Egypt

Egypt

Global Employment Solutions & PEO in Egypt

Omnipresent makes it fast and easy to employ remote talent in Egypt. We take care of payroll, compliance, taxes, and admin so you can focus on growing your business.

OmniAtlas Employment Rating

Capital City
Cairo
Currency
Egyptian Pound
Native Language
Egyptian Arabic
Payroll Frequency
Monthly
Employee Protections
Moderate
Employment Costs
Low
Termination
Difficult
Immigration
Difficult
Cost of Living
Moderate
Population
102.3 Million

What You Need to Know About Employing in Egypt

Don’t risk non-compliance with local employment, social insurance, and tax regulations.

How it works
Payroll & Taxes
Employer Costs
Working Hours
Holidays & Vacation
Types of Leave
Health & Benefits
Termination Laws
Egypt

How Do Omnipresent Global Employment Solutions Work?

Omnipresent provides global employment solutions and professional employment organisation (PEO) services for companies looking to grow and build out a global team in Egypt. Traditional methods of establishing global employment and subsidiaries in Egypt typically take months and can incur heavy costs. Omnipresent’s global employment solutions and PEO services help hundreds of organisations onboard new employees in Egypt in a matter of days with full compliance of local labour laws. We use a tech-forward approach to streamline the process. 

  • Your company conducts the hiring and candidate selection process in Egypt.
  • Omnipresent hires the selected candidate through our local professional employment organisation in Egypt.
  • We take care of ensuring your new employee is hired in compliance with local labour laws, payroll regulations, benefits and more -- all without needing to set up a subsidiary in Egypt.
  • The individual is legally contracted by Omnipresent but assigned to work for your company and reports to a manager or team in your organisation as your full-time employee.
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Payroll & Taxes in Egypt

Employee Income Taxes:

Income tax for both residents and non-residents in Egypt is categorized as follows:

  • Up to 8,000 EGP: 0% (Tax Credit not applied)    
  •  8,001 EGP – 30,000 EGP: 10% (Tax Credit of 85%)  
  • 30,001 EGP - 45,000 EGP: 15% (Tax Credit of 45%)
  • 45,001 EGP - 200,000 EGP: 20% (Tax Credit of 75%)
  • Over 200,000 EGP: 22.5% (Tax Credit not applied)

Payroll Cycle:

Employees in Egypt are generally paid monthly.

Egypt

Employer Costs in Egypt

Employer Contributions:

Employers must contribute between 19.75%- 20.75% overall. This is broken down as follows:

  • Social Security: 18.75% (Minimum taxable wages is 1,200 EGP and maximum is 8,100 EGP)
  • COVID-19 Relief: 1% (valid until August 2021 and applies to employees with a net salary of 2,000 EGP and over)
  • Unemployment: 1%

Employee Contributions:

Employees must pay social security contributions of 11% with the minimum taxable contribution being 1,200 EGP up to a maximum of 8,100 EGP.

Egypt

Working Hours in Egypt

Typical Working Hours per Week:

The standard working week in Egypt consists of eight hours a day and 40 hours a week.

It’s important to note that typical working hours can vary by industry in some countries. Contact our team for the most up-to-date information!

Overtime Laws:

Overtime rate for employees who work more than 40 hours a week is 135% of their regular salary during daylight hours and a night rate of 170%.

Overtime laws in Egypt are complex and can depend on the specific circumstances and the employee. We are happy to discuss in more detail for a specific context.

Egypt

Public Holidays & Vacation Time in Egypt

Standard Public Holidays in Egypt

There are 14 public holidays in Egypt:

  • Coptic Christmas Day
  • January Revolution Day
  • Coptic Easter Sunday
  • Sham el Nessim
  • Sinai Liberation Day
  • Labour Day
  • Eid al-Fitr
  • Revolution Day
  • Arafat Day
  • Eid al-Adha
  • Revolution Day
  • Islamic New Year
  • Armed Forces Day
  • Prophet Muhammad's Birthday

Vacation Time in Egypt

  • Employees are entitled to 21 days of paid annual leave per year if employed for at least six consecutive months.
  • This increases to 30 days of paid annual leave following completion of ten years of consecutive employment, or if employees are over 50 years of age.
  • For employees employed less than a year and not less than six months, annual leave is prorated to the period of service.
Egypt

Types of Leave in Egypt

Sick Leave:

Employees are entitled to up to six months of paid sick leave on the strict proviso that they provide a professional medical certificate confirming the sickness. 

For the first 90 days of sick leave, the employee is entitled to 75% of the regular salary rate. After that, this increases to 85% of the normal rate of pay for 90 days.

Maternity Leave:

Employees who have been working for the same employer for at least 10 months are entitled to up to three months’ fully paid maternity leave.

Paternity Leave:

There are no statutory laws for paternity leave in Egypt.

Egypt

Health Insurance & Supplementary Benefits in Egypt

We believe that remote employees should be able to access their local benefits, as well as high-standard international benefits, wherever they are. Details about international or country specific benefit packages can be provided on request. Please contact us for further details.

Egypt

Termination & Severance in Egypt

Severance:

Employees in Egypt are not generally eligible for severance pay, except where their termination is unjustified, or the employer has voluntarily provided it.

Notice of Termination:

The notice period for termination is determined by the type of employment and length of service. If the employee has completed less than ten years of service, the notice period is two months, increasing to three months for employees with more than ten years of service.

Unprotected and Protected Termination:

Egyptian labor law protects employees from illegal termination of employment, and as there are a range of reasons an employee can be terminated, it’s important for those looking to employ in Egypt to reach out to us directly with questions.

Protected Classes of Employees:

Laws around employees who have specific termination protections, or classes of employees who have protected characteristics relevant to discrimination, are highly complex and there can be a number of situation-specific variables. If you have questions in this area, please reach out to us directly to discuss.

Egypt

Grow Your Global Team. 

Employ the Best Talent, Anywhere in the World

The benefits of growing a global team and finding the best talent anywhere in the world are endless. It’s important to note that labour laws and regulations in Egypt are strict with penalties for non-compliance. Let our team take care of the details such as payroll, benefits, compliance, taxes, and admin so you can focus on growing your business. We’re here to help you every step of the way.

Want to onboard an international employee today? Get started.

Omnipresent makes it easy to employ, pay and support your international team. Book a call with us to start building your global team today.

Employ Anywhere. Be Omnipresent.

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