Dismissal
In one sentenceThe business ending the employee's contract by its own decision, either for a reason the Saudi Labor Law recognizes, such as a serious violation, or otherwise, in which case the employee has rights.
Simply put
Dismissal is the employer's decision. Its financial effect depends on its reason: is it one of the cases the law provides for, or a termination without a legitimate reason?
In specific cases in the law the employee may lose the right to the benefit, and in a termination without a legitimate reason compensation may be due on top of the benefit. Do not decide alone: check the Saudi Labor Law and its regulations and consult a specialist before dismissing anyone.
Example
A factory ended a worker's contract because a production line was cut, not because of a violation. The accountant calculated his full benefit and leave pay, and checked with the legal advisor whether compensation is due.
Don't confuse it with
ResignationThe employee starts a resignation and the business starts a dismissal, and the benefit differs between them.