El-Said pointed out that the NWC’s decisions tried to take into account several considerations on both minimum wage and periodic bonuses
Taking into account the current economic conditions and prices, Egypt’s National Wages Council (NWC) has declared a new minimum wage for private sector workers at EGP 2,400 ($153) per month.
Headed by Minister of Planning and Economic Development Hala El-Said, the NWC states that it will consider the economic conditions of establishments currently unable to comply, excepting them until 1st of January 2022.
The new wage is set according to the adoption of flexible mechanisms to encourage business owners to implement the new ruling, and allows businesses the opportunity to submit their complaints no later than October to the council’s complaints and wages committees.
During the meeting, it was also agreed to approve the periodic bonus for fiscal year (FY) 2021/22 at a rate of 3% of the insurance wage, equivalent to 7% of the basic wage in Labor Law 12 of 2003, and no less than EGP 60.
The council discussed the results and recommendations of the session held by its Wages and Allowances Committee regarding the approval of the minimum wage for private sector workers.
President Abdel Fattah Al-Sisi directed the government to raise the minimum wage to LE 2,400 in fiscal year (FY) 2021/22 earlier this year.
This covers the new periodic bonus for workers in the private sector for the year 2021, and other issues related to the Council’s mandate.
El-Said pointed out that the NWC’s decisions tried to take into account several considerations on both minimum wage and periodic bonuses.
Foremost of these is the interest of workers and the need to achieve an appropriate increase in wages, whilst taking into account the current global economic conditions due to the novel coronavirus (COVID-19) pandemic, she added.
