Saudi Arabia has long welcomed expatriates who make significant contributions to its economy. Yet many expats face workplace challenges simply due to unawareness of their rights.
This guide explains the key rights of expatriates under the Saudi Labor Law (updated 2025) — from employment contracts to end-of-service benefits — to help you work confidently and legally in the Kingdom.
- Probation period: Maximum of 6 months; cannot be extended without consent.
- Working hours: 8 hours per day or 48 hours per week; overtime = 150% pay.
- Annual leave: 21 days (30 after 5 years of service).
- Sick leave: Up to 30 paid days per year with a medical certificate.
- Salary delay: Not more than 7 days after the wage period ends.
- End of service benefits (ESB): Half-month salary per year (first 5 years); full-month per year after that.
- Job transfer: Iqama transfer costs are borne by the new employer.
1. Employment Contracts
A written employment contract is mandatory for all expats.
It must include your job title, duration, salary, working hours, and benefits.
If you do not understand Arabic, you have the right to request an English copy.
2. Probation Period & Job Duties
- The probation period cannot exceed 6 months.
- Employers cannot assign additional tasks beyond what’s written in your contract unless you consent.
- During probation, either party can terminate the contract with proper notice.
3. Working Hours & Overtime Rules
Under Saudi Labor Law, standard hours are:
- 8 hours per day or 48 hours per week.
- Every worker is entitled to one full day of rest per week.
- Overtime pay is calculated at 150% of the normal hourly wage.
Employers must comply with these rules for both nationals and expatriates.
4. Salary & Wage Payment
Saudi Labor Law strictly regulates timely wage payment:
- Salaries must be paid within 7 days after the wage period.
- Payments should be in Saudi Riyals unless another currency is mutually agreed.
- Although no fixed minimum wage exists for expats, compensation must align with your employment contract.
5. Holidays, Sick Leave & Annual Leave
- Expats receive 21 days of annual paid leave, increasing to 30 days after 5 years with the same employer.
- Up to 30 paid sick leave days are allowed annually with a valid medical certificate.
- Expats also enjoy public holidays such as Eid Al-Fitr, Eid Al-Adha, and Saudi National Day.
6. End of Service Benefits (ESB)
When employment ends:
- You’re entitled to a gratuity based on service duration.
- First 5 years: ½ month’s salary per year.
- Beyond 5 years: 1 full month’s salary per year.
- If the employer terminates without a valid reason, you can claim full ESB + contractual compensation.
7. Health, Safety & Medical Insurance
Employers must:
- Provide a safe and hazard-free workplace.
- Offer mandatory health insurance for employees and dependents covering emergencies and treatments.
8. Job Switching & Iqama Transfer
As per new labor mobility reforms:
- Expats can switch jobs upon contract expiry or after proper notice.
- The new employer bears all Iqama transfer and sponsorship costs.
9. Disputes & Legal Recourse
If your employer violates Saudi labor law:
- You can file a complaint with the Labor Court under the Ministry of Human Resources and Social Development (HRSD).
- The court ensures fair trials and dispute resolution.
- Common violations include unpaid wages, forced overtime, and unjust termination.
Official Source: HRSD Saudi Labor Law Portal
10. Termination, Disability & Death Compensation
- If an employee dies or becomes disabled due to work, the Saudi government ensures compensation.
- Families of deceased workers are also eligible for end-of-service and insurance payouts.
FAQs
Yes, under new HRSD rules, expats can switch jobs after their contract ends or if the employer violates labor law (e.g., unpaid salary).
You can file a complaint through the HRSD portal. Salaries delayed beyond 7 days are a violation of Saudi labor law.
Yes, labor laws apply equally, 21 days minimum per year, extended to 30 after 5 years.
You can claim full ESB and extra compensation as per your contract under Saudi labor law.
Yes, every employer must provide valid health insurance for you and your dependents.
Conclusion
Knowing your rights under Saudi Labor Law helps you handle contracts, salaries, and job transfers with confidence. To manage everyday essentials tied to work and residency, set up your Absher account, make sure your address is correct via the National Address Locator, and stay connected from day one with our guide on how to buy a SIM card in Saudi Arabia. For a broader relocation context, see the major cities in Saudi Arabia—area, population & cost of living so you can plan where to live and what to budget.
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Rosa Gardens is a writer at Saudi Scoop, dedicated to delivering insightful and engaging content. With a keen eye for detail and a passion for storytelling, Rosa covers various topics that inform and inspire readers.
