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Annual Leave Calculations

Many beneficiaries have questioned whether their entitled annual leave is calculated on their actual salary or based on their salary with housing and transportation value.

The Ministry of Human Resources and Social Development (MHRSD) has explained how the entitled annual leave for employees is calculated under the Labor Law in which it operates within Saudi Arabia.

The MHRSD clarifies that according to the definition of wages in Article 2 of the Labor Law, the annual leave wage for the employee is calculated on the actual salary, including all allowances.

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