Egypt flag Egypt: Operating a Business in Egypt

Work conditions in Egypt

The Active Population in Figures

201820192020
Labour Force 29,275,34729,776,95629,077,255

Source: International Labour Organization, ILOSTAT database

 
201720182019
Total activity rate 49.36%47.91%47.87%
Men activity rate 74.58%75.25%75.19%
Women activity rate 23.63%20.02%20.00%

Source: International Labour Organization, ILOSTAT database

 
Employed Persons, by Occupation (% of Total Labour Force) 2015
Agriculture, forestry and fishing 25.8%
Construction 12.1%
Wholesale and retail trade; repair of motor vehicles and motorcycles 11.8%
Manufacturing 11.2%
Education 8.9%
Transportation and storage 7.7%
Public administration and defence; compulsory social security 7.2%
Human health and social work activities 3.0%
Accommodation and food service activities 2.6%
Professional, scientific and technical activities 1.6%
Information and communication 0.8%
Electricity, gas, steam and air conditioning supply 0.8%
Water supply; sewerage, waste management and remediation activities 0.8%
Administrative and support service activities 0.8%
Financial and insurance activities 0.6%
Arts, entertainment and recreation 0.5%
Mining and quarrying 0.2%
Real estate activities 0.2%
 

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Working Conditions

Legal Weekly Duration
The length work is 8 hours per day, 6 days per week with a maximum of 48 hours per week, and a rest obligation of a minimum of 24 consecutive hours in a week. There is a minimum 1 hour of rest for a day of work. If an employee works for more than 8 hours per day, he has a right to a 35% bonus for day work and 70% bonus for night work.
Retirement Age
60 years.
Working Contracts
The work contracts are governed (in order of importance) by legal provision, collective agreement and individual negotiation. The two types of contract frequently used are the limited duration contract and the open-ended contract. There is also the temporary work contract which is used with the purpose of giving the employee a well-specified assignment. There is no maximum duration. The occasional work contract exists in the case of a specific assignment and its duration cannot exceed 6 months. The seasonal work contract is often used in the tourism sector, which is required to be updated every year at around the same fixed date. This type of contract cannot be renewed. Dismissal / layoff criteria are also very rigid compared to the employment conditions which are very flexible.
Labour Laws
Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

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Cost of Labour

Minimum Wage
The minimum wage in Egypt as of 2020 is EGP 2,000 per month (Ministry of Labour).
Average Wage
The average Egyptian salary is EGP 2,167 per month in 2016 according to the ILO (lastest available data).
Social Contributions
Social Security Contributions Paid By Employers: The social insurance contribution of the employer is 18.75% of the total social insurance salary (although the country is developing a new system which will be implemented within a 15-year period and over six phases).
Social Security Contributions Paid By Employees: On monthly base salary: 14%, capped at EGP 1364.
On variable salary: 11%, capped at EGP 2 795 per month.

NB: current upper limit for the first quarter of 2018, likely to be elevate in July and December each year.

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Social Partners

Social Dialogue and Involvement of Social Partners
There are 23 trade unions (labor unions) which are represented by the ETUF (Egyptian Trade Union Federation).
Unions
Egyptian Trade Union Federation
Unionisation Rate
Union membership is around 20%.
Labour Regulation Bodies
Ministry of Labor (in Arabic)

Find out more about Operating a Business in Egypt on GlobalTrade.net, the Directory for International Trade Service Providers.

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Latest Update: June 2022

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