Home » News » “New Labor Law Benefits and Incentives for Private Sector Workers in Egypt”

“New Labor Law Benefits and Incentives for Private Sector Workers in Egypt”

09:30 p.m

Tuesday, May 23, 2023

Books – Youssef Afifi:

Private sector workers aspire, from the new labor law currently under discussion, to maintain and provide a stable life, fair wages, social and health care, and an insurance system that provides them with safety and reassurance about their professional and family future.

The new law works to achieve balance and justice between the two parties to the work relationship, in addition to establishing the principle of linking wages to production in order to reassure the national and foreign investor and motivate the worker to make an effort to maximize his productivity.

The new labor law carries many incentives and benefits for workers and employees in Egypt, in order to ensure stability and job security for them, which will play a role in moving the wheel of production, in a way that benefits both sides of the production process.

“Masrawy” monitors the advantages and humanities of the new law for workers in the private sector as follows:

1- Paying a periodic annual premium of not less than 3% of the insurance subscription wage.

2- Cancellation of Form 6, which was used to threaten dismissal.

3- Compensation for the worker equal to two months’ wages for each year of service in case of unfair dismissal.

4- The prohibition of dismissing the worker by the Labor Department without the knowledge of the Labor Court.

5- Automatically converting the temporary contract into a permanent one after 4 years.

6- It is prohibited to dismiss an employee during childbirth and grant her 3 months paid leave.

7- The worker gets a leave of up to 21 days a year, which can be increased.

8- Prohibition of child labor before reaching the age of 15 years.

9- Establishing a fund to protect and employ irregular workers.

10- Granting paternity leave for one day in the event of the birth of a child to the worker.

11- Canceling the dismissal decision by the Labor Department, and by referring the matter to the Labor Court, which decides whether or not to dismiss the worker.

12- Reducing the daily working hours to one hour, starting from the basic hours.

13 Persons with physical disabilities, every father of a disabled child, or a mother who takes care of her child until he reaches the age of two years, and every disabled relative of his second degree benefit from reducing working hours.

The new labor law draft aims to create a kind of balance in the relationship between the employer and the worker, and to preserve the rights of both parties in a way that guarantees the interest of the work and the right of the workers at the same time. Therefore, the draft new labor law has set unprecedented provisions to be an official document to preserve these rights.

2023-05-23 06:30:00
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