Egypt's Prime Minister, Dr. Mostafa Madbouli, chaired a meeting of the National Wages Council on November 15, 2026, to discuss and approve the new minimum wage for the private sector. The council agreed to set the minimum wage at 8500 EGP per month, starting from January 1, 2027. This move aims to improve the living standards of workers in the private sector, which employs the largest number of workers in the country.
The meeting was attended by several key ministers, including the Minister of Finance, Ahmed Kujuk, the Minister of Labor, Hassan Raddad, and the Minister of Planning and Economic Development, Dr. Ahmed Rustam. The council also included representatives from various private sector organizations and labor unions. The new minimum wage is part of the government's efforts to enhance the income of citizens and improve their standard of living.
In addition to the new minimum wage, the council also agreed to increase the minimum annual bonus for private sector workers to 3% of their insurance subscription salary, with a minimum bonus of 350 EGP. This move is expected to benefit millions of workers in the private sector. The government has been working to improve the income of citizens, particularly in the private sector, which has seen significant growth in recent years.
The Minister of Planning and Economic Development presented a report on the current state of the labor market in Egypt, highlighting the challenges and opportunities in the sector. The report noted that the private sector employs around 26.5 million workers, both inside and outside of establishments, out of a total of 32 million workers in the country. The minister also discussed the importance of improving the income of workers to enhance their standard of living.
The government's decision to increase the minimum wage is part of its efforts to address the rising cost of living in Egypt. The country has seen significant inflation in recent years, which has eroded the purchasing power of citizens. The new minimum wage is expected to help mitigate the impact of inflation on low-income workers. The government has also been working to improve the business environment and attract investment to create more job opportunities.
The National Wages Council was established under the new labor law (No. 14 of 2025) to ensure that workers' rights are protected and their income is improved. The council is composed of representatives from the government, private sector organizations, and labor unions. The council's decisions are expected to have a positive impact on the lives of millions of workers in the private sector.
The government has tasked a working group, comprising representatives from the government and the private sector, to study and propose further increases in wages and salaries for workers in various sectors up to 2030. This move is part of the government's efforts to ensure that workers' income keeps pace with the rising cost of living and to improve their standard of living.
Key points
- The new minimum wage for the private sector in Egypt will be 8500 EGP per month, effective January 1, 2027.
- The minimum annual bonus for private sector workers will be increased to 3% of their insurance subscription salary, with a minimum bonus of 350 EGP.
- The government's decision aims to improve the income of workers in the private sector and enhance their standard of living.
