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What does the approval of the labor law mean for 30 million Egyptian workers? | economy

manhattantribune.com by manhattantribune.com
20 April 2025
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What does the approval of the labor law mean for 30 million Egyptian workers? | economy
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Cairo – In a long -awaited step, the Egyptian Parliament officially approved the new labor law, culminating for years of in -depth discussions and reviews in which government representatives, parliament, labor organizations and business owners participated.

The law aims, according to the government, to achieve a balance between workers ’rights and business owners, and to improve the work environment to attract foreign investment.

After the approval of the new labor law, Egypt is looking to fold the frequent listing page in the list of cases that cause the International Labor Organization concern, which is referred to as the media as a “black list”.

Egypt was previously placed on this list several times, the last of which was in 2019, as a result of the organization’s observations on trade union freedoms and the incompatibility of international work agreements.

In 2024, Egypt was not included on the list of international observations after taking several measures to enhance workers ’rights and trade union freedoms, including amending some labor legislation and cooperation with the International Labor Organization.

The new labor law enjoys the support of the government despite the criticism of some (communication sites)

The Ministry of Manpower considered at the time that Egypt’s exit from the blacklist of the International Labor Organization confirms its compliance with international labor standards, and its facing policies towards more protection and care for workers and enhances Egypt’s position in the field of investment.

Approving a new labor law in Egypt is an important step towards updating the legal framework of the labor market and attracting investments, but the biggest challenge remains in ensuring the fair and balanced application of its provisions to serve the interests of all parties and contribute to the growth of the national economy.

The relationship between the law and the attraction of foreign investment

The Minister of Labor, Muhammad Gibran, stressed that re -discussing and developing articles in the new labor law at the request of the government aims to achieve the interests of the government, business owners and workers alike, such as:

  • Ensuring an attractive job market.
  • Providing social protection for citizens.
  • The worker gets a fair wage.
  • The new law is compatible with international work standards.
  • The law adopts an extensive definition of the worker that includes all categories.
  • Providing legal and social protection for the first categories of care.
  • Developing human resources skills to meet the needs of the labor market locally and internationally.

In February 2025, the National Agency Council approved the minimum wages of private sector workers from 6 thousand to 7 thousand pounds (about 137 dollars), in an attempt to improve workers’ conditions and keep pace with high inflation rates.

The new law included many new amendments and articles:

  • An annual bonus: No less than 3% of the insurance wage is due after a year of appointment.
  • The protection of the worker: canceling “Form 6” and prior resignation, with the necessity of adopting the resignation from an administrative authority.
  • Workers’ rights: a priority in collecting their dues even before judicial expenses, while preserving contracts when selling or integrating the facility.
  • Work contract: mandatory and written in Arabic in 4 copies, and the basic principle is that it is not specified.

End of service:

  • Duration: ends with the end of the contract or after 5 years with a notification and reward.
  • Unspecified duration: It can be completed by notifying and compensation at least two months’ wage per year.
  • Flexible work patterns: organizing remote work, partial, flexible work, and work sharing.

Additional facilities:

  • Exempting workers from judicial fees, and establishing specialized labor courts.
  • Organizing the strike with clear controls, and preventing the strike in the basic service facilities.
  • Forming a council for social consultation to resolve collective disputes and raise the minimum wage.

New balance and additions

A member of the House of Representatives and Deputy Speaker of the Egyptian Social Democratic Party, Freddy Al -Bayadi, described the new law as “much better than the old law despite the presence of some observations on some articles, but in general it takes into account the balance between the two parties to the productive process, namely employers and workers.”

New materials and modifications made some gains for workers (Egyptian press)

He pointed out in statements to Al -Jazeera Net, that the new materials and modifications have made some gains for workers, and they are the weakest link that we are keen to support, such as canceling the 6 form that were used as a pressure card against them, simplifying the procedures for grievance and litigation and protecting them from violations, expanding the means of disputes in a friendly, and organizing remote work in a way that keeps pace with changes in the labor market.

Regarding the materials related to workers’ rights, MP Freddy El -Bayadi expressed his desire that the law include more guarantees related to freedom of strike, in order to enhance the legitimate right of workers to express their demands in a peaceful manner, without administrative complications or excessive restrictions.

The member of the House of Representatives also stressed the importance of including clear texts that guarantee improving wages in a fair manner, and the application of annual increases in order to achieve justice and keep pace with the high costs of living, in order to preserve the minimum living stability of workers, and to ensure the balance of the relationship between the two parties to the productive process.

Reinforcing negative materials

On the other hand, the economic and labor researcher, Ilhami Al -Mirghani, believes that “the new labor law, in its entirety, is clearly tending to consolidate the privileges of business owners at the expense of workers’ rights, and focuses on sub -materials while ignoring or reducing the basic materials related to workers’ material and moral rights. The law was issued without conducting a real societal dialogue and the absence of effective participation of independent labor unions. “

In his interview with Al -Jazeera Net, Al -Mirghani considered that the legalization of the status of employment companies, which he described as a “labor trade” or “forced labor”, represents one of the most unfair materials in the new law, and that these companies are currently dependent on factories to provide employment under the umbrella of the outskirts, with high deduction rates of workers’ salaries in their favor in order to evade legal burdens.

Ilhami Al -Mirghani, one of the founders of the Coordination Committee for the Defense of Union and Union and Workers’ freedoms and freedoms, added another reason for his rejection of the law, which is to reduce the periodic allowance from 7% to 3%. He also criticized a defect in the regulation of holidays, especially the “situation” licenses for working women.

Moreover, the labor researcher believes that the law did not put sufficient restrictions on the authority of employers in the arbitrary separation of workers, and has restricted the right of workers to organize the strike through preventive and complex procedures.

Tags: approvaleconomyEgyptianlaborLawmillionworkers
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