Quick Summary
- Always check both the paper contract and the Qiwa registered contract
- The Arabic version of the Qiwa contract is legally binding
- Key items to verify: salary split, contract type, notice period, benefits, job title
- Any clause below Saudi Labour Law minimums is automatically void
- Never approve your Qiwa contract without reading it first
- Discrepancies between paper and Qiwa contract are a serious red flag
Why Contract Checking Matters So Much
Your employment contract is the foundation of every right you have in Saudi Arabia. What it says — or does not say — determines your salary, EOSB, notice period, benefits and protections. A contract signed without proper review is a contract that may cost you significantly when employment ends.
Many expats receive contracts in Arabic — a language they do not read — and approve them on Qiwa without verification. Others sign paper contracts that differ from what was verbally promised. This guide helps you avoid both traps.
The 10-Point Contract Checklist
Basic Salary vs Total Salary — Know the Split
The single most important figure in your contract. Your EOSB is calculated on basic salary only — not total salary. A contract offering SAR 10,000 total but only SAR 4,000 basic means your EOSB will be based on SAR 4,000. Verify the exact basic salary figure and what allowances make up the remainder. The split matters enormously for your long-term gratuity.
Contract Type — Fixed or Unlimited
Check whether the contract is fixed-term (with a specific end date) or unlimited (open-ended). Fixed-term contracts expire and give full gratuity on expiry — but also end without warning if not renewed. Unlimited contracts require notice from both sides. Confirm which type you have and what the end date is if fixed-term.
Probation Period — Length and Terms
Check whether probation is included, how long it is (maximum 90 days standard, 180 days with written agreement) and what terms apply. If no probation is mentioned in the contract, you are not on probation regardless of what you are told verbally.
Notice Period — Length for Both Sides
Verify the notice period stated in the contract. The legal minimum is 30 days (under 2 years service) or 60 days (2+ years service). Your contract can give more — but not less. Check whether the same notice period applies to both you and the employer, or if different periods apply to each side.
Annual Leave — Days and Calculation Basis
Confirm the number of annual leave days and that it meets the legal minimum (21 days for under 5 years, 30 days for 5+ years). Check whether leave salary is calculated on total salary — it should be. Some contracts incorrectly state leave is calculated on basic salary only — this is less than the legal minimum and the correct clause applies anyway.
Air Ticket Entitlement
Check whether an air ticket home is included as a benefit. Note whether it is annual, every two years or only at end of contract. Check if it covers dependents. Verify the class of travel — economy or business. If not in the contract, it is not guaranteed.
Housing and Transport Allowance
Confirm the housing and transport allowance amounts are clearly stated as fixed monthly amounts in the contract. "Housing provided" and "housing allowance of SAR 2,000" are very different — one is a service, one is cash. If the company provides accommodation, check what happens if you leave that accommodation.
Job Title and Role
Verify that the job title matches your actual role and what was discussed during the hiring process. A wrong job title on contract affects your iqama profession, your Nitaqat category and potentially your ability to obtain professional licences in Saudi Arabia.
Employment Start Date
Verify the start date is correct — this is your service start date for EOSB calculation. Even a few months' difference in start date affects your gratuity significantly over a long career. If you started working before the contract was formally signed, the actual start of work is your service start date.
Non-Compete and Restrictive Clauses
Check for any non-compete, non-solicitation or geographic restriction clauses. Saudi Arabia does enforce non-compete clauses but only within reasonable limits — specific time period, specific geographic area and specific industry. Overly broad non-compete clauses may not be enforceable but it is better to negotiate them before signing than challenge them later.
Red Flags — Contract Clauses to Challenge Before Signing
| Red Flag Clause | Why It Is a Problem | What to Do |
|---|---|---|
| "Salary is all-inclusive of overtime" | Attempts to waive overtime rights | Negotiate removal or ensure salary is genuinely adequate |
| "No EOSB if employee resigns" | Below legal minimum — void anyway | Void clause — legal entitlement still applies |
| "Notice period is 6 months" | Very long — may trap you if you want to leave | Negotiate down before signing |
| "Company may change role or location" | Gives employer power to alter your terms unilaterally | Request specific limits on what can be changed |
| Basic salary is very low vs total salary | Reduces EOSB and leave salary significantly | Negotiate higher basic before signing |
| No air ticket mentioned | Not automatically provided if not in contract | Request it be added before signing |
How to Verify Your Qiwa Contract
- Log into qiwa.sa with your iqama number
- Go to "My Contracts" and open your pending or active contract
- Download the PDF — this is the legally registered Arabic version
- Compare every figure to your paper offer letter: salary, allowances, contract type, start date, job title
- Use Google Translate or a trusted Arabic-speaking colleague to check key Arabic terms
- If anything differs from what was offered — do not approve. Contact HR for correction first.
- Only approve on Qiwa after all discrepancies are resolved
Frequently Asked Questions
My contract is only in Arabic and I cannot read it. What do I do?
Request an English translation from your employer — many companies provide bilingual contracts. If they do not, use a combination of Google Translate for the overall content and ask a trusted Arabic-speaking colleague to verify the key financial figures — salary, allowances, start date and contract duration. Do not approve until you understand what you are signing.
The verbal offer was different from what the contract says. What are my rights?
The written contract — specifically the Qiwa registered version — is what is legally binding. Verbal promises that differ from the written contract are very hard to enforce. If the written contract does not match what was verbally offered, do not sign and do not approve on Qiwa. Request the contract be amended to reflect what was actually agreed before proceeding.
Can I negotiate contract terms with a Saudi employer?
Absolutely — contract negotiation is normal and expected. Negotiate before signing — not after. Key negotiable items include: basic vs total salary split, annual leave days above the minimum, air ticket frequency, housing allowance amount and notice period length. Most employers expect some negotiation especially for professional and technical roles.
Want Your Contract Reviewed Before Signing?
Book a consultation to have your employment contract reviewed by someone with 20 years Saudi Arabia experience — identify red flags, understand your rights and negotiate from a position of knowledge.