? First: Resignation and Its Conditions
Previously, the Labor Law only addressed resignation in open-ended contracts.
Now, the law introduces a clear definition of resignation and its conditions.
Resignation is defined as:
The employee’s written expression of their desire to terminate a fixed-term employment contract voluntarily, without coercion or condition, with the employer’s approval.
Details of the Amendments:
- The resignation is automatically accepted if 30 days pass after submission without a response from the employer.
- The employer may postpone acceptance of the resignation for up to 60 days if required for business needs, provided the reason is given in writing before the end of the 30-day period.
- The employment contract ends in any of the following cases:
- When the employer accepts the resignation.
- After 30 days with no response.
- At the end of the approved postponement period.
- The employee may withdraw their resignation within 7 days of submission, provided the employer has not yet accepted it.
- The contract remains in effect during the resignation period, and both parties must continue to fulfill their obligations.
- Employees who resign are entitled to all legal rights as per the Labor Law.
? Second: Contracts for Non-Saudis
Previously, the work permit would replace the employment contract upon its expiration.
Under the new amendment, this rule has been abolished.
The new regulation states that:
If the employment contract expires and both parties continue to perform their duties, the contract is automatically renewed for the same duration and under the same terms.
? Third: Probation Period
Previously, the probation period was 90 days, extendable to 180 days with the employee’s written consent, excluding official and sick leaves.
Under the new regulation:
- The probation period must be clearly stated in the contract and must not exceed 180 days in total (excluding official holidays).
- Either party has the right to terminate the contract during the probation period, without discrimination or bias toward either side.
? Fourth: Allowances and Wage Details
One of the key changes is that the new law requires employers to provide housing and transportation or pay cash allowances as part of the monthly salary.
Previously, these allowances were optional, not mandatory.
? Fifth: Leave Updates (Bereavement Leave)
The leave provisions have been updated to include siblings (brother and sister) in the bereavement leave entitlement.
The new provision grants the employee the right to:
- 5 days with full pay in the event of marriage, or the death of a spouse, parent, or child.
- 3 days with full pay in the event of the death of a brother or sister.
- 3 days upon the birth of a child, within 7 days from the date of birth.
The employer has the right to request supporting documents to verify the case.
