Employee Resignation & Notice Period Policy
Professionalism covers the entire journey, from recruiting to resignation. Resignation policy serves as a guide, ensuring that resignations are handled with professionalism and respect. It outlines resignation steps, notice period details, employment contract validation, response timing, and resignation withdrawal.
Created by
Naif O. Alawbathani
|
Human Resources Adviser
Written by HR experts Fully customizable Saudi labor law ComplaintShare the calculator with an HR college
What’s included in the resignation policy?
The resignation and notice period Policy meticulously establishes the comprehensive framework governing employee resignations, encompassing all procedural stages from initial submission through final settlement.
This crucial document explicitly details the mandatory procedures for formally submitting a resignation and precisely specifies the requisite notice periods applicable to employee classifications within the company.
Furthermore, it clearly articulates the company's legal prerogatives concerning the acceptance, potential postponement, and duration of the resignation process.
The policy further clarifies the specific conditions under which a delayed official response will be legally construed as acceptance of the submitted resignation.
To maintain flexibility, the resignation policy in Saudi Arabia also outlines the provisions and circumstances under which an employee may formally withdraw their resignation and potentially rejoin the team. Additionally, it addresses the ongoing validity and obligations of the existing employment contract throughout the notice period.
Finally, the resignation policy affirms the departing employee's fundamental entitlement to end-of-service benefits and the accurate final financial reconciliation upon his departure from the company.
Resignation Policy - Table of contents
1. Resignation
2. Notice Period
3. Employer's Right to Postpone Acceptance
4. Employer's Response Period
5. Withdrawal of Resignation
6. Additional Provisions
Why do you need a resignation policy?
Handling each resignation with utmost professionalism and integrity.
To uphold company reputation and minimize legal risks.
To maintain a positive relationship with departing employees.
Providing clarity and support to both departing and remaining employees.
How do you use the model?
Download the template and review the content.
Customize it with name, logo, specific rules using Jisri chatbot.
Include it in the employee handbook and add it to Jisr HRMS.
Ensure compliance by getting the Resignation policy reviewed by a legal/HR expert.
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FAQ
When can an employee resign without notice?
Based on article 81 of Saudi Labor Law, an employee can resign without notice in several specific situations:
If the employer fails to meet their fundamental contractual or legal obligations to the employee.
If the employer or their representative used deception regarding the job conditions when the contract was made.
If the employer, without the employee's agreement, assigns them work that is significantly different from what was agreed upon.
If the employer, or the direct manager commits an act of violence or an immoral act against the employee.
If the employer or the direct manager treats the employee with cruelty, injustice, or insult.
If a serious danger exists in the workplace that threatens the employee's safety or health, and the employer knows about it but doesn't take steps to remove it.
If the employer or their representative's actions, especially unfair treatment or contract violations, make it seem like the employee is the one ending the contract.
What are an employee's rights upon resignation?
Upon acceptance of resignation, the employee is entitled to the following saudi labor law resignation benefits:
A certificate of work experience that includes work start and end dates.
The return of all personal documents and certificates that the employee previously submitted to the company.
End-of-service benefits.
What is notice period?
A notice period is the designated time frame between announcing an employee's departure, whether through resignation or termination, and their final day of work. This crucial period establishes a clear timeline for the transition, ensuring a smoother process for both the employer and employee.
Resignation policy allows the company time to find a replacement and the departing employee an opportunity to prepare for his next career move. It is important for fostering positive relationships, managing expectations, and enabling a professional leave, benefiting organizational stability and individual career paths.
What is the notice period in Saudi Arabia?
According to Articles 75 and 76, the notice period Saudi Labor Law for terminating an indefinite term contract depends on the employee's wage payment schedule. If the employer terminates a monthly paid employee's contract, at least 60 days' written notice is required. If the employee terminates, the notice period should be 30 days.
For non-monthly paid employees, the notice period is a minimum of 30 days. Failure to observe this notice period obligates the breaching party to compensate the other with an amount equal to the employee's pay for the duration of the required notice, unless a greater compensation is mutually agreed upon.
What is a simple example of notice period?
Imagine Abdullah, who has worked at a company in Riyadh for three years. According to Saudi Labor Law, the minimum notice period for his employment duration is one month.
If Abdullah decides to resign, he would typically need to inform the employer at least one month before his intended last day of work. Similarly, if his employer were to terminate his employment, they would also be required to give him at least two month's notice. This is a simple example of a notice period in action, ensuring both parties have time to prepare for the transition.