Saudi Labor Law,
Explained Simply
A practical reference for organizations navigating employment regulations in the Kingdom. Use alongside official sources and professional legal advice.
📊 Quick Reference — Key Numbers
| Topic | Standard Rule | Notes |
|---|---|---|
| Normal Working Hours | 48 hrs/week, 8 hrs/day | Reduced to 36 hrs/week during Ramadan |
| Annual Leave (0–5 yrs) | 21 calendar days | Paid leave per year |
| Annual Leave (5+ yrs) | 30 calendar days | Paid leave per year |
| Overtime Rate | 150% of basic wage | Plus allowances for hourly calculation |
| Probation Period | Up to 90 days | Extendable to 180 days by agreement |
| Maternity Leave | 10 weeks paid | 4 weeks before + 6 weeks after birth |
| Paternity Leave | 3 days paid | For birth of child |
| Sick Leave | Up to 120 days | 30 full pay + 60 half pay + 30 unpaid |
| Notice Period | 60 days (employer) / 30 days (employee) | For indefinite contracts with 2+ years service |
| EOSB – Resignation (0–5 yrs) | 1/3 of monthly wage per year | Per year of service |
| EOSB – Resignation (5–10 yrs) | 2/3 of monthly wage per year | Per year of service |
| EOSB – Resignation (10+ yrs) | Full monthly wage per year | Per year of service |
| EOSB – Employer Termination | Full monthly wage per year | All service years, from day one |
📄 Employment Contracts
Saudi Labor Law requires all employment relationships to be documented in a written contract in Arabic. Contracts must specify job title, salary, and duration. Fixed-term contracts that are renewed or continued may be treated as indefinite-term contracts.
🕐 Working Hours & Overtime
The standard working week is 48 hours across 6 days. Employees may not work more than 5 consecutive hours without a break. Overtime above 48 hours per week must be compensated at 150% of the basic hourly rate.
🌴 Leave Entitlements
Annual leave, sick leave, maternity leave, Hajj leave (10 days after 2 years), bereavement leave (5 days for spouse/child, 3 days for other relatives), and Eid holidays are all legally recognized entitlements.
🚪 Termination & Resignation
Employers can terminate for cause without EOSB in specific circumstances listed in Article 80. Employees may leave without notice in circumstances listed in Article 81. All other terminations require notice and full EOSB payment.
🤖 How ResourcePlus Helps
ResourcePlus is built to reflect the requirements of Saudi Labor Law automatically — so you don't have to manually track every calculation.