How to hire remote employees in

Egypt

There’s some great remote talent in Egypt. Want to know how you can hire there, legally, without wading into months of paperwork and thousands of dollars in fees? In the next few minutes, we’ll teach you.

Country snapshot

CURRENCY
Egyptian Pound (EGP)
EMPLOYER TAXES
27%
PAYROLL FREQUENCY
Monthly
OFFICIAL LANGUAGE
Modern Standard Arabic

What to know before you hire in 

Egypt

Hiring in Egypt? That’s excellent. But if your company’s HQ isn’t already in Egypt, things can get complicated—though they don’t need to. Here’s the deal: You can hire your talent as employees, or you can hire them as contractors. Because of Egypt’s labor law structure, there are benefits and disadvantages to each approach.

If you want to successfully hire in 

Egypt

, you have two options:

Hire talent as contractors

Laws about hiring contractors are significantly more simple in 

Egypt

. Onboarding talent takes days, not weeks or months. Both you, the company, and your talent have more flexibility. And in many cases, since you’re remote, the talent you’re hiring is better classified as a contractor, anyway. Of course, it’s not possible in every case, but it’s what we built Panther for.

Hire talent as employees

This is the long route. You can either establish a physical presence with an entity and register as an employer, or you can use an Employer-of-Record (EOR) solution. Odds are, you’ll find using an EOR to be the easier route. Still, using an EOR in 

Egypt

 is expensive—it can often be $500 per month per employee—and sometimes prone to lengthy onboarding times.

Why hire independent contractors in 

Egypt

Hiring contractors is normally the easier, faster, more flexible choice—but don’t just take it from us. Below are the specific benefits and drawbacks to hiring contractors in 

Egypt

.

It’s the fastest way to hire globally

Hiring employees takes months, at the minimum. When you hire with Panther’s locally-generated contracts, it’s a matter of days or weeks. This means you can hire the best talent, fast, without losing them to a hellish procession of paperwork.

It’s a lot cheaper

It costs just $0 to sign up for Panther, then $49 per month to hire your contractors with Panther. If you hired employees manually (or did contracting on your own), you’d likely be on the hook for thousands of dollars each month. Setting up an entity alone can cost tens of thousands of dollars.

It’s more flexible for you & your team

Hiring contractors in 

Egypt

 means you’re generally not on the hook for things like health insurance and paid time off. This makes hiring flexible for you, and it gives your talent more options.

It’s less risky than hiring employees

Hiring employees is a bigger commitment, and generally puts you at a bigger risk for legal fees. When you hire contractors overseas, your biggest risk is misclassification—but even then, misclassification penalties are often minimal and just require you to pay off any compensation that the person would have been owed as an employee.

Some people want to be employees

The contractor life isn’t for everyone—some people want the security that being an employee often appears to provide. Though it’s rare, this does happen, and it’s one disadvantage of manage an all-contractor team.

You might not have as much control over your talent

Most countries’ contractor-employer relationship laws stipulate that the employer can’t set fixed working hours, among other things. These laws give contractors more freedom over how and when they do their work than an employee would have. In reality, however, most contractors are willing & able to work on the company’s schedule—it’s a matter of setting expectations beforehand.

How can I pay people in 

Egypt

?

If you’re hiring contractors in 

Egypt

, you can pay them with Panther in a single click. You won’t need to worry about complicated wire transfers, fees, or currency conversions. We’ll take care of it all. Just make a click and your contractor will get paid in their currency of choice. This is a valuable bonus for talent in countries where the local currency is particularly weak—most people appreciate the ability to receive their payment in stronger currencies.

Hiring and paying your team in 

Egypt

Hire and pay with Panther

Pay everyone with a single click
Get great currency conversion rates
Pay $0 in platform fees
Run payroll in seconds
Let Panther automatically create & store invoices
Let Panther automatically write locally-compliant contracts
Let Panther automatically file local tax documents

Hire and pay without Panther

Pay all your contractors individually
Do all currency conversions yourself
Shoulder the burden of platform fees
Spend hours each month making payments
Manually track & store invoices
Manually write & sign contracts
Manually file relevant tax documents

Let Panther save you from hiring headaches.

Sign up today for $0

If you want to hire employees in 

Egypt

If you’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Egypt than employees. Still, there are valid reasons why you might want to hire employees instead. The content below is for you—we’ll cover employer taxes and obligations in Egypt.

Taxes in 

Egypt

Employer tax

Employer Contributions

  • 27%

Individual tax

Leave

Paid Time Off (PTO)

In Egypt, annual leave is 21 days. Entitlement begins after 6 months of service. 

If the employee has been employed for over 10 years, annual leave is 30 days.  

Employees over the age of 50 are entitled to 30 days of leave.  

Public Holidays

There are 13 public holidays.

Sick Days

An employee is able to claim up to 6 months of paid sick leave and must provide a certificate of sickness.

  • For the first 90 days of sick leave, the employee entitled to 75% of their salary.
  • For the following 90 days, the employee is entitled to 85% of their salary.
  • If necessary, the employee may convert their annual leave days to sick leave.

Maternity Leave

Female employees that have been contributing to social insurance to the past 10 months are entitled to up to 3 months’ maternity leave for each child up to three children and are entitled to 75% of the last salary.   

Upon return to the workplace, the woman is entitled to 2- half-hour nursing breaks or a combined hour each day for 24 months after the date of birth.   

For workplaces with more than 100 employees, it is mandatory that the employer provide an in-house nursery or is responsible for placing the child in nursery care until the age of schooling. 

Paternity Leave

There are no provisions in the law regarding paternity leave.

Parental Leave

If there are more than 50 employees in the company, the mother is entitled to 24 months of unpaid leave for each child.

For employees who have dependents, the ability to work flexible hours is not mandatory, however, in many cases, will be stipulated in the employment contract. 

Other Leave

Work-related injury leave: For temporary disability, 100% of the wage is paid from the first day of injury until the employer is cleared to return to work or is declared permanently disabled. 

Marriage Leave

None.

Bereavement Leave

None.

Termination

Termination Process

It is very difficult to terminate an employment contract before the expiry date of the contract and is generally considered wrongful termination unless the dismissal is based on a “fundamental breach” of contract which is outlined as follows:

  • Falsifying/forging identification
  • Violation of safety instructions
  • Absence of 20 or more non – consecutive days or 10 consecutive days in a year
  • Disclosure of employer secrets that cause significant loss
  • Competing with the employer in the same field of work
  • Intoxication during work hours
  • Physical altercations with the employer or other employees
  • Professional incompetence

Termination for a definite employment contract without a justified cause: The employer must pay the employee what they would have received if they would have fulfilled their employment contract.

Termination of employment of an indefinite contact without a justified clause: Employer is obligated to pay compensation of no less than 2 month’s salary for each year that the employee served.

In the case of unfair dismissal, compensation shall be agreed upon, however, cannot be less than 2 months’ salaries.

Notice Period

The length of the notice period depends on how long the employee has been in service:

  • Less than 10 years - 2 months
  • More than 10 years - 3 months

Severance Pay

Severance payment is not mandatory in Egypt unless outlined in the employment contract.

Probation Period

Up to 3 months.

Employee requirements in 

Egypt

Working Hours

A full workday in Egypt is 8 hours.

Overtime

Overtime is paid at the rate of 135% of the normal pay during daytime hours and 170% during night hours.

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