Recent developments in Egypt
Employment law is always changing, and keeping up with it is a lot of work. Thankfully, our team is always working to stay abreast of the latest changes, so you don’t have to. Here are some of the newest developments in Egypt.
Minimum wage increase (2025)
As of 1 March 2025, the minimum wage in Egypt was increased to EGP 7,000 for private sector workers. The National Council of Wages (NCW) also set the annual periodic raise for private sector employees at a minimum of 3% of their social insurance wage, with a floor of EGP 250 per month.
Upcoming public sector wage increase (2025)
Starting July 2025, the minimum wage for public sector workers will be raised to EGP 7,000 per month, aligning it with the private sector minimum wage. This increase is part of the Egyptian government’s broader economic reform plan to address inflation and enhance social protections.
Extended maternity leave (2025)
A proposed amendment to the labor law will extend maternity leave from 90 to 120 days for female employees in the private sector. The change also removes previous service requirements and allows up to three paid maternity leaves during employment instead of two. The proposal is currently under review by the House of Representatives.
Severance pay for unjust dismissal (2025)
Under the proposed labor law, employees on indefinite-term contracts may be entitled to two months’ salary per year of service if dismissed without just cause. This measure aims to strengthen job security and align Egypt’s employment protections with international standards.
Automatic conversion of fixed-term contracts (2025)
Fixed-term employment contracts exceeding four years will automatically convert into indefinite-term contracts under the proposed labor law. This change is intended to provide greater job stability and prevent long-term job insecurity for contract workers.
