Employer Record in Egypt

Basic information

Capital: Cairo

Time zone: UTC+2

Languages: Modern Standard Arabic

Currency code: EGP

Human Resources at a Glance 

Contract Terms

Contracts must be in Arabic and can be bilingual. They must be in writing and signed in wet ink by both parties.

A contract must include:

  • name
  • start date
  • length of the employment
  • job description
  • termination conditions

The employment agreement and any amendment thereto (and notice of termination) must be signed using wet ink.

Guidelines Regarding Probation Period/Trial Period

Probation periods are mandatory. The minimum probation period is 30 days and the maximum probation period is 90 days (3 months).

The Employer can immediately terminate the Employee at any time during the probation period and for any reason, and without providing the Employee with any severance pay.

Regulations and Rules Regarding Working Hours

Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Sunday to Thursday.

Minimum Wage Requirements

The minimum wage is EGP 3,500 per month for private sector employees.

Termination 

Grounds

Terminations in Egypt can be complex. There is no at-will termination in Egypt for employers outside the probation period and termination must be done for just cause.

Compliant terminations include:

  • Voluntarily by the employee
  • By mutual agreement
  • Unilaterally by the employer based on:
    • probation period
    • objective grounds
    • disciplinary dismissal
    • performance due to unsuitability for the job
  • By expiration of the contract

Notice Period

The minimum notice period is 60 days and will be increased according to the length of the employment.

  • 60 days if the length of service is less than 10 years
  • 90 days if the length of service is more than 10 years

Severance Pay

In Egypt, there are no statutory requirements for severance payments unless the termination was unjustified. During the notice period, the employee will receive standard salary wages.

Payment & leave Compensation & Holidays 

SalaryPayment

The minimum notice period is 60 days and will be increased according to the length of the employment.

  • 60 days if the length of service is less than 10 years
  • 90 days if the length of service is more than 10 years

Payslip 

Employers should provide a payslip showing the monthly salary, deductions and benefits. Online payslips are acceptable.

Annual Leave

Both full-time and part-time employees are entitled to 21 working days of paid time off (PTO) a year. PTO accrues monthly at 1.75 days per month. Employees are eligible for annual leave after 1 year of continued service. During the first year of employment, an employee cannot take more than the amount accrued.

Sick Leave

Employees are entitled to paid sick leave for up to 1 year. This leave is paid at different rates and by different payers depending upon length:

PeriodPayPayer
0 – 90 days75% of base salarySocial Security
90 – 180 days80% of base salarySocial Security
180 – 360 days0% of base salaryN/A

Maternity & Parental Leave

Pregnant employees who have worked for 10 consecutive months are entitled to 90 days of paid leave. The employee will receive 100% of the salary during this period up to a maximum of 10,900 EGP per month, and Social Security will be responsible for this pay.

In Egypt, no law covers parental leave. However, some employees may be entitled to maternity leave.

Tax and Social Security Information

Personal Income Tax

The individual income tax ranges from 0% to 25%. Income tax is calculated according to progressive rates.

Gross Annual Income (EGP)Tax Rate (%)
From 0 to 15,0000%
15,000 to 30,0002.50%
30,000 to 45,00010%
45,000 to 60,00015%
60,000 to 200,00020%
200,000 to 400,00022.50%
More than 400,00025%

Social security

Social insurance is paid only to Egyptian nationals, except for foreigners who serve on the board of directors or whose name appears on the commercial registration of the company.

The Social Security System includes the following:

Old Age, Disability and Death Insurance
Occupational Accidents Insurance
Sickness Insurance
Unemployment Insurance
Social Care for Pensioners

Public Holidays 2024

Occasion   Date
Coptic Christmas Day   1.7
Revolution and National Police Day   1.25
Fid Al-Fit   4.10-4.12
Sinai Liberation Day   4.25
Labour Day   5.1
Coptic Easter Sunday   5.5
Sham El Nessim   5.6
Arafat Day   6.15
Eid Al-Adha   6.16-6.19
Revolution Day   6.30
Islamic New Year   7.7
Revolution Day   7.23
Prophet Muhammad’s Birthday (Mawlid Al-Nabi)   9.15
Armed Forces Day   10.6


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