What comes to your mind when you think about getting a job in Saudia?
I believe you will be excited to avail of this chance for a good career with an amazing salary package. But why?
When anyone moves to KSA for a good job, he tries to get more benefits offered by the Saudi government. The main reason for moving to Saudia is money. People come from across the globe because Saudi companies pay handsome salaries without tax. In addition to high wages, they offer accommodation, medical facilities, meals, and travel expenses. People see Saudia from this financial perspective and dream to get a high paid job.
The Saudi government knows about the employee’s problems, so they make useful laws and rules. They implement the laws and order their companies to provide these facilities for workers’ help. Employees feel secure under the umbrella of Saudi labor law.
According to Article# 77 of Saudi Labor Law “In case of unfair or unlawful termination of the job contract, an employee is entitled to some compensation”.
When you leave your job or your job’s contract expires, your employer pays you a certain amount of money, according to the law of End-of-service benefits (ESB). The payment given by the law of end-of-service benefits depends on many factors and circumstances, such as length of service, job’s contract has expired, the worker has been redundant or employee is resigning from his job.
But in all cases above mentioned, the employee is obliged to give a calculated amount of money, according to the end of service benefits.
You can also like to read” How to Register National Address KSA”.
End of Service Benefits:
Let me explain, All those employees who complete a minimum time of 2 years in a Saudi company, he is eligible for this benefit. But if your service is less than 2 years, so you are not eligible.
End of service benefits will be calculated when you will leave your job (whether you are resigning or your contract is expiring). If your employer terminates you from your ongoing job, you will also get these benefits. But benefits or entitlement will not be the same in each case. It depends on the conditions.
- If you resign from your job before the completion of 2 years, the company will not give you any benefits because you don’t meet the law’s requirements like ESB, percentage of salary, and entitlement.
- In the case of leaving the job after 2 years of service and before completion of 5 years, you will get 1/3rd of end of service benefits. The percentage of salary will be half of the present salary.
- If you resign after 5 years of service and before 10 years, you will be eligible for 2/3rd ESB, here the percentage of salary will be the full salary of the worker.
- But if you resign after the service of 10 years or you get terminated, you will be eligible for full of end of service benefits. The percentage of salary will be full salary here.
End of Service Benefits for Contract Employees:
- If a person is working on a contract and terminated before completion of 5 years, then he can get his half salary.
- If your employer terminates you after 5 years of service, so he is eligible for his half salary for the first 5 years. But after five years, his full salary will be calculated.
For Female Employees
- If a lady resigns from her job after 6 months of her marriage, she will get the full end of service benefit.
- And if a woman leaves her job after 3 months of giving birth to her child, she will also get a full reward of ESB.
An expatriate leaves his family and country and comes to Saudia. He wants to make huge money for his family and their lives. The labor law of Saudia gives them a sense of security and safety, so he finds a job in Saudi companies. He works day and night and receives a fixed salary after one month. In KSA, the employee class enjoys their salary because they are tax-free. And they get many other facilities, but when they leave their job, they need more money. ESB (End of services benefit) helps them.
How to Calculate ESB
There is a calculator generated by the Ministry of Human Resources and Social Development, KSA.
Step:1 You can visit their official website and calculate your amount after putting in the required information.
Step:2 When you will open that calculated, you will see different empty boxes. That will ask about “Type of contract”.
Step:3 You will answer such as fixed time or unlimited period.
Step:4 After that, you will put the reason for the end service. You will put some other relative information such as salary, duration of service(years), number of months (optional), and number of days (optional).
Step:5 After putting all the required data press the “=” button. You will see your calculated end of service benefit.
I have worked for several years in Saudi Arabia as an expatriate. So I know how dificult it is to manage all the documents and formalities for a common worker in KSA. This is reason I started to write all these articles to help expats in KSA. I hope you enjoy my content.