without obtaining this formal release. The document plays a vital role in maintaining organized workforce movement while protecting both employer and employee rights under Saudi labor law.
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1. Letter Header: Company letterhead including full legal name, CR number, and contact details
2. Date and Reference Number: Official date of issuance and company's reference number for the letter
3. Employee Information: Full name as per passport, nationality, passport number, and Iqama number of the employee
4. Employment Details: Current position, employment duration, and other relevant employment information
5. Release Statement: Clear statement confirming the employer's consent to release the employee from their employment
6. Transfer Authorization: Explicit permission for the employee to transfer their sponsorship to another employer
7. Confirmation of Dues Settlement: Statement confirming that all financial dues and obligations have been settled
8. Authorized Signatory: Name, position, and signature of the authorized company representative
1. Special Conditions: Any specific conditions or restrictions attached to the release, used when there are particular terms for the transfer
2. Non-Competition Clause: Reference to any existing non-competition agreements, included when applicable to the employee's contract
3. Exit/Re-Entry Visa Status: Information about current visa status, included for international employees who require visa transfers
4. Project Completion Statement: Confirmation of project completion or handover, included for project-based employees
5. Appreciation Statement: Statement of appreciation for the employee's service, included for amicable separations and positive reference purposes
1. Copy of Employee ID: Attached copies of employee's Iqama and passport details page
2. Employment Contract Summary: Summary of key terms from the original employment contract
3. Final Settlement Statement: Detailed statement showing all financial settlements and clearances
4. Ministry of Labor Certification: Any required certifications or approvals from MHRSD
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