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Secondment Contract for Saudi Arabia

Secondment Contract Template for Saudi Arabia

A comprehensive legal agreement governed by Saudi Arabian law that facilitates the temporary assignment of an employee from their original employer (Home Employer) to another organization (Host Employer). The document establishes the terms and conditions of the secondment arrangement, including duration, responsibilities, compensation, and benefits, while ensuring compliance with Saudi Labor Law, social insurance regulations, and relevant employment legislation. It addresses key aspects such as employment status, working conditions, and obligations of all parties involved, providing a clear framework for managing the trilateral relationship during the secondment period.

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What is a Secondment Contract?

The Secondment Contract is a specialized agreement used in Saudi Arabia when an organization temporarily assigns an employee to work for another organization while maintaining the original employment relationship. This arrangement is commonly utilized for knowledge transfer, project-specific assignments, or to provide specialized expertise to the host organization. The document must comply with Saudi Labor Law, including Royal Decree No. M/51 and relevant ministerial resolutions governing secondment arrangements. It typically includes provisions for employment status, compensation, benefits, working conditions, and termination rights, while ensuring adherence to local regulations regarding work permits, social insurance, and wage protection systems. The Secondment Contract is particularly important in sectors requiring specialized skills or international expertise, and it helps organizations manage temporary staffing needs while protecting the interests of all parties involved.

What sections should be included in a Secondment Contract?

1. Parties: Identification of the three parties: Home Employer, Host Employer, and the Seconded Employee

2. Background: Context of the secondment arrangement and the business relationship between the parties

3. Definitions: Key terms used throughout the agreement including 'Secondment Period', 'Services', 'Secondment Fee', etc.

4. Term and Duration: Specified period of the secondment, including start date, end date, and any extension provisions

5. Scope of Secondment: Detailed description of the role, responsibilities, and services to be provided by the Seconded Employee

6. Employment Status: Confirmation that the primary employment relationship remains with the Home Employer

7. Duties and Obligations: Respective obligations of all three parties during the secondment period

8. Compensation and Benefits: Details of salary, benefits, allowances, and which party is responsible for each component

9. Working Hours and Leave: Working schedule, vacation entitlement, and other leave arrangements

10. Compliance with Host Company Policies: Requirement to comply with Host Employer's policies and procedures

11. Confidentiality: Obligations regarding confidential information of both Home and Host Employers

12. Intellectual Property: Ownership and rights to work product created during secondment

13. Termination: Circumstances under which the secondment can be terminated and the process

14. Governing Law: Specification of Saudi Law as governing law and relevant jurisdiction

15. General Provisions: Standard boilerplate clauses including notices, amendments, and entire agreement

What sections are optional to include in a Secondment Contract?

1. Immigration and Work Permits: Required for international secondments - provisions regarding visa sponsorship and work permit obligations

2. Housing and Relocation: Include when the secondment involves relocation and housing benefits

3. Non-Competition: Include when there are specific restrictions on the employee's activities post-secondment

4. Training and Development: Include when specific training or development programs are part of the secondment

5. Performance Management: Include when specific performance review processes need to be detailed

6. Insurance Coverage: Include when special insurance arrangements are required beyond standard coverage

7. Cost Allocation: Include when there's a complex cost-sharing arrangement between Home and Host employers

What schedules should be included in a Secondment Contract?

1. Schedule 1 - Services Description: Detailed description of the services to be provided by the Seconded Employee

2. Schedule 2 - Compensation and Benefits: Detailed breakdown of all compensation components and responsible parties

3. Schedule 3 - Applicable Policies: List of specific Host Employer policies that apply to the Seconded Employee

4. Schedule 4 - Reporting Structure: Organizational chart showing reporting lines in Host organization

5. Appendix A - Time Recording and Billing: Procedures for recording time and billing between parties if applicable

6. Appendix B - Required Qualifications: List of required qualifications, certifications, and licenses for the role

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Saudi Arabia

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions

















































Clauses



















































Relevant Industries

Oil and Gas

Construction

Information Technology

Financial Services

Healthcare

Manufacturing

Professional Services

Education

Telecommunications

Engineering

Consulting

Energy

Mining

Aviation

Relevant Teams

Human Resources

Legal

Compliance

Finance

Operations

Project Management Office

Training and Development

Talent Acquisition

Employee Relations

Compensation and Benefits

Risk Management

Relevant Roles

Human Resources Director

Legal Counsel

Project Manager

Technical Specialist

Management Consultant

Senior Engineer

Financial Analyst

IT Specialist

Operations Manager

Subject Matter Expert

Department Head

Training Specialist

Research Scientist

Business Development Manager

Executive Director

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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