Monday, 25 May 2026
Egypt introduces major new labor law to protect workers' rights
Egypt has passed a landmark new labor law aimed at creating a fairer and more balanced relationship between employees and employers, while ensuring stronger protections for all parties involved. Here are the key highlights:
- No More Unfair Dismissal: Employers can no longer fire workers arbitrarily. Any dismissal must have a clear and legal reason, offering greater job security to employees. The infamous "Form 6," previously used as a sudden termination tool, has been abolished.
- Written Contracts for All: Every new employee is now guaranteed a written contract – issued in four copies: one each for the worker, the company, social security authorities, and the government. This ensures clarity and protection of workers' rights.
- Mandatory Annual Raises: Companies are legally required to increase salaries by at least 3% each year, based on the employee’s insurance salary. This guarantees regular pay rises for the workforce.
- Strengthened Rights for Female Employees: Paid maternity leave has been extended to four months, available up to three times during a woman’s career. Mothers are also entitled to up to two years of unpaid leave to care for their children.
- Protection and Regulation for Freelancers and Remote Workers: For the first time, the law recognizes and regulates new forms of work such as freelancing and remote jobs, ensuring these workers have access to legal rights and protections.
- Support for Informal Workers: A new fund will be established to provide social protection for informal and day laborers, such as craftspeople and temporary workers, who traditionally lack job security.
- Safer Workplaces: The legislation strictly prohibits harassment and bullying at work, and bans the employment of children under 15.
- Fair Working Hours and Paid Leave: The law caps working hours at 48 hours per week, mandates overtime pay for additional hours, and ensures that employees receive full pay during examination leave, which no longer counts against their annual holiday quota.
In summary, Egypt’s updated labor law aims to modernize the country’s job market, give workers stronger rights, and enhance workplace protections—all while maintaining a fair balance with business interests. This reform marks a significant step toward a more organized and equitable labor environment in Egypt.