My Life in Saudi

  In Saudi Arabia, employment relationships are governed by the Saudi Labor Law, which provides protection for both employers and employees. One of the most discussed—and sometimes misunderstood—provisions is Article 77 , which addresses the termination of employment contracts with compensation . Whether you’re an expat employee, a local worker, or an employer trying to understand your rights and responsibilities, this guide will help you understand the implications of Article 77 , when it applies, how compensation is calculated, and how it affects job security in the Kingdom. 🔍 What Is Article 77 of the Saudi Labor Law? Article 77 outlines the conditions under which an employment contract can be terminated by either party (employer or employee) without an illegal reason— as long as compensation is paid . The clause exists to give both sides the freedom to terminate the contract early if fair monetary compensation is offered. It provides a mutual exit strategy when no se...