Remote’s guide to employing in

Saudi Arabia
saudi-arabia flag

With localized contracts, easy invoice management, and best-in-class compliance, you can grow your team in Saudi Arabia with confidence. Currently, you can hire and manage contractors in Saudi Arabia through Remote, but our EOR services are not yet live.

  • Capital City


  • Currency

    Saudi riyal (﷼, SAR)

  • Languages


  • Population size


Services available in this country:
Contractor Management
Saudi Arabian mosque

Facts & Stats

Saudi Arabia
  • Capital City


  • Currency

    Saudi riyal (﷼, SAR)

  • Languages


  • Population size


  • Ease of doing business


  • Cost of living index

    49.95 (2021)

  • Payroll frequency


  • VAT - standard rate


  • GDP - real growth rate

    0.3% (2019)

Grow your team in Saudi Arabia with Remote

Looking to employ workers in Saudi Arabia? Companies hiring in Saudi Arabia must either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Saudi Arabia and keep you compliant at all times. Remote can hire, onboard, and pay your team in Saudi Arabia so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Saudi Arabia. to get started or talk to an expert for more details.

Risks of misclassification

Saudi Arabia, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Saudi Arabia may lead to fines and penalties for the offending company.

Employing in Saudi Arabia

Provisions for employee protections and workers’ rights are spelled out in the Saudi Arabian Labor Law of 2006 and are enforced jointly by the Ministry of Labor and the Ministry of Human Resources and Social Development.

Employees in Saudi Arabia enjoy protection against discrimination based on age, religion, and race.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Saudi Arabia.

Minimum wage

The monthly minimum wage in Saudi Arabia is fixed at 4,000 SAR or roughly $1,066.

Payroll cycle

Wages can either be paid on a weekly or monthly basis.

Effortless HR in Saudi Arabia: Take the Tour

Seamlessly Manage Your Workforce, from First Hire to Final Paycheck

Competitive benefits package in Saudi Arabia

At Remote, we’re passionate about helping you craft the best possible employee experience for your team. We are leading the way in developing globally competitive benefits programs. This means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive, and your company has the localized expertise needed to attract and keep the best global talent.

Our benefits packages in Saudi Arabia are tailored to fulfill the local needs of employees. Typically, our packages contain some or all of the following benefits:

  • Health Insurance

  • Dental Insurance

  • Vision Insurance

  • Mental Health Support

  • Pension or 401(K)

  • Life and Disability Insurance

Taxes in Saudi Arabia

Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Saudi Arabia.

2%Social Insurance Tax for Non-Saudi Expats(effective on wages ranging from 1,500 SAR to 45,000 SAR)
12%Social Insurance Tax for Saudi Nationals (effective on wages ranging from 1,500 SAR to 45,000 SAR)

Types of leave

Employees with up to five years of service are entitled to 21 days of annual vacation while workers with more than five years of employment can take up to 30 days off annually.

Employment termination

Termination process

Saudi Arabian labor law provides a lot of leeway for employers to let workers go, but compensation must be provided if a termination is unjustified.

Notice period

Notice periods range from 30 days for fixed-term contracts, to 60 days for indefinite-term contracts.

Severance pay

Employees who’re being let go without just cause are entitled to 15 days’ pay for each of the first five years of employment plus a month’s pay for each subsequent year.

Probation periods

Probation periods are typically limited to 90 days but can last for up to 180 days with the consent of both parties.

Fair Pricing in Saudi Arabia

Contractor Management

Compliantly onboard and pay contractors


per contractor/month

Top features

  • Only pay for contractors you actively work with

  • Work with contractors in 200+ countries

  • Create, edit, and sign tailored, localized contracts

  • Approve contractor invoices with one click or auto-pay

  • Transparent payments with complete visibility


Consolidate your multi-country payroll


per employee/month

Top features

  • Reduce costs by centralizing payroll management

  • Ensure local compliance for every country

  • Direct support from in-house local payroll experts

  • Accurate, on-time, compliant payroll to level-up your employee experience

  • Tax and labor authority reporting handled for you

HR Management

Manage all of your employees in one place


Top features

  • Guided onboarding and offboarding

  • Employee profile and document management

  • Time and attendance (time off and tracking)

  • Expense management and reimbursement

  • Employee self-serve on the platform and mobile app