End of Service Gratuity: 7,000 SAR for 8 Years (on Contract End / Employer Termination) | Saudi Arabia

Detailed statutory calculation of gratuity for 7,000 SAR basic salary after 8 years of service in Saudi Arabia (on Contract End / Employer Termination) per Saudi Labor Law (Arts 84, 85, 87) & GOSI.

Total Calculated Gratuity
38,500.00 SAR
Saudi Labor Law (Articles 84 & 85)

Statutory Calculation Breakdown

Country & Jurisdiction Saudi Arabia (Saudi Labor Law (Arts 84, 85, 87) & GOSI)
Monthly Basic Salary 7,000.00 SAR
Length of Continuous Service 8 Years
Termination Cause on Contract End / Employer Termination
First 5 Years (0.5 month/yr)17,500.00 SAR
Subsequent Years (1.0 month/yr)21,000.00 SAR
Full Base Entitlement38,500.00 SAR
Final Payable Severance 38,500.00 SAR

Severance Comparison: Termination vs Resignation

Termination Scenario Entitled Gratuity % of Full Base
Contract End / Employer Termination 38,500.00 SAR 100%
Employee Resignation 25,666.67 SAR 100%

Difference between termination and resignation: 12,833.33 SAR