African Market Entry and Expansion for Multinationals

Egypt

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Hiring Employees in Egypt

Spoken Language

Arabic is the official language, but English and French are major languages in education and business.

Currency

Egyptian Pound (EGP)

Average hours & Overtime

Regular hours and overtime pay rates are set in the employment contracts or collective bargaining agreements. Stipulated work hours are 40-45 hours per week (5 days) excluding 1 hour break.

Wages and salaries

There is a mandated minimum wage of EGP1, 200 (US$76.20) per month.

Observed National Holidays and vacation

-Orthodox Christmas Day, Jan 7
-January 25 Revolution Day, Jan 25
-Sham Ennessim (Easter), (Last of Apr, based on the Coptic calendar)
-Sinai Liberation Day, Apr 25
-Labour Day, May 1
-Eid al-Fitr, (3-4 days based on Islamic Calendar)
-June 30 Uprising in Egypt, Jun 30
-Revolution Day, Jul 23
-Eid al-Adha, (4-5 days based on Islamic Calendar)
-Islamic New Year (1 Day based on Islamic Calendar)
-Armed Forces Day, Oct 6
-Prophet’s Muhammad Birthday, (1 Day based on Islamic Calendar)

Paid Leave

21 Annual leaves Eligible after 3 months of hiring date. Maternity leave is a minimum of 90 days paid leave Eligible after 10 months of hiring date, if less than 10 months, then Eligible for 45 days only.

Expats, Visas, & Work Permits

Employers are responsible for obtaining work & residence permits for their expatriate employees.

Termination Notice

Notice period depends on the contractual agreement but ranges from 1 week to 1 month.

Statutory Deductions

– Social Insurance
– Medical Insurance (Varies based on the package and age between EGP300-EGP400)
– Income Taxes

Health Insurance

Provision of health insurance for employees is a common practice, but it is not mandatory.

Important Information

Granting a work permit to a foreigner takes into consideration 6 conditions: that the experience of a foreigner is appropriate to the profession licensed to work, and that his experience not be less than three years, and that the foreigner obtain a license to practice the profession, according to the laws and regulations in force in the country for occupations that the law requires for a private license to be practiced. It is also required that the foreigner not compete with the national workforce, the country’s economic need and interest for foreign expertise, the actual needs of the facility for this experience, and the commitment of establishments that are authorized to use foreign technical workers with the assignment of at least two Egyptians
-The number of foreign workers in any establishment may not exceed 10% of the total number of Egyptian workers insured with the establishment, and the cases that the Ministry’s exceptions committee has approved for this purpose are excluded after the approval of its decision by the competent minister.

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