Egyptian Pound (EGP)
Modern Standard Arabic
Hire employees in Egypt. No entity needed.
Usually, to hire in Egypt, your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months.
Egypt also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in Egypt quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.
All the necessary benefits for Egypt
built right in
Deel allows you to provide localized benefits for employees in Egypt within minutes. All in one manageable online dashboard.
- Unemployment Insurance
Our quickstart guide to hiring in Egypt
Navigate the tabs below to learn everything you need to know about hiring an employee in Egypt
Minimum Wage Requirements
The minimum wage for 2023 is EGP 2700 per month.
Individual Income Tax
The individual income tax ranges from 0% to 25%. Income tax is calculated according to progressive rates.
|Gross Annual Income (EGP)||Tax Rate (%)|
|From 0 to 15,000||0%|
|15,000 to 30,000||2.5%|
|30,000 to 45,000||10%|
|45,000 to 60,000||15%|
|60,000 to 200,000||20%|
|200,000 to 400,000||22.5%|
|More than 400,000||25%|
The employer cost is generally estimated at 19.75% of the employee's salary.
- Social Security - 18.75%
- Unemployment - 1.0%
Some employer costs have limits, therefore, the percentage will vary.
Overtime Pay & Maximum Hours
Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Sunday to Thursday.
There is no paternity leave currently required by law.
In Egypt, no law covers parental leave. However, some employees may be entitled to maternity leave.
Employees are entitled to paid sick leave for up to 1 year. This leave is paid at different rates and by different payers depending upon length:
|0 - 90 days||75% of base salary||Social Security|
|90 - 180 days||80% of base salary||Social Security|
|180 - 360 days||0% of base salary||N/A|
Terminations must respect complex rules and the rules of an employee’s employment country. The off-boarding is always handled by the Employer with the primary stakeholders. It may include ad-hoc fees as well as required or recommended steps on specific termination cases.
Terminations in Egypt can be complex. There is no at-will termination in Egypt for employers outside the probation period and termination must be done for just cause.
Compliant terminations include:
- Voluntarily by the employee
- By mutual agreement
- Unilaterally by the employer based on:
- probation period
- objective grounds
- disciplinary dismissal
- performance due to unsuitability for the job
- By expiration of the contract
The minimum notice period is 60 days and will be increased according to the length of the employment.
- 60 days if the length of service is less than 10 years
- 90 days if the length of service is more than 10 years
Severance for Employees
In Egypt, there are no statutory requirements for severance payments unless the termination was unjustified. During the notice period, the employee will receive standard salary wages.
To protect you from unforeseen financial risks arising from terminations, Deel applies a Severance Accrual to all employment agreements in this country. Deel has extensive expertise in managing litigation risk globally and our Severance Accrual calculation is based on the prevailing common-law or statutory entitlements and local best practices. In the event your employee resigns or is not entitled to severance, all unused amounts will be returned to you.
Paid Time Off
Both full-time and part-time employees are entitled to 21 working days of paid time off (PTO) a year. PTO accrues monthly at 1.75 days per month. Employees are eligible for annual leave after 1 year of continued service. During the first year of employment, an employee cannot take more than the amount accrued.
Egypt celebrates 12 national holidays over 15 days
- Orthodox Christmas Day
- January 25 Revolution Day
- National Police Day
- Sinai Liberation Day
- Labour Day
- Sham Ennessim
- Eid al-Fitr
- June 30 Revolution
- June 30 Uprising in Egypt
- Eid al-Adha (3 day)
- Revolution Day
- Islamic New Year
- Armed Forces Day
- Prophet's Birthday
Onboarding takes 10 business days after the client signs the SOW.
Employment Contract Details
Contracts must be in Arabic and can be bilingual. They must be in writing and signed in wet ink by both parties.
A contract must include:
- start date
- length of the employment
- job description
- termination conditions
The employment agreement and any amendment thereto (and notice of termination) must be signed using wet ink.
Probation periods are mandatory. The minimum probation period is 30 days and the maximum probation period is 90 days (3 months).
The Employer can immediately terminate the Employee at any time during the probation period and for any reason, and without providing the Employee with any severance pay.
Hiring in Egypt, hassle-free
With Deel, your business can easily hire employees in Egypt. No more worrying about local laws, complex tax systems, or managing
international payroll. Deel takes care of everything in 150+ countries.
Estimate Employer Cost
*of employee salary
Want to learn the cost of hiring an employee in Egypt?View our Employee Cost Calculator