Notice Period in Saudi Arabia 2026 \u2014 Article 75 Explained

Last updated: May 2026 \u00b7 Legal reference: Saudi Labour Law, Article 75

Quick Summary

Saudi Labour Law Article 75 requires a minimum 60-day written notice for indefinite contracts. This applies whether you are resigning or being terminated. You receive full salary throughout the notice period. If your employer terminates without notice, you are owed 60 days salary in lieu. Notice period does not affect your EOSB under Article 84.

Saudi Arabia ExpatsPrivate SectorIndefinite ContractsSaudi Labour Law Art. 75

The notice period is one of the most misunderstood parts of employment in Saudi Arabia. Many expats resign or get terminated without knowing how much warning they are legally entitled to \u2014 or how much salary they are owed if notice is not served. This guide explains exactly what Saudi Labour Law Article 75 requires, what happens when notice is not given, and how your notice period interacts with your end of service benefit.

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What Article 75 of the Saudi Labour Law says

Saudi Labour Law Article 75 governs notice periods for indefinite employment contracts in the private sector. The law requires either party \u2014 employee or employer \u2014 to provide written notice at least 60 days before terminating the contract. Your employment contract can specify a longer notice period, but cannot legally require less than 60 days for indefinite contracts.

Notice period rules at a glance

SituationNotice requiredSalary owed
Employer terminates with noticeMinimum 60 days writtenFull salary throughout
Employer terminates without noticeNone given60 days salary in lieu
Employee resigns with noticeMinimum 60 days writtenFull salary throughout
Employee resigns without noticeNone givenEmployer may deduct 60 days salary
Gross misconduct (Article 80)No notice requiredNo notice pay owed

How to calculate your notice period salary

During the notice period your full salary continues \u2014 basic salary plus all contractual allowances. If your employer pays salary in lieu of notice instead of having you work the period, the calculation is straightforward:

Notice salary = Monthly salary \u00d7 2

For a 60-day notice period, you are owed 2 full months of your total salary (not just basic salary \u2014 all contractual components).

Example:

Total monthly salary SAR 8,000 (basic SAR 5,000 + housing SAR 2,000 + transport SAR 1,000)

Notice salary owed = SAR 8,000 \u00d7 2 = SAR 16,000

Note: Notice salary uses total salary. EOSB under Article 84 uses basic salary only. These are two separate calculations.

Fixed-term vs indefinite contracts

Article 75 notice period rules apply specifically to indefinite contracts. If you are on a fixed-term contract, the contract expires automatically at the agreed end date \u2014 no notice is required from either party at natural expiry. However, if your employer terminates a fixed-term contract before its end date without cause, you may be entitled to compensation for the remaining term.

When can an employer terminate without notice?

Saudi Labour Law Article 80 lists specific circumstances where an employer can terminate immediately without notice and without end of service benefit. These are narrow exceptions:

  • Physical assault on the employer or colleagues
  • Serious dishonesty or breach of trust
  • Repeated violation of written instructions after two written warnings
  • Absence without authorisation for more than 30 days in a year or 15 consecutive days
  • Disclosing confidential company information
  • Being found under the influence of alcohol or drugs at work

Notice period and your EOSB \u2014 how they interact

Your EOSB under Article 84 is based on your total years of continuous service and your basic salary at the time of termination. Whether notice was served, paid in lieu, or waived by mutual agreement does not change your EOSB entitlement.

What does affect your EOSB is whether you resigned or were terminated \u2014 and how many years you served. See our Saudi Arabia EOSB guide for the full Article 84 breakdown.

Common mistakes to avoid

1. Resigning verbally without written notice

Article 75 requires written notice. A verbal resignation can create disputes about your last working day and final settlement date.

2. Signing a resignation under pressure

Some employers pressure employees to resign rather than terminating them \u2014 because resignation reduces EOSB liability in the first 10 years. If you are being let go, insist on termination documentation.

3. Assuming notice pay uses basic salary only

Unlike EOSB which uses basic salary only, notice period compensation is based on your full contractual salary including housing and transport allowances.

4. Leaving before notice period ends

If you submit your resignation and leave before the 60-day period ends without mutual agreement, your employer can legally deduct the remaining notice days from your final settlement.

Frequently asked questions

What is the notice period in Saudi Arabia?

Under Saudi Labour Law Article 75, the minimum notice period is 60 days for indefinite contracts. Either party — employee or employer — must provide written notice at least 60 days before termination. Your contract may specify a longer period.

Do I get paid during my notice period in Saudi Arabia?

Yes. Your employment contract remains fully active during the notice period. You continue working and receiving your full salary including all allowances.

What happens if my employer terminates me without notice in Saudi Arabia?

If your employer terminates you without serving or paying in lieu of the notice period, you are entitled to compensation equal to your salary for the full notice period. This is enforceable at the Ministry of Human Resources and Social Development.

Can I resign without serving my notice period in Saudi Arabia?

If you resign without serving notice, your employer can deduct salary equivalent to the notice period from your final settlement. You can avoid this by mutual written agreement with your employer to waive the notice period.

Does notice period apply to fixed-term contracts in Saudi Arabia?

Fixed-term contracts in Saudi Arabia expire automatically at the end of the agreed term. Notice period rules under Article 75 apply to indefinite contracts. However, if a fixed-term contract is terminated before its end date, different compensation rules apply.

Can my employer terminate me immediately without notice in Saudi Arabia?

Yes, but only in cases of gross misconduct listed under Article 80 of the Saudi Labour Law — such as physical assault, serious dishonesty, or repeated violation of instructions after written warnings. In all other cases, full notice or payment in lieu is required.

Is the notice period the same for all employees in Saudi Arabia?

The minimum is 60 days under Article 75 for indefinite contracts. Your employment contract can specify a longer notice period. Always check your contract — some companies specify 90 days or more for senior roles.

Does serving notice affect my EOSB in Saudi Arabia?

No. Whether you serve notice or your employer pays salary in lieu, your end of service benefit under Article 84 is calculated based on your total years of service up to your last working day. Notice period does not reduce your EOSB entitlement.

Key Takeaways

  • \u2713 Minimum 60 days written notice for indefinite contracts (Article 75)
  • \u2713 Full salary continues throughout the notice period
  • \u2713 Termination without notice = 60 days salary compensation owed
  • \u2713 Notice salary is based on total salary \u2014 not just basic salary
  • \u2713 Notice period does not affect your EOSB calculation
  • \u2713 Fixed-term contracts expire at term end \u2014 no notice required

This guide is for informational purposes only and does not constitute legal advice. Always verify your entitlement with your HR department or a qualified Saudi labour lawyer. Legal reference: Saudi Labour Law, Article 75.