Want to know your financial entitlements when your employment ends without having to perform complicated calculations?
The Saudi Labor Calculator helps you estimate your employment-related entitlements in accordance with the Saudi Labor Law.
In this article, we explain how to use the calculator and how key employment entitlements are calculated.
The Labor Calculator is an official online service provided by the Saudi Ministry of Justice to help employees and employers calculate employment-related financial entitlements in accordance with the Saudi Labor Law.
The service works by allowing users to enter details of the employment relationship, such as the employment contract’s start and end dates, salary, unused annual leave balance, overtime hours, and applicable statutory deductions, if any.
Based on the information entered, the calculator can estimate various financial entitlements, including end-of-service benefits, unpaid wages, unused leave compensation, overtime pay, and compensation for unlawful termination of an employment contract where applicable.
This service simplifies the calculation of employment-related entitlements, promotes awareness of labor regulations, and helps reduce calculation errors.
Employee entitlements upon termination of employment are calculated in accordance with the Saudi Labor Law, based on several essential factors, including:
Based on these details, the employee’s financial entitlements may include end-of-service benefits, wages owed for days worked, compensation for unused annual leave, overtime pay, and any compensation prescribed by law in certain cases of contract termination.
To simplify this process, the Saudi Ministry of Justice provides the Labor Calculator, which enables users to estimate these entitlements electronically in accordance with the applicable legal provisions.
However, the results are estimates based on the information entered. In the event of a dispute, the Saudi Labor Law and the decisions of the competent judicial authorities remain the governing legal references.
Overtime pay is calculated in accordance with Article 107 of the Saudi Labor Law.
For each overtime hour worked, an employee is entitled to compensation equivalent to the hourly wage plus an additional 50% of the basic hourly wage.
Hours worked beyond the applicable statutory daily or weekly working limits are generally considered overtime, subject to the relevant legal provisions.
Work performed during official holidays and public holidays is also treated as overtime and is subject to the applicable compensation rules.
Under the law, the employer may also grant paid compensatory leave instead of overtime pay with the employee’s consent, subject to the implementing regulations.
To calculate these entitlements accurately, employees may use the official Labor Calculator by entering their salary and overtime details.
The accuracy of the estimate depends on the information provided and the application of the relevant provisions of Saudi labor legislation to each individual case.
The Labor Calculator provides an easy-to-use electronic interface that helps employees estimate their financial entitlements under the Saudi Labor Law.
To use the service:
| Comparison | Labor Calculator | End-of-Service Benefits Calculator |
|---|---|---|
| Definition | A tool for calculating various employment rights and financial entitlements under the Saudi Labor Law. | A specialized tool for calculating end-of-service benefits only. |
| Purpose | Estimating an employee’s total financial entitlements when employment ends or when financial claims arise. | Determining the amount of end-of-service benefits payable based on length of service and the reason for contract termination. |
| What Does It Calculate? | End-of-service benefits, unpaid wages, unused leave balances, compensation, and notice-related entitlements where applicable. | End-of-service benefits only. |
| Required Information | Various details, such as salary, length of service, type of claim, and relevant entitlement dates. | Last wage, employment start and end dates, contract type, and reason for termination. |
| Scope of Use | Suitable for employees and employers seeking to estimate different employment-related entitlements. | Suitable for individuals who only need to calculate end-of-service benefits. |
| When Is It Used? | When an employment dispute arises or when a comprehensive estimate of financial entitlements is needed. | When calculating benefits following resignation, dismissal, contract expiration, or retirement. |
| Comprehensiveness of Results | Provides estimates covering multiple employment entitlements, depending on the selected calculation and applicable legal provisions. | Provides an estimate limited to end-of-service benefits without calculating other employment entitlements. |
To obtain more accurate results when using the Labor Calculator, it is important to follow several recommendations.
Key tips include:
Tips Before Using the Labor Calculator
Yes. The Labor Calculator is an official electronic service provided by the Saudi Ministry of Justice to help users estimate employment-related financial entitlements in accordance with the Saudi Labor Law.
No. The calculator provides estimated results based on the accuracy of the information entered.
In the event of a dispute, the applicable provisions of the Saudi Labor Law and the decisions of the competent judicial authorities determine the parties’ legal rights and obligations.
Yes. The calculator allows users to estimate end-of-service benefits alongside other financial entitlements, including unpaid wages and compensation for unused annual leave.
Yes. The Labor Calculator includes an overtime pay calculation function based on the applicable provisions of the Saudi Labor Law.
Yes. The calculator can be used to estimate entitlements arising from fixed-term and indefinite-term employment contracts.
The results depend on the information entered, including the contract type and the reason for termination of employment.
Yes. The calculator can help estimate compensation for accrued but unused annual leave and calculate leave entitlements during the employment period, based on the relevant information provided.
The calculator may require information such as the employment contract type, employment start and end dates, salary, reason for termination, unused annual leave balance, overtime hours, and applicable statutory deductions, depending on the calculation selected.
In conclusion, the Saudi Labor Calculator is a valuable tool for estimating employees’ financial entitlements in accordance with the Saudi Labor Law.
However, it remains important to consult the competent authorities or obtain specialized legal advice if any disagreement arises regarding the amounts owed.
If you need legal advice regarding employee entitlements or an employment dispute, you can Request a Legal Consultation or Contact Us on WhatsApp.
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