Egypt raises minimum wage for private sector workers by 11%

Ahram Online , Tuesday 20 Jun 2023

The National Wages Council (NWC) has approved an EGP 300 increase in the monthly minimum wage for workers in the private sector to become EGP 3000, up from EGP 2700, effective 1 July 2023.

National Wages Council meeting. Photo from Planning and Economic Development ministry

 

“The decision to raise the minimum wage for private sector workers aligns with the council's objective to strike a balance between the interests of employees and employers,” said Minister of Planning and Economic Development Hala El-Said, who also chairs the NWC.

“This adjustment also takes into account the current economic conditions and high inflation rates,” added El-Said, according to a ministry statement.

In May, Egypt's annual headline inflation reached 33.7 percent, up from 31.5 percent in April.

Meet cost of living
 

The NWC last increased the minimum wage for the private sector in January of 2023 to EGP 2700 per month up from EGP 2400 amid inflationary pressures.

In April, the government adopted a social protection package worth EGP 150 billion, which included increases in salaries of public employees to help citizens with limited income deal with rising cost of living.

As part of this package, minimum salaries for public employees were increased by EGP 500 to  EGP 3,500.

According to most recent figures by the International Labour Organization, out of an estimated labour force of 28 million, 11 percent of workers were private formal wage workers, 20 percent worked for the public sector, 40 percent were informal economy workers and 16 percent were self-employed.

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