Either party may terminate an employment contract in writing in Saudi Arabia. The party that initiates termination is required to provide a 30-day termination notice for monthly paid employees and at least a 15-day termination notice for all other employees paid on daily or weekly intervals. The party that does not adhere to the termination notice period is required to compensate the other party the amount equal to the salary covering the notice period. In certain instances, the employer may initiate termination without severance pay or termination notice if the employee:
physically assaults the employer or supervisors,
continues to breach any of the contract’s provisions after being warned in writing, or
engages in unethical behavior or insubordination.
In other instances, the employee may terminate a contract without losing severance or giving notice if the employer:
breaches any of the contract’s provisions,
defrauds or misleads the employee regarding the work conditions during the negotiations of the contract, or
gives the employee different work than was agreed upon.
After termination of a contract, the employer is required to provide the employee with an end-of-service certificate that shows the start and end dates of employment, job description and salary. The employer is required to pay severance to the employee after the termination of employment. However, in the case of termination during the probation period by either party, the employee forfeits severance and compensation. Female employees are entitled to terminate employment without losing severance pay if the termination happens within six months after getting married or within three months after giving birth. The employer must pay severance within one week after the termination of employment. However, if the employee terminates the contract, the payment of severance should be paid within two weeks after termination. If the contract does not have any provisions about severance pay, then severance pay will automatically be calculated as two months of pay for every year of service.