The Termination Letter With Cause is a critical document used when an employer in Saudi Arabia needs to formally end an employment relationship due to specific violations, misconduct, or other legally justified reasons. This document must strictly comply with Saudi Labor Law (Royal Decree No. M/51) and related regulations, particularly Article 80 which outlines legitimate grounds for termination. The letter serves multiple purposes: it officially communicates the termination decision, documents the specific cause(s) for termination, outlines the final settlement terms, and establishes a legal record of the employment termination. It should be used when there is clear evidence of employee misconduct, repeated violations, or other grounds specified in Saudi Labor Law that justify immediate termination. The document typically includes references to previous warnings (if any), specific incidents, and relevant company policies.
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1. Letter Header and Date: Company letterhead, date, and reference number
2. Employee Information: Full name, employee ID, position, and department of the employee
3. Subject Line: Clear indication that this is a termination letter
4. Termination Statement: Clear statement of employment termination and effective date
5. Cause for Termination: Specific reason(s) for termination, referencing relevant incidents or violations
6. Legal Basis: Reference to relevant articles of Saudi Labor Law and company policies justifying the termination
7. Final Settlement: Information about final salary, end-of-service benefits, and other entitlements
8. Company Property: Instructions for returning company property and documents
9. Closing: Formal closing, signature block for authorized signatory
1. Confidentiality Reminder: Include when employee had access to sensitive information or trade secrets
2. Non-Compete Clause: Include when employee is bound by existing non-compete agreements
3. Handover Instructions: Include when employee needs to transfer ongoing projects or responsibilities
4. Exit Interview: Include when company policy requires an exit interview
5. Legal Notice: Include when there are specific legal proceedings or investigations pending
6. Appeal Process: Include when company policy allows for appeals of termination decisions
1. Incident Reports: Documentation of specific incidents or violations leading to termination
2. Previous Warnings: Copies of any previous written warnings or disciplinary actions
3. Final Settlement Calculation: Detailed breakdown of final payment including salary, benefits, and deductions
4. Company Property Checklist: List of company items to be returned
5. Exit Clearance Form: Checklist for departmental clearances before final settlement
Relevant legal definitions
Clauses
Relevant Industries
Banking & Financial Services
Manufacturing
Healthcare
Technology
Retail
Construction
Oil & Gas
Professional Services
Education
Telecommunications
Hospitality
Transportation & Logistics
Real Estate
Media & Entertainment
Government & Public Sector
Relevant Teams
Human Resources
Legal
Compliance
Employee Relations
Operations
Senior Management
Administration
Corporate Services
Relevant Roles
HR Director
HR Manager
Legal Counsel
Department Manager
Line Manager
Compliance Officer
HR Business Partner
Employee Relations Manager
Chief Human Resources Officer
Legal Director
Operations Manager
General Manager
Managing Director
Chief Executive Officer
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