Saudi Arabia's end-of-service award (Article 84) is one of the most generous in the Gulf for long service — but the resignation rules (Article 85) are the strictest. Understanding both before you hand in your resignation can be worth months of salary.
The award is based on your last actual wage — basic salary plus fixed allowances like housing. You earn half a month of wage for each of the first 5 years and one full month for every year after. A 10-year employee therefore earns 2.5 + 5 = 7.5 months of wage.
If your employer ends the contract, you receive the full award. If you resign: under 2 years you receive nothing; 2–5 years one third; 5–10 years two thirds; only after 10 years do you receive the full award. Resigning at 9 years and 11 months instead of waiting one month costs a third of everything.
Special cases: a woman who leaves within 6 months of marriage or 3 months of childbirth receives the full award. Dismissal for gross misconduct under Article 80 can forfeit the award entirely. Force majeure ending of the contract pays the full award.
Run your dates through our Saudi gratuity calculator with both "resigned" and "terminated" selected — if the difference is large, timing your exit is a financial decision, not just a career one.