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Employment & Labour

Am I Entitled to an Annual Raise in Egypt?

Last updated 7/5/20260 viewsProvisional

An annual raise of at least 3% of the insurance wage after each year; it can be reduced only by a National Wages Council decision (art. 12).

Yes. The law provides that every worker covered by it is entitled to an annual periodic raise, on its due date, of no less than 3% of the insurance wage (art. 12).

When does it fall due?

  • After one full year from the hiring date; or
  • After one year from the date the previous periodic raise fell due (art. 12).

The "insurance wage" here means the contribution wage defined in the Social Insurance and Pensions Law No. 148 of 2019 (art. 1).

Is there an exception? Only one: if the establishment faces economic circumstances that make paying the raise impossible, the matter must be referred to the National Wages Council to decide whether to reduce it or grant an exemption, within thirty days of the referral (art. 12). In other words, the employer cannot stop the raise on its own; the decision must come from the National Wages Council.

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This is general legal information, not legal advice. For advice on your specific situation, consult a lawyer licensed in Egypt.

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Am I Entitled to an Annual Raise in Egypt? | egyptlaw.ai