The law provide that an employee be in probation for three months before releasing him or her from the company. On many occasions an employee may need to issue a notice of contract termination, this depending on terms of contract. A fixed contract cannot be terminated unless a mutual agreement is reached by the two parties. Or the employer will have to pay the employee all the salary for the remaining period of time or at least salary for two months, depending on condition of termination.
According to: Article 75 of the Saudi Labor Laws (01/01/1437), In case of an undefined contract the employee is advised to issue a 60 or 30 days’ notice that should be effected in 30 days.
Indefinite contract is a contracted that is not terminated by the employer at the end of the contract, or any contract renewed without the employer’s for three consecutive times or for a period exceeding three years.
Unlike other contracts an indefinite contract expires on date of Iqama expiry. At this point any party is at liberty to terminate the contract without any legal consequences. And the employer is only liable to pay for the time you have worked for.
If you are a new worker in Saudi Arabia and your sponsor has not provided you with the Iqama or Muqeem within the first three months, you have the right to transfer the sponsorship to another company without the approval of Kafeel.
If you do not get salary for three months you can also transfer your sponsorship without your current sponsor’s approval.
If your employer fall under Red or yellow category you can also transfer sponsorship without approval from the Kafeel. Any company failed in wage protection laws and regulations of the Ministry of Labor, its employees will have to transfer their sponsorship, and if their current employer is in green category they are allowed in any individual company.
All the above employees must also contact the Labor office for assistance and legal advice.
The Saudi government through the Ministry of Labor has blocked private sectors from transferring employees at a short notice. Such transfer sponsorships made under brief notice are commonly known Nagl kafala. Now a private sector can only apply to request for transfer of Naql kafala only once in a period of three months. This are the new regulations from the Ministry of Labor reported in most local Medias.
Ministry has stressed that such request will take at least three months to be processed, during this period no new requests can be accepted by the ministry from the same company.
Ministry is keen on ensuring that request for sponsorship does not lead to degradation of Nitaqat category such that if the company is in a ‘green’ zone conditions and a transfer sponsorship is aimed at demotion of a staff to a lower Nitaqat category then such request will not be accepted.
Ministry has also pronounced staunch and stiffer rules that only those employee with Iqama and valid work permits will be allowed to seek sponsorship transfer. Therefore the Ministry will not allow requests from people who have been working without permits or have invalid permits or papers for the last three months.
In the past when such rules were made such as the labor Ministry wage protection bill, those companies and firms which could not adhere or implement the said regulations were allowed to sell their companies or transfer to other firms with no first employees’ authorization.