SANED: Unemployment Insurance Under the New Law

5 min read

The short answer

60% of your wage for the first 3 months, then 50% — here are the full eligibility conditions and limits.

Unemployment compensation known as "SANED" is no longer a separate scheme — it has become "Part Four" within the new Social Insurance Law itself (M/273), with precisely defined eligibility conditions and compensation rates worth knowing before you need them.

📜 Who Does This Insurance Cover?

📜 Text of Article 43

"The unemployment insurance branch shall apply mandatorily to all Saudi workers working inside the Kingdom, provided the worker's age when the Law begins to apply to him is under (sixty-four)."

💳 Who Pays the SANED Contribution?

Article 44 sets the total rate and who bears it:

📜 Text of Article 44(1)

"Contributions to the unemployment insurance branch are set at (2%) of the wage subject to contribution: (1%) borne by the employer, and (1%) borne by the subscriber."

✅ The Ten Eligibility Conditions

Article 45 details the conditions that must all be met to be eligible for SANED compensation:

Being a Saudi national.
Having completed the qualifying contribution period (12 months for a first claim within the last 36 months, per Article 46).
Not having been dismissed from work for a reason attributable to yourself.
Not having a private business or income from other work.
Not having left work by your own desire to not continue in it.
Being able to work.
Not having reached the statutory age for pension eligibility.
Registering yourself within the deadline set by the regulation after leaving work.
Being seriously engaged in job searching.
Being committed to training if required of you.

📌 Voluntary Resignation Forfeits Your Right

Note condition five carefully: if you left your job by your own will and desire not to continue in it, you are not eligible for compensation. SANED is intended for those unfairly dismissed, whose contract ended, or who faced circumstances beyond their control — not for anyone who simply left their job.

💰 How Much Do You Actually Get? Rates and Ceilings

📜 Text of Articles 48(1) and 48(3)

"Unemployment insurance compensation is paid at the rate of the average monthly wage for each month of unemployment, including holidays, at (60%) of that average for each of the first three months... and reduced to (50%) thereafter... The maximum compensation amount is (9,000) SAR for each of the first three months, and (7,500) SAR for each month exceeding that."

As for duration: Article 47 sets the maximum payment period at 12 months per entitlement (continuous or interrupted), to be paid within 24 consecutive months from the date of the first payment during that period.

📌 You Can Claim More Than Once — But With Longer Requirements Each Time

Article 46 requires a longer contribution period for each new claim than the previous one: 12 months within the last 36 months for the first claim, 18 months within the last 36 months for the second, 24 months within the last 36 months for the third, then 36 months within the last 48 months for any subsequent claim.

✅ What Should You Do If You Lose Your Job?

First check that you did not leave the job of your own will — this alone forfeits your eligibility.
Register yourself as unemployed within the deadline set by the regulation as soon as your job ends.
Make sure to demonstrate genuine job-seeking effort and commitment to any required training.
Calculate your expected compensation: 60% of your average wage (capped at 9,000 SAR) for the first 3 months, then 50% (capped at 7,500 SAR).
Use Sanad to understand your situation and claim your full SANED entitlement.

Official Sources

Social Insurance Law, Royal Decree No. M/273 dated 26/12/1445H — Articles 43, 44, 45, 46, 47, and 48