The Work Contract is a fundamental legal document required for all employment relationships in Saudi Arabia, whether for Saudi nationals or expatriate workers. It serves as the primary agreement governing the employer-employee relationship and must comply with the Saudi Labor Law, ministerial resolutions, and Sharia principles. This document is essential for obtaining work permits, residence visas (for expatriates), and registering employees with relevant government authorities such as GOSI. The contract should be drafted in Arabic (with optional English translation) and must include mandatory provisions required by Saudi law, including clear terms on compensation, working hours, leave entitlements, and end of service benefits. It's particularly important to note that this Work Contract template accommodates both fixed-term and unlimited term employment arrangements while ensuring compliance with Saudization requirements and other local regulations.
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1. Parties: Identification of the employer and employee, including full legal names, addresses, and identification numbers
2. Background: Brief context of the employment relationship and agreement to enter into the contract
3. Definitions: Key terms used throughout the contract
4. Position and Duties: Job title, role description, and main responsibilities
5. Term of Employment: Contract duration (fixed-term or unlimited) and probation period details
6. Work Location: Primary workplace location and any mobility requirements
7. Working Hours: Regular working hours, overtime arrangements, and rest periods as per Saudi Labor Law
8. Compensation: Base salary, allowances, and payment schedule in compliance with WPS
9. Leave Entitlements: Annual leave, sick leave, and other statutory leave rights
10. Benefits: Medical insurance, social insurance (GOSI), and other statutory benefits
11. Termination: Grounds and procedures for contract termination and notice periods
12. End of Service Benefits: Calculation and payment of end of service gratuity
13. Confidentiality: Protection of employer's confidential information
14. Governing Law: Specification of Saudi Law application and dispute resolution
15. Language: Specification of Arabic as the governing language with optional English translation
1. Non-Competition: Restrictions on post-employment competition, used for senior positions or roles with access to sensitive information
2. Intellectual Property: IP rights assignment, used for creative or technical positions
3. Remote Work: Terms for remote working arrangements, if applicable
4. Commission Structure: Details of commission-based compensation, used for sales positions
5. International Assignment: Terms for expatriate employees including visa obligations
6. Training Obligations: Training requirements and bond terms, if applicable
7. Performance Metrics: KPIs and performance evaluation criteria for bonus-eligible positions
1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and reporting lines
2. Schedule 2 - Compensation Details: Breakdown of salary components, allowances, and benefits
3. Schedule 3 - Company Policies: Reference to applicable company policies and procedures
4. Schedule 4 - Code of Conduct: Employee behavior expectations and workplace conduct rules
5. Appendix A - Required Documents: List of documents required for employment (certificates, IDs, etc.)
6. Appendix B - Medical Insurance Details: Summary of medical insurance coverage and benefits
Authors
Relevant legal definitions
Clauses
Relevant Industries
Manufacturing
Technology
Financial Services
Healthcare
Education
Retail
Construction
Oil and Gas
Professional Services
Hospitality
Telecommunications
Transportation and Logistics
Real Estate
Agriculture
Mining
Relevant Teams
Human Resources
Legal
Finance
Operations
Information Technology
Sales
Marketing
Research and Development
Customer Service
Administration
Quality Assurance
Business Development
Production
Supply Chain
Corporate Communications
Relevant Roles
Chief Executive Officer
General Manager
Department Manager
Software Engineer
Sales Representative
Administrative Assistant
Human Resources Manager
Financial Analyst
Project Manager
Operations Manager
Marketing Specialist
Research Analyst
Technical Support Specialist
Account Manager
Production Supervisor
Legal Counsel
Quality Control Inspector
Business Development Manager
Customer Service Representative
Executive Assistant
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