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Indefinite Employment Contract Template for Saudi Arabia

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Key Requirements PROMPT example:

Indefinite Employment Contract

"I need an Indefinite Employment Contract under Saudi law for a senior software developer position in our Riyadh office, starting March 1, 2025, with remote work provisions and intellectual property clauses for our technology company."

What is a Indefinite Employment Contract?

This Indefinite Employment Contract template is designed for use in establishing permanent employment relationships within Saudi Arabia's jurisdiction. It serves as a fundamental document for formalizing employment arrangements that have no fixed end date, incorporating all mandatory requirements under the Saudi Labor Law and related regulations. The contract is essential for companies operating in Saudi Arabia who are hiring permanent employees, whether Saudi nationals or expatriates. It includes provisions for all critical aspects of the employment relationship, from basic terms to complex regulatory requirements such as Saudization quotas and GOSI registration. The document reflects recent regulatory updates and reforms under Saudi Vision 2030, ensuring modern employment practices while maintaining legal compliance.

What sections should be included in a Indefinite Employment Contract?

1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant identification numbers

2. Background: Brief context of the employment relationship and reference to any preceding arrangements

3. Definitions: Key terms used throughout the contract

4. Appointment and Job Description: Position title, duties, responsibilities, and reporting relationships

5. Commencement and Duration: Start date and confirmation of indefinite term nature of the contract

6. Probation Period: Duration and terms of the probationary period as per Saudi Labor Law

7. Working Hours and Location: Regular working hours, days, and primary work location

8. Remuneration and Benefits: Base salary, allowances, and other benefits including housing, transportation, and medical insurance

9. Annual Leave and Public Holidays: Leave entitlements and public holiday provisions

10. Sick Leave: Sick leave entitlements and notification procedures

11. Obligations and Duties: Employee's general duties, confidentiality, and compliance requirements

12. Termination: Grounds and procedures for contract termination by either party

13. End of Service Benefits: Calculation and payment of end of service benefits

14. Governing Law and Jurisdiction: Confirmation of Saudi Law application and dispute resolution procedures

What sections are optional to include in a Indefinite Employment Contract?

1. Non-Competition: Restrictions on post-employment competition, used for senior positions or roles with access to sensitive information

2. Intellectual Property Rights: IP ownership provisions, relevant for creative or technical roles

3. Remote Work Provisions: Specific terms for remote working arrangements, if applicable

4. Commission Structure: Details of commission-based compensation, used for sales roles

5. International Travel: Terms for international travel and associated benefits, for roles requiring travel

6. Training Obligations: Specific training requirements and associated commitments, for roles requiring specialized training

7. Language Requirements: Language proficiency requirements and testing, for roles requiring specific language skills

8. Shift Work Provisions: Special terms for shift-based work patterns, used for roles involving shift work

What schedules should be included in a Indefinite Employment Contract?

1. Schedule 1 - Detailed Job Description: Comprehensive description of role, responsibilities, and performance expectations

2. Schedule 2 - Compensation Details: Detailed breakdown of salary components, allowances, and benefits

3. Schedule 3 - Company Policies: Key company policies that form part of the employment terms

4. Schedule 4 - Medical Insurance Coverage: Details of medical insurance benefits and coverage

5. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines

6. Appendix B - Safety Procedures: Workplace safety guidelines and procedures

7. Appendix C - IT Usage Policy: Rules and guidelines for use of company IT systems and equipment

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 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

Manufacturing

Technology

Financial Services

Healthcare

Education

Retail

Construction

Energy

Telecommunications

Professional Services

Hospitality

Transportation

Real Estate

Media and Entertainment

Relevant Teams

Human Resources

Legal

Finance

Operations

Administration

Compliance

Recruitment

Compensation and Benefits

Employee Relations

Training and Development

Relevant Roles

Chief Executive Officer

Department Manager

Senior Engineer

Marketing Specialist

Financial Analyst

Human Resources Officer

Sales Representative

Project Manager

Administrative Assistant

Technical Support Specialist

Research Analyst

Operations Manager

Customer Service Representative

Business Development Manager

Software Developer

Account Manager

Legal Counsel

Quality Assurance Specialist

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,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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