Effective September 2025 · Law 14/2025

Egyptian Labor Law — Key Changes 2025

Summary of Labor Law No. 14 of 2025 and its impact on payroll, training funds, and employer obligations.

Training Fund — Major Reform

What changed (effective Sep 1, 2025)

Old Rule (Law 12/2003)

  • • Applies to employers with 10+ employees
  • • Contribution: 1% of net annual profit
  • • Complex calculation — source of many disputes
  • • Caused numerous court cases

New Rule (Law 14/2025)

  • • Applies to employers with 30+ employees
  • • Contribution: EGP 10–30 per employee/year
  • • Simple, per-headcount calculation
  • • Employer cost only — not from employees

Formula: 0.25% of minimum insurance wage (EGP 2,700) per employee = EGP 6.75/employee/year. Rounded up to minimum EGP 10, maximum EGP 30 per employee per year.

Monthly display: EGP 10–30 ÷ 12 = EGP 0.83–2.50 per employee per month.

Other Key Employer Obligations

Social Insurance Filing

Employers must register all employees with the National Organization for Social Insurance (NOSI) within 30 days of hire. Monthly contributions must be filed and paid by the 15th of the following month.

Payslip Requirements

Employees must receive a detailed payslip each month showing gross salary, all allowances, deductions (social insurance, tax, funds), and net salary.

Minimum Wage

The national minimum wage in Egypt is currently EGP 7,000/month for private sector employees (subject to periodic updates by the National Wages Council).

Annual Leave

21 days/year for employees with less than 10 years experience. 30 days/year for employees with 10+ years, or those over 50 years old.

End of Service

Upon termination, employees are entitled to end-of-service compensation based on years of service, calculated according to Articles 120-122 of the Labor Law.

Legal References

  • Labor Law No. 12 of 2003 (base Egyptian labor law)
  • Labor Law No. 14 of 2025 — training fund reform (effective Sep 1, 2025)
  • Social Insurance Law No. 148 of 2019
  • Ministerial Circular 1/2020 — annual SI cap increases through 2028
  • National Organization for Social Insurance — nosi.gov.eg

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