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Egyptian minimum wages jump to 2,400, pensions up 13%

he wage increases for the employees working at administrative bodies of the state will cost the state around LE 37 billion

By: Business Today Egypt

Tue, Mar. 16, 2021

Minimum wage goes up according to a new presidential directive, alongside new government-mandate bonuses for those in civil service occupations.

In a meeting with Prime Minister Mostafa Madbouly and Minister of Finance Mohamed Maait, President Abdel Fattah Al-Sisi directed the government to raise the minimum wage to LE 2,400 in fiscal year (FY) 2021/22.

The wage increases for the employees working at administrative bodies of the state will cost the state around LE 37 billion.

Al-Sisi also approved two bonuses at a cost of about LE 7.5 billion.

The two bonuses are for 7 percent of a civil service employees’ salary, and 13 percent of non-civil service employees’ basic salary.

In a statement, Presidency Spokesperson Bassam Rady said the President also approved an additional incentive increase for both those addressed and not addressed by the law civil service, at a total cost of about LE 17 billion.

Additionally, Al-Sisi directed for the government to increase the value of pensions by about 13 percent, at a total cost of about LE 31 billion.

This runs alongside the promotion of employees who meet the conditions of promotion on 30 June 2021, in order to achieve an improvement in their wages with a total value of about LE 1 billion.

About LE 1.5 billion of a financial incentive programme was also allocated for the workers transferred to the New Administrative Capital (NAC).