If you work in Saudi Arabia's private sector and plan to resign, your end-of-service award is not always paid in full. The Labor Law ties your share to your continuous service, with exceptions where the full award is due. You can work out your figure with our end-of-service calculator.
1. How the full award is calculated
Under Article 84, the award is half a month's wage for each of the first five years and a full month's wage for each year after, based on the last wage, with parts of a year counted pro rata.
2. Your share when you resign (Article 85)
| Service | Share | Example on SAR 10,000 |
|---|---|---|
| Under 2 years | Nothing | SAR 0 |
| 4 years | One third | 1/3 of 20,000 ≈ SAR 6,667 |
| 7 years | Two thirds | 2/3 of 45,000 = SAR 30,000 |
| 10 years | Full | 25,000 + 50,000 = SAR 75,000 |
3. When resignation still earns the full award
Article 87 makes the full award due if the worker leaves because of force majeure beyond their control, or if a female worker ends her contract within six months of marriage or three months of giving birth.
4. What changed in the 2025 amendments?
The Labor Law amendments in force since 19 February 2025 set out how a resignation is submitted and accepted, and its effective date fixes the length of service counted. They did not change how the award is calculated under Articles 84 to 88.
5. When is it paid?
Dues must be paid within two weeks when the worker ended the contract, and within one week in other cases (Article 88).
Enter your wage and dates in the calculator for an exact figure, and follow our jobs and labour law coverage.