Egypt - Employer of Record (EOR)

✔ We get your team working in Egypt

✔ We handle all your payroll needs

✔ We ensure 100% compliance for your business

Africa HR Solutions caters for Egypt Employer of Record solutions for businesses that need to recruit employees and run payroll without first setting up a branch office or subsidiary in Egypt. Your applicants are hired by using Africa HR Solutions Egypt Employer of Record (EOR Egypt) in agreement with local labor laws and can be on-boarded in a few days instead of the months it typically takes. The person is assigned to work on your staff, working on your organization’s behalf just like he or she was your employee.

As always, we guarantee 100% compliance for your business in Africa.

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Overview of Egypt

Egypt is in northeast Africa with a small portion of the country on the Asian continent. The country borders the Mediterranean Sea and the Red Sea and controls the Suez Canal. The famed Nile river cuts vertically across Egypt, flowing towards the Mediterranean. Because most of Egypt’s territory is desert, a majority of its 104,258,327 locals lives either along the Nile or in the Nile Delta. Egypt’s latest recorded GDP is USD 404.14 billion and is growing at 3.3% annually. The unemployment rate is 9.3%. Egypt’s major exports are oil, chemicals, agricultural products, livestock, and textiles.

Coptic Christmas Day

Revolution Day

Sinai Liberation Day

Coptic Easter

Labour Day

Sham el Messim

Eid Al Fitr

National Day

Eid Al Adha

Al Hijra

Armed Forces Day

Milad Un Nabi

Fixed-term contracts are allowed for up to 5 years. Employees who continue to work after 5 years will be considered to have indefinite term contracts.

It is legally required to put a written employment contract in place in Egypt, in triplicate and in Arabic. The contract should spell out the terms of the employee’s compensation, benefits, and termination requirements. An offer letter and employment contract in Egypt should always state the salary and any compensation amounts in Egyptian pounds rather than a foreign currency.

In general, the work week is 40 hours from Sunday through Thursday.
Employees who have worked for at least 12 consecutive months are generally entitled annual bonuses are common in Egypt.

Employees are generally entitled to 21 days of annual paid leave, once they have worked for 6 months. After 10 years of service, or on reaching the age of 50, they are entitled to a month of paid leave.

Employees who have worked for a consecutive 5 years are generally eligible for a one-time, one month’s paid leave for a religious pilgrimage.

Employees are generally entitled to up to 6 months of sick leave to be paid at between 75% and 100% of the employee’s regular wage.
Female employees are generally entitled to 90 days of paid maternity leave. Under most contracts, women are only eligible for maternity leave twice within 5 years.

The employee must contribute 11% of the total social insurance salary. 

The subscription wage has been determined with a minimum of EGP 1,200 and maximum limit of EGP 8,100. Starting from 1 January 2022, the subscription wage has been determined with a minimum of EGP 1,400 and maximum limit of EGP 9,400.

The minimum and miximum limits are increased by 15% on 1 January of each year for a period of seven years, starting from 1 January 2021.

Probation periods may not exceed three months and may not be renewed. 

An employer who wishes to terminate an employee must go before a committee with judicial powers at the Ministry of Manpower and Migration. The committee has 15 days to decide whether to grant the request. The employer may then dismiss the employee, who retains the right to challenge the dismissal in court.

Employees with less than 10 years of service are entitled to 60 days’ notice of termination. After 10 years, the employee is entitled to 90 days’ notice.

How Africa HR Solutions Can Help You in Egypt

Our employer of record service helps organizations to process payroll in Egypt while Africa HR Solutions takes care of taxation, and
compliance management matters are lifted out of their shoulders onto
ours. As an African Employer of Record professional, we handle employment
best practices, statutory and local standard, benefits, and employee
expenses, in addition to severance and termination when needed.

 

Moreover, we keep you updated of any amendments to local employment legislation in Egypt.

When using our services, your new
hire is effective even earlier, since he has a better hiring transition.
You will have peace of mind knowing that you have a team of dedicated employment professionals, backed by years of experience, helping with every on-boarding.

 

Africa HR Solutions allows you to focus on running efficiently your core business.