Jail or fine for those violating the wage cap: Parliament

Ahram Online, Monday 9 Apr 2012

MPs have set tough new rules limiting wages in the public sector to a maximum of LE50,000 per month

Egypt wages
An Egyptian bank stores workers' wages(Photo: Reuters)


Egypt's parliamentary budget committee approved on Monday new sanctions on those violating the wage cap regulations, Ahram's Arabic news portal reported.

Those violating the LE50,000 total monthly income cap might face punishment of fines and even prison, in additional to having to return all illegal funds and be charged 25-100 percent of those funds in fines.

On Sunday, parliament's budget and planning committee, headed by Freedom and Justice Party MP Saad El-Husseini, approved a draft law setting Egypt's national maximum monthly wage at LE50,000, some 35 times the official minimum wage.

MPs demanded that the wage cap be applied to all Egyptian public-sector employees, including those in the energy, banking and military sectors. MPs stressed that the sole exceptions to the law would be for specific individuals hired for specific periods, pending government approval. 

The notion of wage caps has already encountered a degree of resistance from certain quarters, leading to the integration of the penal aspect of the code, to ensure enforcement of the law.

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