Different Types of EOSB Benefits in Saudi Arabia

Understanding employee benefits is crucial for both employers and employees. In Saudi Arabia, the End of Service Benefit (EOSB) is a significant part of the employment package. It ensures that employees receive fair compensation when their service ends. This benefit is governed by Saudi labor laws and is designed to protect workers' rights. Different types of EOSB benefits exist, depending on factors like the length of service and the reason for termination. Today, we will explore the different types of EOSB benefits in Saudi Arabia and how they impact both employers and employees. 1. Understanding the Basic EOSB Calculation The basic calculation of the End of Service Benefit in Saudi Arabia is based on the employee's last drawn wage and the duration of their service. The general formula considers half a month's salary for each of the first five years, and a full month's salary for each year thereafter. "Wage" includes basic salary plus any fixed allowance...