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* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.
Saudi Arabia consistently ranks among the top 20 global economies, contributing a significant 25% to the total GDP of Arab nations. With a quarter of the world's oil reserves, it holds a crucial position in the Organization of the Petroleum Exporting Countries (OPEC).
The estimated 263 billion barrels of oil reserves in Saudi Arabia ensure its status as a major oil supplier for the next century. Additionally, the country is emerging as a prominent global producer of both precious and industrial metals.
The Saudi Arabian Vision 2030 initiative aims to enhance economic diversification by investing in public health, education, infrastructure, and tourism.
Saudi Arabia's education system strategically equips the youth for international business by teaching English as a second language, aligning with the prevalent use of English in the country's business sector.
In Saudi Arabia, it is mandatory to have a formally signed employment agreement between the employer and employee. These contracts must include basic employment details, such as:
The duration of probationary periods in Saudi Arabia is based on the terms specified in the employment contract. Typically lasting for 90 days, these periods can be extended through written consent from both the employer and the employee, with the extension not surpassing 180 days.
In Saudi Arabia, a standard workweek consists of 8 hours per day over 5 days, totaling not more than 48 hours weekly. However, during the Ramadan period, daily working hours may be reduced to 6 hours.
The Saudi Labour Law (Article 148) prohibits employees from working more than 11 hours per day. Overtime, compensated at 150% of the regular salary, is applicable for work beyond standard hours, including on weekly rest days, holidays, and national holidays (Article 51).
The monthly minimum wage of public sector employees in Saudi Arabia is 4,000 SAR. There is no specified minimum wage for the private sector.
13-month payments in Saudi Arabia are not obligatory, but employers have the choice to issue performance-based bonuses as they see fit.
Saudi Arabia does not impose any income tax.
To qualify for Saudi Arabia's old-age retirement pension, individuals must be at least 58 years old and have contributed for a minimum of 120 months to the General Organization for Social Insurance (GOSI). Those with 300 months of contributions are eligible for retirement at any age, and the minimum monthly old-age state pension is 1,984 SAR.
The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Saudi Arabia tailored to your needs.
In Saudi Arabia, the termination procedure must be clearly outlined in writing, aligning with the terms of the employment agreement, and is based on the contract type and the reason for termination. This may potentially include the termination of visa sponsorship. Acceptable circumstances for termination include:
The notice period in Saudi Arabia varies based on the following types of employment contract:
End of Service Gratuity (EOSG) is granted upon termination. For employer terminations, the calculation involves adding half a month's salary for the first 5 years and 1 month's wage for each subsequent year of service. Fractional years are compensated based on the last salary. In case of employee resignation, the entitlement is as follows:
Saudi Arabia acknowledges four public holidays each calendar year, which are separate from the regular annual leave. The following are the national public holidays in Saudi Arabia:
Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.
By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.
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