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Co Employment Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Co Employment Agreement

"I need a Co-Employment Agreement for a senior software developer who will be shared between our Saudi-based tech company and our UAE consulting subsidiary, starting March 1, 2025, with 60% time allocation to Saudi operations and 40% to UAE projects."

Document background
The Co-Employment Agreement is designed for situations where an employee's services are required by multiple employer entities in Saudi Arabia. This arrangement is common in joint ventures, shared service centers, or when specialized expertise needs to be distributed across different corporate entities. The document ensures compliance with Saudi Labor Law while establishing clear frameworks for shared employment responsibilities, including compensation structures, benefit allocations, working time arrangements, and reporting hierarchies. It addresses key regulatory requirements such as Saudization quotas, social insurance obligations, and workplace safety standards. The agreement is particularly crucial in protecting the rights of all parties involved while maintaining transparency in complex employment relationships within the Saudi Arabian legal framework.
Suggested Sections

1. Parties: Identification of all parties: Primary Employer, Secondary Employer(s), and Employee

2. Background: Context of the co-employment arrangement and business rationale

3. Definitions: Key terms used throughout the agreement, including specific Saudi legal terminology

4. Term and Employment Status: Duration of the agreement and employment classification under Saudi law

5. Roles and Responsibilities: Specific duties of each employer and the employee's reporting structure

6. Compensation and Benefits: Salary, allowances, and benefits structure, including which employer is responsible for what portion

7. Working Hours and Location: Work schedule, location(s), and time allocation between employers

8. Leave Entitlements: Vacation, sick leave, and other leave types as per Saudi Labor Law

9. Confidentiality and Data Protection: Protection of confidential information of all parties

10. Non-Competition and Loyalty: Employee's obligations regarding competitive activities and loyalty to both employers

11. Health and Safety: Workplace safety responsibilities and compliance with Saudi regulations

12. Termination: Conditions and procedures for ending the co-employment arrangement

13. Governing Law and Jurisdiction: Application of Saudi law and dispute resolution procedures

14. General Provisions: Standard clauses including amendments, notices, and severability

Optional Sections

1. International Travel: Include when role requires travel outside Saudi Arabia, covering visa arrangements and international assignments

2. Intellectual Property Rights: Include when employee will be involved in creative or technical work, specifying ownership between employers

3. Training and Development: Include when specific professional development programs are offered, detailing cost sharing between employers

4. Commission Structure: Include for sales or performance-based roles with variable compensation

5. Secondment Provisions: Include when employee may be seconded to other entities or locations

6. Remote Working Arrangements: Include when role involves regular remote work, specifying technical support and expenses

7. Special Projects: Include when employee will be assigned to specific projects with defined deliverables

Suggested Schedules

1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and reporting lines for each employer

2. Schedule 2 - Compensation Details: Breakdown of salary, benefits, and allocation between employers

3. Schedule 3 - Company Policies: Applicable policies from each employer that the employee must follow

4. Schedule 4 - Time Allocation: Detailed breakdown of working hours and time distribution between employers

5. Schedule 5 - Benefits Package: Comprehensive list of benefits and responsible employer for each

6. Appendix A - Required Documents: List of necessary documents for compliance with Saudi Labor Law

7. Appendix B - Health and Safety Procedures: Specific safety protocols for each workplace

8. Appendix C - Dispute Resolution Procedures: Detailed procedures for handling disputes between parties

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































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Relevant Industries

Technology

Professional Services

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Relevant Teams

Human Resources

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Information Technology

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Business Development

Strategy

Quality Assurance

Training and Development

Project Management Office

Corporate Communications

Compliance

Relevant Roles

Project Manager

Technical Consultant

Research Scientist

Business Development Manager

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Operations Director

HR Specialist

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IT Systems Engineer

Sales Executive

Product Manager

Training Coordinator

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Strategic Planning Director

Chief Technology Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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