Implementing Regulations of the Saudi Labor Law
Key Provisions Affecting Salaries and Leave (2025)

A practical summary of the most impactful provisions related to salaries, working hours, and leave, with an implementation checklist.

Why Does This Matter to Employers

• Reduce labor disputes through unified internal policies.

• Improve compliance with salaries, leave entitlements, and overtime rules.

Key Provisions That Require Proper Control

• Working hours
  Define core working hours.
  Set rest periods.
  Maintain accurate attendance records.

• Overtime
  Obtain prior approvals.
  Apply clear and documented overtime compensation calculations.

• Annual and sick leave
  Define entitlement.
  Regulate carryover.
  Establish clear request and approval procedures.

• Special leave
  Maternity.
  Bereavement.
  Study leave.
  Apply strictly according to legal provisions.

• End of service
  Calculate end of service benefits accurately.
  Pay within the statutory time limits.

Quick Compliance Checklist

• Update the internal work regulations and employee handbook.

• Integrate payroll systems with attendance and leave records automatically.

• Document overtime approvals and deduction notices.

• Train supervisors on unified procedures.

Common Mistakes

• Failure to provide employees with an updated copy of the regulations or contract.

• Delayed salary payments or lack of electronic documentation for leave.

Disclaimer

This content is for general awareness only and does not constitute legal advice.