51��Ƶ����

A Certificate of Separation is an official document issued when an employment relationship ends in Saudi Arabia. It proves that an employee has properly completed their service with an employer and details important information like employment duration, position held, and final settlement status.

Under Saudi labor law, employers must provide this certificate to departing employees within one week of service completion. The document helps workers secure new jobs, transfer sponsorship to other employers, and prove their work history. It also protects employers by formally documenting the end of employment obligations and any final settlements of wages, benefits, or entitlements.

Employers need to prepare a Certificate of Separation when any employee leaves their company in Saudi Arabia, regardless of the reason—resignation, termination, or retirement. The timing is critical: Saudi labor law requires issuing this document within seven days after the employment ends.

This certificate becomes essential when employees need to transfer their work permit to a new employer, apply for unemployment benefits, or prove their employment history. Companies also rely on it to document proper closure of employment relationships, especially during labor inspections or if disputes arise about final settlements, end-of-service benefits, or outstanding obligations.

• Basic Certificate: States essential details like employment dates, position, and final settlement status - the standard format accepted by most government agencies and employers
• Detailed Service Record: Includes additional information about job responsibilities, projects completed, and performance evaluations - useful for senior positions or specialized roles
• Exit Clearance Version: Confirms all company property has been returned and financial obligations settled - commonly used by large corporations and government entities
• Sponsorship Transfer Format: Specifically designed for expatriate workers needing to transfer their residency to new employers under Saudi labor law

• Employers: Must prepare and issue the Certificate of Separation, ensuring all required information is accurate and compliant with Saudi labor law
• HR Departments: Handle the practical aspects of drafting, processing, and maintaining records of these certificates
• Departing Employees: Receive and use the certificate to prove employment history, transfer sponsorship, or claim benefits
• Labor Office Officials: Review certificates during inspections or employment disputes, ensuring compliance with regulations
• New Employers: Often request and verify these certificates when hiring, especially for sponsorship transfers

• Employee Details: Gather full name, ID/Iqama number, job title, and department information from HR records
• Employment Dates: Confirm exact start and end dates, including any changes in position or transfers
• Financial Settlement: Calculate and document final salary, end-of-service benefits, and any outstanding dues
• Exit Clearance: Verify return of company assets and completion of handover procedures
• Legal Compliance: Use our platform's Saudi-compliant templates to ensure all mandatory elements are included correctly
• Verification: Have HR and authorized signatories review the certificate before issuing to the employee

• Company Information: Full legal name, commercial registration number, and official address
• Employee Details: Complete name, nationality, ID/Iqama number, and last position held
• Service Period: Precise start and end dates of employment relationship
• Final Settlement: Statement confirming all financial dues have been settled
• Reason for Separation: Clear indication of how employment ended (resignation, termination, retirement)
• Authorization: Signature of authorized company representative with official stamp
• Date of Issue: Must be within seven days of employment end date per Saudi labor law

A Certificate of Separation differs significantly from a Separation Agreement in both purpose and timing. While both documents relate to ending employment relationships, they serve distinct functions in Saudi Arabia's legal framework.

• Purpose and Scope: A Certificate of Separation is a straightforward confirmation of employment completion, while a Separation Agreement outlines negotiated terms, conditions, and mutual obligations between employer and employee upon parting ways
• Timing of Creation: Certificates must be issued within seven days after employment ends, whereas Separation Agreements are typically negotiated and signed before the actual separation
• Legal Requirements: Certificates are mandatory under Saudi labor law for all employment endings, but Separation Agreements are optional documents used mainly for senior positions or complex departures
• Content Detail: Certificates contain basic employment facts and settlement status, while Agreements cover detailed terms like non-compete clauses, confidentiality, and specific financial arrangements