Egypt PEO Services

Employment Information

• Employees must contribute 11% of their salary to social insurance, employers must contribute 18.75%
• The minimum Social Insurance wage in Egypt is 1,200 EGP, and the maximum is 8,100 EGP
• Personal health insurance policies are mandatory in Egypt, and an employee’s healthcare must be covered by this
• Arabic language is mandatory on employment contracts; so bilingual wording is advised for employees who are unable to understand Arabic. All contracts must also be in writing
• Fixed-term contracts can be renewed on multiple occasions, however they must be linked to a specific pipeline of tasks for justification
• Probation periods are generally 3 months, and this can’t be extended beyond this
• There is no minimum wage in Egypt, however an employee’s salary must exceed the minimum Social Insurance wage
• Bonuses are agreed within employment contracts, and are down to the employee / employer’s relationship

Working Hours

• The usual working hours in Egypt are 48 hours per week, and this is outlined in Egyptian employment law
• Overtime can only be worked at a maximum of 2 hours per day, and overtime pay rates cannot be less than the employee’s usual pay, plus 35%. For workers that do overtime night shifts, 70% extra on the salary must be provided
• If an employee is required to work overtime on one of their holiday days, the employer must pay a minimum of double the salary for that day’s work

Holidays

• If a worker has been with an employer for over 1 year, then they are entitled to 21 days of annual leave per year
• The annual leave allowance increases to 30 days per year once an employee has completed 10 years of service
• Employees that are over the age of 50 are also entitled to 30 days paid leave
• For workers who have completed less than a year of service, paid leave is allocated on a pro rata basis
• Eid, October 6^th, and January 25^th are all Egyptian national holidays. Employees are compensated on all national holidays and special occasions.
• An employee is entitled to their salary should they fall ill. An employee with a proven record of sickness is entitled to paid sick leave at the rate of 75% of their salary for up to 90 days with social insurance. After 90 days, this is increased to 85% for the following 90 days. Sick leave is payable up to 180 days.
• Social Insurance entitles 3 months of full paid maternity leave for each child (up to 3 children)

Cultural Information

Friendly yet professional etiquette is commonplace in Egypt. Punctuality and keeping a smart appearance is very important. Egypt’s main language is Arabic, and it is appreciated when expats learn the language, however English is also commonly understood across the country.

Islam is the main religion of Egypt, and it’s important to be respectful of Islamic customs in the country. Most Egyptian workers won’t be available throughout Ramadan, and Friday is a non-working day as it is the Islamic holy day. Working weeks in Egypt run from Sunday to Thursday.

Impacts of COVID-19

Similar to other countries across the world, many Egyptian businesses chose to close their offices and resort to remote working practices in light of the COVID-19 pandemic. This varies depending on the industry, and as of late 2021, Egypt has a balance of remote working and in-person working patterns.