Minimum Wage In Egypt - Frequently Asked Questions

Is there a separate legislation relating to minimum wages in Egypt?

Article 34 of Labor Law defines about the minimum wages (Labour Law Act No. 12/2003)

Do one or more minimum wages exist that is/are determined by law?

There is only one minimum wages declared by the government which is at national level.

At what level is minimum wages determined at?

There is only one minimum wage declared by the government which is at national level and determined by National Council for Wages which is 1200 LE. .

On what basis is minimum wage calculated?

Minimum wage is calculated on monthly basis.

In case of weekly/monthly minimum age, are they based on any fixed number of hours?

Minimum wage is based on 8 hours per day - five-day workweek.Or 6-day work week, 7 hours per day (42-hour working week is standard)

Are governmental bodies, employer and/or trade union representatives involved in minimum wages setting?

Ministry of Labour, Ministry of Social Affairs, Ministry of Internal Commerce, Ministry of Finance, Ministry of Industrial Affairs, Central Agency for Organization and Management (CAPMAS), and National Wage Council (NCW) are involved in minimum wage setting. The National Wages Council is composed of members representing 5 ministries, the national statistics agency, the national administrative agency, the national council for women, 4 employers' representatives, and 4 union representatives.

How are upratings (adjustments) of minimum wage decided upon?

The uprating is jointly decided by the government, employer and trade union representatives through the National Wages Council which combines all these representatives.

Which are the components of minimum wage in Egypt?

Minimum wage consists of only fixed component. The minimum wages law is new and not effective yet. It is expected to undergo many developments.

How frequently is the fixed component of minimum wage updated?

The law does not state how frequently it will be updated.

What is/are the yardstick/s on which minimum wage upratings are based?

The law does not state specifically, but it says that the minimum wage should consider "living expenses, and ensure a balance between prices and wages".

What is National Poverty line?

How is minimum wages compliance regulated?

Labour manpower office receives complaints and are responsible for ensuring compliance in such cases.

Which legal sanctions can be applied if compliance is lacking?

This is not clearly stated in the law. If the labour office receives a complaint then they investigate the company and formally order the company to comply. It is not clear what happens to the company if it doesn't comply in such a case.

Are sanctions often being applied?

Sanctions are rarely applied.

Are employer and/or trade union representatives involved in compliance procedures?

The trade unions can file complaints on behalf of their members, but they cannot officially ensure compliance.

To whom/Where can individuals complain, if they think they are earning less than minimum wage?

They should file a complaint with their local labour manpower office, but they can complain to their trade union who will file a complaint on their behalf, but all complaints go to the local labour office.