Implementation date.. Details of implementing the decision to increase private sector wages to 6,000 pounds – document

01:44 PM

Monday, April 15, 2024

Books – Muhammad Abu Bakr:

On Monday morning, the Ministry of Labor issued a periodic letter to the labor directorates in the governorates regarding the mechanisms for implementing the decision of the National Wages Council issued last week to increase the minimum wage for private sector workers to 6,000 pounds instead of 3,500 pounds. To be implemented from next May 2024.

Hassan Shehata, Minister of Labor, according to a statement on Monday, directed directors of directorates and labor inspectors to follow up on the implementation of facilities in accordance with what was stated in the “National Wages” decision.

The minister stressed that this decision is in line with President Abdel Fattah El-Sisi’s directives to provide more care, protection and support to workers known as “production soldiers,” and to strengthen working relations between business owners and workers, noting the importance of improving living conditions for workers and providing a decent work environment, which leads to increased productivity. Which companies also benefit from.

Shehata explained that the current period is witnessing unprecedented social cooperation and dialogue between the government, business owners, and workers. To formulate a work environment that achieves balance and justice, promotes the common interests of both parties, promotes a culture of rights and duties, encourages investment and contributes to the development process in the country.

The minister concluded his call to Egypt’s workers for more work and production, in order to contribute to building the new republic whose foundations are laid by President Abdel Fattah El-Sisi, President of the Republic.

The Ministry of Labor announced the sending of a periodic letter to the labor directorates in all governorates of Egypt, related to following up on the implementation of the decision of the National Wages Council issued under the chairmanship of Dr. Hala Al-Saeed, Minister of Planning and Economic Development, which bears the number 27 of 2024, as this decision includes setting the minimum wage for workers. In the private sector, an amount of 6,000 Egyptian pounds, as of May 1, 2024.

The date for raising the minimum wage for the private sector to 6,000 pounds…and following up on the implementation of the decision

This minimum wage is based on the wage stipulated in Clause “C” of Article “1” of the Labor Law, and includes the employer’s share in social insurance contributions. The decision also excluded micro-enterprises that employ less than 10 workers from applying its provisions.

The Ministry explained that this periodic book was issued; With the aim of unifying work concepts and facilitating the application of the minimum wage in accordance with the aforementioned decision, and ensuring that all workers addressed by it benefit, pointing out that the law precisely defines the concepts of wage, and includes various components such as commission, percentages, bonuses, in-kind benefits, grants, allowances, and the workers’ share. In profits and gifts, while following the controls for disbursing these components. Article 45 of the law stipulates that the employer is not released from the wage unless the receipt of the wage is documented in the records prepared for that purpose, which makes it necessary to include data on these documents to ensure transparency and accuracy.

Labor continued that all establishments subject to the provisions of Labor Law No. 12 of 2003 must abide by the decision and implement it so that the minimum wage for the worker stipulated in the employment contract or that he actually receives in the establishment at the time of implementing this decision, including the employer’s share in social insurance contributions, becomes no. Less than 6000 pounds per month.

The Ministry added that if the establishment violates the provisions of this decision, the necessary legal measures will be taken against it in accordance with the provisions of the Labor Law, as if the worker had not paid the wage or paid it incompletely.

Increasing the wage limit for the private sector…an important directive from the Labor Union to employees

Labor concluded that, according to the text of Article Two of the National Wage Council’s decision, establishments that are exposed to economic conditions that make it impossible to pay the minimum wage have the right to apply for an exception to its application, in accordance with the procedures found on the official website of both the Ministries of Planning and Economic Development and Labor in A deadline no later than May 15, 2024, provided that this is done through the federations to which those facilities are affiliated.

One case excludes the “private sector” from applying the minimum wage increase

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