How to Navigate Saudi Arabia’s Labour Law for Expat Workers
If you’re planning to work in Saudi Arabia as an expat, you’re probably wondering how to deal with all the legalities. Questions like “How do contracts work?”, “What happens if I want to leave my job?”, or even “What are my rights as an expat?” may be buzzing around your head. The good news? Understanding Saudi labour laws isn’t as intimidating as it seems. With the right information, you can navigate the system with confidence and avoid unnecessary headaches. Let’s break it down step by step.
Key Features of Saudi Arabia’s Labour Law
The Kafala System
First up, the Kafala system. In Saudi Arabia, you need a sponsor—usually your employer—to work legally. This sponsorship ties your work and residency status to the employer. If you want to switch jobs, the system might require you to transfer your sponsorship.
But there’s good news: reforms in recent years have relaxed some of these restrictions. For instance, in certain cases, you can change jobs without the sponsor’s permission. Always double-check these rules with an expert.
Employment Contracts
A solid contract is everything.
- Contracts can either be fixed-term (specific duration) or indefinite (ongoing).
- Ensure it’s written in both Arabic and English, so there’s no room for misinterpretation.
- Double-check the contract for clear terms on salary, working hours, and benefits.
If it’s not in the contract, it’s not official—so don’t rely on verbal promises.
Working Hours and Overtime
Here’s the deal:
- The legal workweek in Saudi Arabia is 48 hours (8 hours a day, 6 days a week).
- During Ramadan, Muslim employees work 6 hours daily.
- Overtime is paid at 150% of your regular wage.
Keep an eye on your hours to ensure you’re compensated fairly for extra work.
Wages and Benefits
Saudi Arabia ensures workers get their dues.
- Paychecks must be delivered on time.
- You’re entitled to paid annual leave (21 to 30 days, depending on your tenure).
- At the end of your service, you’ll receive an end-of-service gratuity, calculated based on your final salary and years of work.
Rights and Responsibilities of Expat Workers
You’ve got rights, and you’ve got responsibilities.
Your Rights:
- A safe and respectful workplace.
- Timely payment of wages.
- Leave benefits, including sick leave and annual leave.
Your Responsibilities:
- Show up on time, and follow workplace rules.
- Respect local customs and laws.
- Fulfil the duties outlined in your contract.
Failing to meet your obligations could lead to contract termination or legal action.
Termination of Employment
Ending a job can feel tricky, but the law has got you covered.
Employer-Initiated Termination:
- Valid reasons for termination include poor performance or misconduct.
- The employer must give proper notice (30 to 60 days).
Employee-Initiated Termination:
- You can quit after giving the required notice period (usually 30 days).
- If the employer breaches the contract, you might be able to leave without notice.
Got fired unfairly? Don’t panic—you can challenge the decision through the labour courts.
Navigating Disputes and Legal Issues
Things don’t always go smoothly, but you’ve got options:
- Start with mediation: Many disputes can be resolved informally.
- If that doesn’t work, escalate to the Ministry of Human Resources and Social Development (MHRSD).
- Labour courts are your final option for serious issues.
Tip: Document everything. Emails, contracts, and payslips could save you in a dispute.
Visa and Residency Requirements
To work in Saudi Arabia, you need two things:
- A work visa.
- An Iqama (residency permit).
Keep these in mind:
- You can’t legally work without an Iqama.
- Employers are responsible for processing and renewing your visa and Iqama.
- If you change jobs, your Iqama needs to reflect your new sponsor.
Common Challenges for Expats
Adjusting to life and work in Saudi Arabia can come with hurdles:
- Cultural Differences: Understand and respect local customs to fit in smoothly.
- Language Barriers: Learn a few basic Arabic phrases to make communication easier.
- Workplace Dynamics: Be adaptable and open to new ways of working.
Practical Tips for Navigating the Labour System
- Do your homework: Research your employer and read the contract carefully.
- Stay updated: Labour laws change frequently, so keep tabs on new regulations.
- Build a network: Connect with expat communities for support and advice.
- Seek professional help: When in doubt, consult a legal expert or your embassy.
FAQs: Common Questions About Saudi Labour Law
Q: Can I switch jobs without my sponsor’s permission?
A: Yes, under certain conditions, like if your contract has expired.
Q: How is overtime calculated?
A: You’ll earn 1.5 times your regular hourly wage for overtime work.
Q: What happens if my employer doesn’t pay me on time?
A: Report the issue to the Ministry of Human Resources for assistance.
Q: How long does it take to transfer sponsorship?
A: It varies, but typically within a few weeks once all documents are in order.
Conclusion
Understanding Saudi Arabia’s labour law isn’t just about following rules—it’s about protecting yourself and setting up for success. From knowing your rights to navigating disputes, staying informed is your best defence against complications.
Got questions? Don’t hesitate to connect with experts or your expat network. A little preparation goes a long way in ensuring a hassle-free work experience in the Kingdom.

Sohail Ahmed is the Chief Executive Officer at Greenland Overseas Employment Agency, where he leverages over two decades of industry expertise to drive strategic growth and international recruitment excellence. Known for his visionary leadership and commitment to ethical practices, Sohail has successfully expanded the agency’s global footprint, establishing robust partnerships and ensuring high standards of client and employee satisfaction.