Egypt Employer of Record (EoR) Services - Workforce Africa

How Employer of Record (EoR) in Egypt Works

Through our Workforce Africa Employer of Record service, we support clients who want to expand and grow their business in Egypt. As opposed to setting up a local entity, which is quite time-consuming and costly, Workforce Africa helps its clients compliantly onboard new employees and commence their operations in Egypt within 48 hours (about 2 days). We help you achieve this in four (4) simple steps: 

Source the Candidate – You have the option of sourcing the talent yourself or you outsource that to us.
We onboard your team – We help onboard your team with full compliance with all local laws.
We manage compliance end-to-end – From payroll, taxes, benefits, employment compliance etc.
With your team in place, you can now focus on growing your business in Egypt.

Employment Contracts in Egypt

In Egypt, all employers must give their employees a written agreement in Arabic adequately stating the employee’s position and job description/functions, compensation, benefits and other terms and conditions of the contract.

Working Hours in Egypt

Regular hours and overtime pay rates are set in employment contracts or collective bargaining agreements. Stipulated work hours are 40-45 hours (about 2 days) per week (5 days) excluding 1-hour break.

Observed National Holidays and Vacation

Public holidays are proclaimed each year but these are the official holidays:

Orthodox Christmas Day, Jan 7
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)
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)
Prophet’s Muhammad Birthday, (1 Day based on Islamic Calendar)

Expats, Visas & Work Permits

Employers are responsible for obtaining work & residence permits for their expatriate employees. Granting a work permit to a foreigner takes into consideration the following conditions:

The Expat’s experience is appropriate for the profession licensed to work, and that his experience is not less than three years
The foreigner must obtain the relevant license to practice the profession, according to the laws and regulations in force in the country. This only applies to occupations that require a private license to practice.
Also, the foreigner must 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.

Paid Leave

Employees are entitled to 21 paid leave days per annum. The employee is eligible to proceed on leave three (3) months following the hiring date.

Sick Leave - Employees are entitled to up to six (6) months of paid sick leave provided that they provide a professional medical certificate confirming ill health. During the first 90 days (about 3 months) of sick leave, the employee is entitled to 75% of the regular wage rate. This increases to 85% of the normal wage rate following the first 90 days (about 3 months).
Maternity Leave - According to the law, a female worker who has worked for at least 10 Months shall have the right to a maternity leave of 90 days (about 3 months) with compensation equal to her comprehensive wage and shall submit a medical certificate including the date on which delivery took place. However, an employee that has worked less than 10 months shall only be eligible for maternity leave of 45 days (about 1 and a half months).
Paternity Leave - Paternity leave is optional as there is no law that recognizes paternity leave.

Statutory Deductions

The Employer contributes between 19.75%- 20.75% overall, while the employee pays social security contributions of 11% with the minimum taxable contribution being 1,200 EGP up to a maximum of 8,100 EGP.

Health Insurance

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

Additional Compensation and Benefits

Pension insurance, travel insurance and private medical insurance.

Termination / Severance in Senegal

The notice period depends on the contractual agreement but ranges from 1 – 4 weeks. Employees are not generally eligible for severance pay, except if the termination is unjustified, or the employer voluntarily decides to make severance payment.

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Egypt Employer of Record (Egypt EoR) Services