Egypt
Capital: Cairo
Currency: Egyptian Pound- EGP
Egypt Labor Law and Employment Policy Overview
Employment Law Overview
- Key Legislation:
- Egyptian Labor Law No. 12 (2003)
- Social Insurance Law No. 79 (1975)
- Legal Characteristics:
- Aims to protect employee rights and promote job stability
- Sets minimum standards for working hours, leave, wages, and social insurance
Employment Contract Requirements
- Contract Types:
- Fixed-term contracts
- Indefinite-term contracts
- Task-based contracts
- Contractual Provisions:
- Must be written in Arabic
- Must include terms on job description, remuneration, working hours, leave, and termination conditions
- Language and Currency:
- Arabic
- Egyptian Pound (EGP)
Working Hours Regulations
- Standard Working Hours: 40 hours per week, 8 hours per day
- Rest Days and Breaks: 24 hours of rest per week, 1 hour of break per day
Leave Policy
- Annual Leave:
- Employees under 50: 21 days per year after 1 year of continuous service
- Employees over 50 or with 10+ years of service: 30 days per year
- Public Holidays: 18
- Special Leave:
- Sick Leave: 1 year of paid sick leave every 3 years, covered by the social security system
- Maternity Leave: Female employees are entitled to 90 days of paid maternity leave
- Paternity Leave: None
Employee Severance and Contract Termination
- Notice Period:
- Less than 10 years of service: 2 months
- 10+ years of service: 3 months
- Severance Pay: No statutory severance pay, but employers may provide it voluntarily
- Unfair Dismissal Protection: Employees dismissed for illegal reasons, incompetence, or total disability may file a complaint with the court
Tax Laws
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Personal Income Tax:
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Salary Range (EGP) Tax Rate 0 - 30,000 0% 30,000 - 45,000 10% 45,000 - 60,000 15% 60,000 - 200,000 20% 200,000 - 400,000 22.5% 400,000+ 25%
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Social Insurance Contributions:
- Employee: 11% or 14%
- Employer: 24% or 26%
Health Insurance
- Insurance Policy: Egypt provides universal healthcare
- Coverage: Basic medical services
Compensation and Benefits
- Minimum Wage: EGP 3,000 per month
- Compensation Structure:
- Basic salary
- Bonuses (not mandatory)
Work Permits and Visas
- Permit Requirements:
- Foreign employees require a work permit and residency permit
- Application Process:
- Employer applies to the Ministry of Manpower and Immigration
Confidentiality and Non-Compete Clauses
- Enforceability: Enforceable, but must be reasonable and not unduly restrict employee's employment opportunities
- Common Provisions:
- Confidentiality of information
- Non-competition restrictions
Training and Development
- Legal Requirements: None
- Government Support: Government-funded training programs
Workplace Diversity and Inclusion
- Legal Requirements: None
- Enforcement Measures: None
Remote Work Policy
- Legal Framework: None
- Tax and Insurance Implications: None
Authoritative Website Addresses
- Egyptian Ministry of Manpower and Immigration: https://www.manpower.gov.eg/