Saudi Labor Law Amendments 2025: What Changed? And What Employers Must Do Now?
- Elaqat Team
- Sep 8
- 2 min read
Saudi Arabia’s Ministry of Human Resources and Social Development (MHRSD) brought a wide package of Labor Law reforms into force in mid-February 2025. In total, 38 articles were amended, seven repealed, and two new provisions introduced an overhaul aimed at job stability, market efficiency, and alignment with Vision 2030.
Headline Changes (Practical Summary)
1) Leave & Family Support
Maternity leave extended to 12 weeks on full pay, with six weeks mandatory after childbirth. The remaining six weeks can be allocated flexibly, including up to four weeks before the expected due date. Several commentators also note expanded bereavement entitlements, including three days for the death of a sibling.
2) Overtime Options
Employers may now, with the employee’s consent, grant compensatory paid leave in lieu of overtime pay a formal “time-off-in-lieu” path that needs to be documented and managed against clear timelines.
3) Notice Periods for Indefinite Contracts
For open-ended contracts, the employee’s notice may be 30 days, while the employer’s notice remains 60 days a split that clarifies expectations and helps planning on both sides.
4) Probation
The probation period can be set up to 180 days (previously 90 in most cases), provided it is specified in the contract and applied consistently with the law and implementing regulations.
Note: Additional technical changes (e.g., resignation mechanics, inspector powers, outsourcing, and template contracts on Qiwa) may also affect HR workflows and documentation; your exact obligations depend on contract type, workforce profile, and sector.
What Employers Should Do Next (Action List)
Update employment contracts & handbooks to reflect notice periods, probation rules, and overtime options.
Refresh leave policies to capture the 12-week maternity framework, pre-birth flexibility, and bereavement entitlements.
Align payroll & HRIS to track compensatory leave in lieu of overtime and ensure timely accrual/usage.
Train HR and managers on resignation/termination workflows and documentary requirements.
Audit compliance against the new rules (contracts, policy language, and Qiwa templates) and keep a change log for inspections.
Frequently Asked Questions
When did the 2025 changes take effect? Mid-February 2025 (public announcements reference Feb 19).
What’s the biggest operational shift? The combination of 12-week maternity leave (with mandated postnatal period) and the option to grant time-off-in-lieu for overtime will require immediate policy and payroll updates.
Do existing contracts need amending? Typically yes—particularly clauses on notice, probation, overtime, and leave; plus any internal policy references that conflict with the new framework.
Legal Support from Elaqat Law Firm
Implementing these changes correctly protects both your business and your employees. Elaqat Law Firm can review and update your employment contracts and handbooks, redesign leave and overtime policies, align your termination and resignation workflows, and advise on Saudization strategy and women’s workforce participation—ensuring full compliance with the 2025 amendments.
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