The Sales Manager Employment Contract is a specialized employment agreement designed for use in Saudi Arabia when hiring or promoting individuals into sales management positions. This document serves as a crucial legal framework that establishes the employment relationship while addressing the unique aspects of sales management roles, including team leadership, revenue responsibilities, and commission structures. It ensures compliance with Saudi Labor Law (Royal Decree No. M/51) and related regulations, including Saudization requirements, GOSI contributions, and Ministry of Human Resources and Social Development guidelines. The contract is particularly important for organizations with structured sales operations, as it clearly defines sales territories, target metrics, commission calculations, and management responsibilities while protecting the company's interests through confidentiality and non-compete provisions. This template is designed to be customizable across various industries while maintaining compliance with Saudi Arabian employment regulations.
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1. Parties: Identification of the employer company and the employee (Sales Manager), including full legal names and addresses
2. Background: Brief context of the employment relationship and the purpose of the agreement
3. Definitions: Key terms used throughout the contract, including specific sales-related terminology
4. Appointment and Term: Position title, employment status, and contract duration (fixed-term or unlimited)
5. Duties and Responsibilities: Detailed description of the Sales Manager's role, including team management and sales targets
6. Work Location and Hours: Primary workplace location and standard working hours as per Saudi Labor Law
7. Probationary Period: Duration and terms of the probationary period (up to 90 days as per Saudi law)
8. Compensation and Benefits: Base salary, commission structure, and other benefits including GOSI contributions
9. Leave Entitlements: Annual leave, sick leave, and other leave entitlements as per Saudi Labor Law
10. Confidentiality: Protection of company confidential information and trade secrets
11. Intellectual Property: Ownership of work product and innovations developed during employment
12. Non-Competition and Non-Solicitation: Post-employment restrictions on competitive activities
13. Termination: Grounds and procedures for contract termination as per Saudi Labor Law
14. Governing Law: Confirmation of Saudi Law application and dispute resolution procedures
1. International Travel: Include when role requires regular international travel, specifying conditions and allowances
2. Housing Allowance: Include when providing separate housing allowance outside of basic salary
3. Vehicle Allowance: Include when providing company vehicle or transportation allowance
4. Education Allowance: Include when offering education benefits for employee's children
5. Remote Work Provisions: Include when allowing regular remote work arrangements
6. Performance Bonus: Include when offering additional performance-based incentives beyond commission
7. Training Requirements: Include when specific training or certifications are required
8. Relocation Terms: Include when employee is being relocated from another location
1. Schedule 1 - Compensation Structure: Detailed breakdown of base salary, commission rates, and calculation methods
2. Schedule 2 - Sales Targets: Specific sales targets and KPIs for performance evaluation
3. Schedule 3 - Benefits Package: Comprehensive list of benefits and allowances
4. Schedule 4 - Company Policies: Key company policies applicable to the role
5. Schedule 5 - Reporting Structure: Organization chart and reporting relationships
6. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines
7. Appendix B - Sales Territory: Definition of assigned sales territory and customer accounts
8. Appendix C - Commission Rules: Detailed rules for commission calculation and payment
Relevant legal definitions
Agreement
Appointment Date
Base Salary
Business Day
Commission
Company
Confidential Information
Customer
Effective Date
Employee
GOSI
Gross Misconduct
Intellectual Property Rights
KPIs
MHRSD
Notice Period
Probationary Period
Products
Quarterly Targets
Reporting Period
Sales Pipeline
Sales Target
Sales Territory
Saudi Labor Law
Services
Team Members
Total Compensation
Trade Secrets
Variable Pay
Working Hours
Appointment Date
Base Salary
Business Day
Commission
Company
Confidential Information
Customer
Effective Date
Employee
GOSI
Gross Misconduct
Intellectual Property Rights
KPIs
MHRSD
Notice Period
Probationary Period
Products
Quarterly Targets
Reporting Period
Sales Pipeline
Sales Target
Sales Territory
Saudi Labor Law
Services
Team Members
Total Compensation
Trade Secrets
Variable Pay
Working Hours
Clauses
Appointment
Term
Duties and Responsibilities
Work Location
Working Hours
Probationary Period
Compensation
Commission Structure
Sales Targets
Performance Reviews
Benefits
Leave Entitlements
Travel Requirements
Expense Reimbursement
Team Management
Reporting Requirements
Training
Confidentiality
Intellectual Property
Non-Competition
Non-Solicitation
Data Protection
Company Property
Code of Conduct
Disciplinary Procedures
Termination
Notice Period
End of Service Benefits
Governing Law
Dispute Resolution
Amendment
Entire Agreement
Severability
Notices
Term
Duties and Responsibilities
Work Location
Working Hours
Probationary Period
Compensation
Commission Structure
Sales Targets
Performance Reviews
Benefits
Leave Entitlements
Travel Requirements
Expense Reimbursement
Team Management
Reporting Requirements
Training
Confidentiality
Intellectual Property
Non-Competition
Non-Solicitation
Data Protection
Company Property
Code of Conduct
Disciplinary Procedures
Termination
Notice Period
End of Service Benefits
Governing Law
Dispute Resolution
Amendment
Entire Agreement
Severability
Notices
Relevant Industries
Retail
Technology
Manufacturing
Professional Services
Healthcare
Real Estate
Telecommunications
Consumer Goods
Industrial Equipment
Financial Services
Automotive
Construction
Pharmaceuticals
Relevant Teams
Sales
Commercial
Business Development
Account Management
Channel Management
Revenue
Customer Success
Marketing
Legal
Human Resources
Finance
Relevant Roles
Sales Manager
Regional Sales Manager
National Sales Manager
Head of Sales
Sales Director
Area Sales Manager
Territory Sales Manager
Business Development Manager
Channel Sales Manager
Key Account Manager
Sales Team Leader
Commercial Manager
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