Translation of the attached article:
Arbitrary dismissal is considered one of the most unfair and unjust practices a worker may face in the work environment, as it involves terminating their employment without any clear legal reasons or legitimate justification.
Due to its seriousness, the Saudi Labor Law has established financial entitlements and rights for the worker, known as arbitrary dismissal compensation, whereby the affected worker is compensated for any damage suffered as a result of this dismissal and unfair treatment without any legitimate justification.
In this article, we will explain what arbitrary dismissal compensation is, the rights obtained by the affected worker as a result of being dismissed and made redundant without justification, and how arbitrary dismissal can also be proven in order to obtain this compensation.
What Is Arbitrary Dismissal?
Arbitrary dismissal is the employer’s termination of the employment contract without a legal justification or legitimate reason that justifies such termination. The most prominent cases of arbitrary dismissal include:
- Dismissal without prior notice: Terminating the employment contract without giving the worker prior notice is one of the most common cases of arbitrary dismissal in indefinite-term employment contracts.
- Dismissal outside the cases of Article 80 of the Labor Law: This article specifies 9 cases in which the employer has the right to dismiss the worker, and in these cases the dismissal is lawful.
- Dismissal due to incompatibility between the employer and the worker: The employer may not dismiss the worker as a result of the worker exercising their legal rights, such as the right to express their opinion.
- Dismissal without a valid reason: In some cases, the employer may provide a reason for terminating the employment contract, but this reason may not be logical or justified.
If your service was terminated without prior notice, it is important to learn about whether an employee may be dismissed without warning, so that you know the cases in which the law allows ending the relationship without notice and when you can claim notice allowance or other rights.
Arbitrary Dismissal Compensation
In the case of arbitrary dismissal, the Labor Law guarantees that the arbitrarily dismissed worker receives certain legal rights that protect them and compensate them for the damage resulting from the dismissal. Below, we explain the rights that constitute arbitrary dismissal compensation for the dismissed employee as follows:
- Payment of delayed salaries: The employee has the right to receive all wages and salaries due up to the date of dismissal.
- Leave allowance: The employee is entitled to receive cash compensation for annual leaves not taken.
- Notice allowance: If the employee is not given prior written notice of dismissal, they have the right to receive a financial allowance equivalent to the notice period based on the contract.
- End-of-service benefit: This benefit is calculated according to the number of years of service and the last salary received, and it is calculated for each year of service.
- Service certificate: The employee obtains a certificate proving their period of service without referring to the reason for dismissal.
- Returning the employee’s documents: All tools and documents belonging to the employee should be returned by the employer.
- Receiving personal belongings and documents: The employee has the right to obtain a certificate proving their period of service without referring to the reason for dismissal.
- Compensation for the remaining period of the contract: Unless the contract includes a specific compensation for its termination by either party for an unlawful reason, the party harmed by the termination of the contract is entitled to compensation as follows:
Fifteen days’ wage for each year of the worker’s service, if the contract is indefinite-term.
The wage for the remaining period of the contract if the contract is fixed-term, provided that the compensation is not less than the worker’s wage for two months.
The worker’s rights upon service termination are not limited to compensation only; therefore, it is important to learn about employee rights in case of redundancy, so that you know the financial and legal entitlements that may be claimed when the employment relationship ends.
If your contract is fixed-term and was terminated before its expiry date without a legitimate reason, it is important to learn about terminating a fixed-term employment contract before its expiry, so that you understand the effect of termination on compensation and the entitlements resulting from the remaining period of the contract.
How to Prove Arbitrary Dismissal
A worker harmed by arbitrary dismissal may prove that they were arbitrarily dismissed through all means of evidence, including:
- Submitting work documents, such as the employment contract, complaints, and medical reports submitted by the worker to the employer.
- Testimony from some persons who are able to testify regarding the employer’s treatment of the worker.
- Phone call records, emails, or text messages through which arbitrary dismissal can be proven.
To obtain an initial estimate of the amount due upon termination of the employment relationship, you can use the end-of-service benefit calculator, based on the period of service, the reason for contract termination, and wage-related data.
Best Law Firm for Proving Arbitrary Dismissal Compensation
If you have been dismissed from your job and want to prove the arbitrary dismissal you experienced and obtain the rights guaranteed to you by law, Nawaf bin Awad Al-Harbi Law Firm and Legal Consultancy is your most suitable choice.
It includes a specialized team of lawyers who can prove arbitrary dismissal for the worker and ensure that they obtain their legal rights. The most prominent legal services provided by the firm include:
Providing Legal Consultations on Arbitrary Dismissal:
The firm provides legal consultations that help assess the legality of employment contract termination and clarify whether the case requires claiming compensation, while explaining the rights and obligations of both the worker and the employer according to the provisions of the Saudi Labor Law.
Studying the Case Position:
The firm studies all details of the dispute, including the employment contract, the reason for service termination, and the available documents, to determine the worker’s entitlement to compensation or the validity of the employer’s position.
Preparing Legal Claims for Compensation:
The team prepares the statement of claim and drafts legal claims related to arbitrary dismissal compensation accurately, while arranging the facts and attaching evidence and documents that support the client’s position before the competent authorities.
If you did not receive your rights after dismissal or if the dispute could not be resolved amicably, you may need to learn about how to file a case against a company, so that you can start claiming compensation and entitlements before the competent authority with the required procedures and documents.
Representation Before Labor Authorities and Courts:
The firm represents its clients during all stages of the dispute, whether in amicable settlement procedures or before the labor court, while following up on hearings, responding to legal defenses, and working to protect the client’s rights until the judgment is issued.
Before the arbitrary dismissal dispute reaches the labor court, it is important to learn about amicable settlement of labor disputes, so that you understand how to try to reach a solution and preserve your rights before completing litigation procedures.
Following Up on Judgment Enforcement:
The firm’s role is not limited to judgment issuance only; it also follows up on enforcement procedures and works to collect the awarded compensation and financial entitlements according to legal procedures to ensure that the client obtains all their rights.
Contact now with the best labor cases lawyer in Saudi Arabia to claim arbitrary dismissal compensation and protect your rights, with a study of the reason for contract termination, collection and assessment of evidence, calculation of your entitlements and legal compensation, and representation during amicable settlement and before the labor court until your rights are fulfilled according to the Saudi Labor Law.
Conclusion
Thus, we have explained what arbitrary dismissal compensation is and the rights obtained by the worker in the event of being arbitrarily dismissed and harmed without any legitimate reasons. Some employers may make their employees redundant and dismiss them without a legitimate reason justifying the dismissal. The Labor Law has established legal rights for workers in this case, and the worker’s arbitrary dismissal must be proven in order to obtain these rights. This requires the presence of a specialized lawyer who can prove it.
Frequently Asked Questions
When Is Dismissal from Work Considered Arbitrary Dismissal?
Dismissal is considered arbitrary if the employment contract is terminated without a legitimate reason permitted by the Labor Law, or in violation of the legal procedures or the conditions agreed upon in the contract. This is determined according to the circumstances of each case and the conclusion reached by the competent judicial authority.
How Is Arbitrary Dismissal Compensation Calculated?
The calculation of compensation differs according to the type of employment contract, the reason for its termination, and the circumstances surrounding the dispute. It is subject to the provisions stated in the Labor Law and what the competent court rules when hearing the case.
Does the Employer Have the Right to Terminate the Employee’s Contract Without Compensation?
The employer may terminate the employment contract in some cases permitted by the Labor Law. However, if the termination is carried out in violation of the law or without a legitimate reason, this may result in the employer being obligated to pay the compensation due to the worker according to what is determined by the regulations or the judicial judgment.
