By Nader A.
January, 2025
Calculating End-of-Service Gratuity in Saudi Labor Law
The gratuity is calculated based on years of service and the final salary. An employee receives half a month's salary for each of the first five years of service and a full month's salary for each subsequent year. The gratuity is also applicable in cases of resignation or termination, and employees are protected from any agreement that would deprive them of it.
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