Document background
The End of Contract Letter is a critical document in Saudi Arabian employment relations, required when formally concluding an employment relationship. It is typically used at the natural expiration of a fixed-term contract, mutual agreement termination, or other forms of employment conclusion. The document must comply with Saudi Labor Law (Royal Decree No. M/51) and subsequent amendments, particularly regarding notice periods, end-of-service benefits calculation, and final settlement procedures. This letter serves multiple purposes: it confirms the termination date, outlines final payments and benefits, addresses company property return, and may include important reminders about post-employment obligations. For expatriate employees, it may also address visa and sponsorship matters.
