Design by Ahmed Belal, Al Manassa, 2025
Arbitrary dismissal haunts workers in parallel with the new labor law

Advocates warn of missed protections as new labor law takes effect

Ahmed Khalifa
Published Wednesday, September 3, 2025 - 16:51

Egypt’s new labor law came into effect Monday after a 90-day grace period following its publication in the official gazette. While the law introduces protections for informal workers, digital platform labor, and remote jobs, labor leaders and rights advocates say it fails to safeguard core worker rights and remains dependent on enforcement.

President Abdel Fattah El-Sisi ratified Law No. 14 of 2025 on May 3, with implementation beginning this September.

“We can talk about several gains in the new law,” said Malek Adly, director of the Egyptian Center for Economic and Social Rights. “Especially the chapter on informal workers, where the law expanded the definition and established a dedicated fund for them.”

Adly also pointed to articles on training, qualification, and cultural and social services provided through the newly established funds. He described these as “important gains, though their value hinges on how they are implemented.”

He noted improvements for women workers, including an increase in maternity leave from three to four months and a rise in the number of times the leave can be taken, from two to three. The law also entitles fathers to take leave from their vacation days when their spouses give birth.

Ahmed El-Maghraby, head of the in-formation Solidarity Of Trade Unions Federation, described as “important” the law’s cancellation of an article in the 2003 law that excluded women working in agriculture from protections. That clause had denied them coverage under provisions regulating women’s labor rights and employer obligations.

“Previously, Article 97 of Law No. 12 of 2003 had excluded women in “pure agriculture” from protections such as contractual rights and inclusion in labor relations, excluding them from economic and social insurance. The new law rectifies this,” Maghraby said.

Recognizing evolving labor relations, the law also covers remote work and platform-based labor, according to Adly. “But these remain text on paper unless the government, especially the Ministry of Labor, shows political will to implement them,” he said.

“Companies like ride-hailing and delivery platforms usually don’t sign employment contracts. At most, they issue service agreements that deny workers legal protections.”

Adly called for government intervention to restructure labor relationships at such companies and shift them from service contracts to real employment agreements.

Labor courts for dismissed workers

Ashraf El-Sherbiny, legal advisor at the Center for Trade Union and Workers’ Services, said one of the law’s most important achievements is the creation of specialized labor courts. “Each primary court circuit will now include a labor court,” he said.

The law also provides for appellate labor courts to hear appeals starting Oct. 1. These have already been established under two Ministry of Justice decrees (Nos. 4621 and 4693 of 2025).

“These courts are a major step,” El-Sherbiny said. “They will exclusively handle labor disputes, social insurance claims, pension calculations, and union conflicts, ending jurisdictional confusion.” Judges will be selected by the Supreme Judicial Council and receive specialized training.

He also highlighted the new provision assigning an urgent matters judge to decide on unfair dismissal cases within three months, requiring employers to pay temporary compensation equal to six months’ wages until a final ruling is issued.

Gaps and exclusions

Despite these provisions, labor leaders say the law maintains restrictive strike conditions. Karam Abdel Halim, head of the Suez Canal Clubs Workers’ Union, criticized Article 232, which requires notifying employers and authorities ten days before any strike.

Article 234 also prohibits strikes in “vital facilities” that provide essential services or impact national security, without clearly defining these facilities.

“That kind of vague language,” Abdel Halim said, “could be used to ban strikes at hundreds of workplaces.”

He also flagged the reduction in annual raises from 7% to 3%. “Even if the 7% was calculated on basic salary and the 3% is on insurable salary, workers are effectively getting less,” he said. “Raises should be tied to total pay, especially with inflation.”

Abdel Halim described Article 87, which allows employers to renew fixed-term contracts indefinitely, as a major problem. “It paves the way for the erosion of open-ended contracts and permanent jobs.”

Maghraby said the law’s exclusion of Egyptian domestic workers,  despite recognizing foreign domestic workers,  entrenches exploitation. “Talk of issuing a separate law is just political spin,” he said. “How can you include foreign domestic labor and exclude local workers?”

El-Sherbiny added that the law removed all imprisonment penalties for employers, calling this “a clear bias” toward business owners. “This eliminates a key tool for protecting workers.”

Union freedom

Speakers in this report agreed that weak or absent union structures, and the exclusion of worker representatives during drafting, helped produce a law skewed toward employers.

“The law can’t succeed without freedom of association,” Adly said. “It’s tied to the right to organize and protest. Without those, no law will protect workers.”

They also warned that security repression of labor protests and union leaders, including detentions and summons by National Security, will prevent the law’s implementation.